MMC vs WTW

For growth investors, Marsh & McLennan Companies, Inc.

(MMC) is the stronger pick with 7. 6% revenue growth year-over-year, versus -2. 2% for Willis Towers Watson Public Limited Company (WTW). Willis Towers Watson Public Limited Company (WTW) offers the better valuation at 15. 5x trailing P/E (12. 9x forward), making it the more compelling value choice. Analysts rate Willis Towers Watson Public Limited Company (WTW) a "Buy" — based on 29 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Willis Towers Watson Public Limited Company (WTW) is the cheapest at 15.

5x versus Marsh & McLennan Companies, Inc. at 21. 3x. On forward P/E, Willis Towers Watson Public Limited Company is actually cheaper at 12. 9x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Willis Towers Watson Public Limited Company wins at 0. 79x versus Marsh & McLennan Companies, Inc. 's 0. 88x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Marsh & McLennan Companies, Inc.

(MMC) delivered a total return of +36. 6%, compared to +1. 1% for Willis Towers Watson Public Limited Company (WTW). Over 10 years, the gap is even starker: MMC returned +210. 8% versus WTW's +131. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Willis Towers Watson Public Limited Company (WTW) is the lower-risk stock at 0.

13β versus Marsh & McLennan Companies, Inc. 's 0. 14β — meaning MMC is approximately 2% more volatile than WTW relative to the S&P 500. On balance sheet safety, Willis Towers Watson Public Limited Company (WTW) carries a lower debt/equity ratio of 86% versus 162% for Marsh & McLennan Companies, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Marsh & McLennan Companies, Inc.

(MMC) is pulling ahead at 7. 6% versus -2. 2% for Willis Towers Watson Public Limited Company (WTW). On earnings-per-share growth, the picture is similar: Willis Towers Watson Public Limited Company grew EPS 1794% year-over-year, compared to 8. 6% for Marsh & McLennan Companies, Inc.. Over a 3-year CAGR, MMC leads at 7. 3% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Marsh & McLennan Companies, Inc.

(MMC) is the more profitable company, earning 16. 6% net margin versus 16. 5% for Willis Towers Watson Public Limited Company — meaning it keeps 16. 6% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MMC leads at 23. 8% versus 23. 0% for WTW. At the gross margin level — before operating expenses — MMC leads at 42. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Willis Towers Watson Public Limited Company (WTW) is the more undervalued stock at a PEG of 0. 79x versus Marsh & McLennan Companies, Inc. 's 0. 88x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Willis Towers Watson Public Limited Company (WTW) trades at 12. 9x forward P/E versus 16. 9x for Marsh & McLennan Companies, Inc. — 4. 0x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for WTW: 34. 1% to $338. 42.

All stocks in this comparison pay dividends.

Marsh & McLennan Companies, Inc. (MMC) offers the highest yield at 1. 8%, versus 1. 4% for Willis Towers Watson Public Limited Company (WTW).

For long-horizon retirement investors, Marsh & McLennan Companies, Inc.

(MMC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 14), 1. 8% yield, +210. 8% 10Y return). Both have compounded well over 10 years (MMC: +210. 8%, WTW: +131. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: MMC is a mid-cap quality compounder stock; WTW is a mid-cap deep-value stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.