Jim Cramer Discussed 18 Companies That Hit $100 Billion in Market Cap in 2024

13. Marsh & McLennan Companies, Inc. (NYSE:MMC)

Number of Hedge Fund Holders: 54

Talking about Marsh & McLennan Companies, Inc. (NYSE:MMC), Cramer noted that the insurance business is “on fire”.

“… Not to mention insurance broker Marsh & McLennan, that’s up 20%. The insurance business is on fire and we know from these egregious CPI numbers, one comes out this Wednesday, they just keep raising rates. These three are winners for certain.”

Marsh & McLennan (NYSE:MMC) is a professional services firm offering advisory and solutions in risk management, strategy, and people-related areas, including insurance and reinsurance broking, analytics, and strategic consulting. On December 11, RBC Capital analyst Scott Heleniak raised the rating on the company stock from Sector Perform to Outperform, with a revised price target of $250, up from $242.

The firm considers Marsh a “high-quality insurance broker” with strong visibility into robust sales and earnings growth through 2025. The company’s diverse business mix offers stability, making it less vulnerable to fluctuations in property and casualty pricing as the cycle progresses. RBC anticipates that the McGriff acquisition will enhance Marsh’s position in the middle market and finds the stock’s valuation appealing, as it trades at a discount compared to some competitors.

In November, Marsh & McLennan (NYSE:MMC) announced its acquisition of McGriff Insurance Services for $7.75 billion, as the industry prepares for increased business spending on policies amid a stronger economic outlook. The company stated that the deal, made through its Marsh McLennan Agency division, is expected to strengthen the unit’s offerings in commercial property and casualty, employee benefits, management liability, and personal insurance.