Head to Head Analysis: Marsh & McLennan Companies (NYSE:MMC) versus The Baldwin Insurance Group (NASDAQ:BWIN)

Marsh & McLennan Companies (NYSE:MMC) and The Baldwin Insurance Group (NASDAQ:BWIN) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, risk, institutional ownership and valuation.

Institutional & Insider Ownership

88.0% of Marsh & McLennan Companies shares are held by institutional investors. Comparatively, 70.4% of The Baldwin Insurance Group shares are held by institutional investors. 0.3% of Marsh & McLennan Companies shares are held by insiders. Comparatively, 20.1% of The Baldwin Insurance Group shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Volatility & Risk

Marsh & McLennan Companies has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500. Comparatively, The Baldwin Insurance Group has a beta of 1.58, indicating that its stock price is 58% more volatile than the S&P 500.

Profitability

This table compares Marsh & McLennan Companies and The Baldwin Insurance Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Marsh & McLennan Companies	16.97%	33.92%	8.85%
The Baldwin Insurance Group	-4.29%	9.21%	2.82%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Marsh & McLennan Companies and The Baldwin Insurance Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Marsh & McLennan Companies	2	10	4	0	2.13
The Baldwin Insurance Group	0	0	3	1	3.25

Marsh & McLennan Companies currently has a consensus price target of $214.25, suggesting a potential downside of 1.71%. The Baldwin Insurance Group has a consensus price target of $41.75, suggesting a potential downside of 3.67%. Given Marsh & McLennan Companies’ higher probable upside, equities research analysts clearly believe Marsh & McLennan Companies is more favorable than The Baldwin Insurance Group.

Valuation and Earnings

This table compares Marsh & McLennan Companies and The Baldwin Insurance Group’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Marsh & McLennan Companies	$22.74 billion	4.71	$3.76 billion	$7.88	27.66
The Baldwin Insurance Group	$1.22 billion	4.18	-$90.14 million	($0.92)	-47.11

Marsh & McLennan Companies has higher revenue and earnings than The Baldwin Insurance Group. The Baldwin Insurance Group is trading at a lower price-to-earnings ratio than Marsh & McLennan Companies, indicating that it is currently the more affordable of the two stocks.

Summary

Marsh & McLennan Companies beats The Baldwin Insurance Group on 11 of the 15 factors compared between the two stocks.

About Marsh & McLennan Companies

Marsh & McLennan Companies, Inc., a professional services company, provides advice and solutions to clients in the areas of risk, strategy, and people worldwide. It operates through Risk and Insurance Services, and Consulting segments. The Risk and Insurance Services segment offers risk management services, such as risk advice, risk transfer, and risk control and mitigation solutions, as well as insurance and reinsurance broking, strategic advisory services, and analytics solutions, and insurance program management services. It serves businesses, public entities, insurance companies, associations, professional services organizations, and private clients. The Consulting segment provides health, wealth and career advice, solutions and products; and specialized management, strategic, economic, and brand consulting services. Marsh & McLennan Companies, Inc. was founded in 1871 and is headquartered in New York, New York.

About The Baldwin Insurance Group

The Baldwin Insurance Group, Inc. operates as an independent insurance distribution firm that delivers insurance and risk management solutions in the United States. It operates through three segments: Insurance Advisory Solutions; Underwriting, Capacity & Technology Solutions; and Mainstreet Insurance Solutions. The Insurance Advisory Solutions segment provides commercial risk management, employee benefits, and private risk management solutions for businesses and high-net-worth individuals, as well as their families. The Underwriting, Capacity & Technology Solutions segment offers Future platform, that manufactures technology-enabled insurance products suite comprises personal, commercial, and specialty lines; specialty wholesale broker business that delivers professionals, individuals, and niche industry businesses; and reinsurance brokerage services. The Mainstreet Insurance Solutions segment provides personal insurance, commercial insurance, and life and health solutions to individuals and businesses in communities. The company was formerly known as BRP Group, Inc. and changed its name to The Baldwin Insurance Group, Inc. in May 2024. The Baldwin Insurance Group, Inc. was founded in 2011 and is headquartered in Tampa, Florida.