Analyzing Marsh & McLennan Companies (NYSE:MRSH) and Talanx (OTCMKTS:TLLXY)

Talanx (OTCMKTS:TLLXY) and Marsh & McLennan Companies (NYSE:MRSH) are both finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, profitability, valuation, risk, dividends and analyst recommendations.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Talanx	N/A	N/A	N/A
Marsh & McLennan Companies	14.24%	32.67%	8.44%

Insider & Institutional Ownership

88.0% of Marsh & McLennan Companies shares are owned by institutional investors. 0.4% of Marsh & McLennan Companies shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Talanx	N/A	N/A	N/A	N/A	N/A
Marsh & McLennan Companies	$26.98 billion	3.32	$4.16 billion	$8.18	22.91

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

Analyst Recommendations

This is a summary of current recommendations for Talanx and Marsh & McLennan Companies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Talanx	0	0	1	0	3.00
Marsh & McLennan Companies	1	11	5	1	2.33

Marsh & McLennan Companies has a consensus price target of $203.50, indicating a potential upside of 8.57%. Given Marsh & McLennan Companies’ higher probable upside, analysts clearly believe Marsh & McLennan Companies is more favorable than Talanx.

Summary

Marsh & McLennan Companies beats Talanx on 9 of the 10 factors compared between the two stocks.

About Talanx

Talanx AG provides insurance and reinsurance products and services worldwide. It offers life, casualty, liability, motor, aviation, legal protection, fire, burglary and theft, water damage, plate glass, windstorm, comprehensive householders, comprehensive home-owners, hail, livestock, engineering, omnium, marine, business interruption, travel assistance, aviation and space liability, financial lines, and other property insurance, as well as coverage for fire and fire loss of profits insurance. The company also provides bancassurance products; unit-linked life insurance, annuity and risk insurance, and long term and occupational disability insurance products; and personal accident insurance. In addition, it offers property and casualty, marine and aviation, credit and surety, agriculture, structured, and life and health reinsurance, as well as engages in the facultative and nat cat, and asset management businesses. Talanx AG was founded in 1996 and is based in Hanover, Germany. Talanx AG operates as a subsidiary of HDI Haftpflichtverband der Deutschen Industrie V.a.G.

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.