Marsh & McLennan Companies (NYSE:MMC) & AIX (NASDAQ:AIFU) Head-To-Head Comparison

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

Risk & Volatility

AIX has a beta of -0.07, suggesting that its share price is 107% less volatile than the S&P 500. Comparatively, Marsh & McLennan Companies has a beta of 0.96, suggesting that its share price is 4% less volatile than the S&P 500.

Valuation & Earnings

This table compares AIX and Marsh & McLennan Companies”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AIX	$450.48 million	0.04	$39.50 million	$0.73	0.44
Marsh & McLennan Companies	$24.46 billion	4.60	$4.06 billion	$8.19	27.95

Marsh & McLennan Companies has higher revenue and earnings than AIX. AIX 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.

Analyst Recommendations

This is a summary of current recommendations and price targets for AIX and Marsh & McLennan Companies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AIX	0	0	0	0	0.00
Marsh & McLennan Companies	2	10	4	0	2.13

Marsh & McLennan Companies has a consensus price target of $230.44, suggesting a potential upside of 0.65%. Given Marsh & McLennan Companies’ stronger consensus rating and higher probable upside, analysts clearly believe Marsh & McLennan Companies is more favorable than AIX.

Profitability

This table compares AIX and Marsh & McLennan Companies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AIX	N/A	N/A	N/A
Marsh & McLennan Companies	16.60%	32.60%	8.63%

Insider & Institutional Ownership

26.7% of AIX shares are held by institutional investors. Comparatively, 88.0% of Marsh & McLennan Companies shares are held by institutional investors. 25.6% of AIX shares are held by insiders. Comparatively, 0.3% of Marsh & McLennan Companies shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Marsh & McLennan Companies beats AIX on 13 of the 14 factors compared between the two stocks.

About AIX

AIX, Inc. engages in the provision of agency services and insurance claims adjusting services. It operates through the Insurance Agency and Claims Adjusting segments. The Insurance Agency segment includes providing agency services for insurance products and life insurance products. The Claims Adjusting segment provides pre-underwriting survey services, claims adjusting services, disposal of residual value services, loading and unloading supervision services, and consulting services. The company was founded by Yin An Hu and Qiu Ping Lai in 1998 and is headquartered in Guangzhou, China.

About Marsh & McLennan Companies

Marsh & McLennan Cos., Inc. is a professional services firm, which engages in offering clients advice and solutions in risk, strategy, and people. It operates through the Risk and Insurance Services, and Consulting segments. The Risk and Insurance Services segment is involved in risk management activities, as well as insurance and reinsurance broking and services. The Consulting segment offers health, wealth, and career solutions and products, and specialized management, strategic, economic, and brand consulting services. The company was founded by Henry W. Marsh and Donald R. McLennan in 1871 and is headquartered in New York, NY.