MSCI Inc (MSCI, Financial) has recently captured the attention of investors and financial analysts alike, thanks to its strong financial performance and promising growth prospects. With a current share price of $559.78, MSCI Inc has experienced a notable daily gain of 10.62%, and an impressive three-month increase of 26.41%. A detailed analysis, supported by the GF Score, positions MSCI Inc as a prime candidate for significant future growth.
What Is the GF Score?
The GF Score is a proprietary ranking system from GuruFocus, designed to predict stock performance by evaluating five key aspects of a company's financial health. This system has proven effective in forecasting long-term stock performance from 2006 to 2021. Stocks with higher GF Scores typically yield better returns. The GF Score ranges from 0 to 100, with 100 indicating the highest potential for outperformance. MSCI Inc boasts a GF Score of 96, signaling strong future performance potential.
- Financial strength rank: 5/10
- Profitability rank: 10/10
- Growth rank: 10/10
- GF Value rank: 10/10
- Momentum rank: 7/10
Understanding MSCI Inc's Business
MSCI Inc, with a market cap of $44.35 billion and annual sales of $2.62 billion, operates primarily through its index segment, which benchmarks for asset managers and owners. This segment is complemented by over $1.4 trillion in ETF assets linked to MSCI indexes. Additionally, MSCI's analytics segment offers portfolio and risk management software, while its ESG and climate and private assets segments provide essential data and analytics to the investment industry.
Profitability Rank Breakdown
MSCI Inc's Operating Margin has shown a steady increase over the past five years, from 48.51% in 2019 to 54.75% in 2023. This trend highlights the company's efficiency in converting revenue into profit. Similarly, the Gross Margin has consistently improved, demonstrating enhanced profitability. The company's strong financial health is further affirmed by a high Piotroski F-Score and a Predictability Rank of 5.0 stars, indicating reliable operational performance.
Growth Rank Breakdown
MSCI Inc is recognized for its robust growth, with a 3-Year Revenue Growth Rate of 16.4%, outperforming 68.24% of its industry peers. The company's EBITDA has also seen significant growth, with a three-year growth rate of 23.9 and a five-year rate of 18.2, underscoring its ongoing expansion and operational efficiency.
Conclusion
Considering MSCI Inc's strong financial strength, exceptional profitability, and consistent growth metrics, the GF Score highlights the company's superior position for potential market outperformance. Investors looking for similar opportunities can explore more companies with strong GF Scores using the GF Score Screen.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
