Stock Price & Analysis

Based on the provided data and current market conditions, MSCI stock appears to be in a favorable position for a BUY recommendation at the current price of $615.95, supported by strong analyst upgrades and improving market conditions.

The stock shows positive momentum with a moderate RSI of 57.26, indicating room for further upside without being overbought. Recent price action shows a +0.48% gain in the last regular trading session.

Recent Analyst Actions:

• JPMorgan raised their price target to $700 (13.38% upside) on January 21, 2025
• Goldman Sachs upgraded to Strong Buy with a $723 target (20.92% upside) in December 2024, citing improving buy-side conditions and expected positive momentum into 2025
• Multiple other firms including Morgan Stanley and UBS maintain bullish ratings with price targets ranging from $680-$695

Key Catalysts:

• Improving buy-side conditions after six quarters of underperformance
• Expected earnings growth above consensus in 2025/2026
• Broadening stock market returns beyond large-cap tech sector
• Positive momentum from regulatory tailwinds in EU markets

Technical Support: Current price ($615.95) is well-supported by Fibonacci levels:

• Support 1: $578.26
• Support 2: $566.81
• Resistance 1: $626.77
• Resistance 2: $645.30

The stock is trading above its 20-day moving average of $601.69, indicating positive short-term momentum.

Based on the provided data and market analysis, here's the MSCI stock price prediction for 2025:

MSCI stock is expected to reach $680-700 by end of 2025, representing a ~10-14% upside from current levels around $615, driven by three key factors:

Key Growth Drivers:

1. Strong earnings momentum with analysts forecasting EPS growth of 13.1% year-over-year to $16.96 in fiscal 2025, supported by consistent beats of Wall Street estimates in recent quarters.

2. Improving buy-side conditions as global fund flows stabilize and active equity funds see inflows post-US elections. Goldman Sachs recently upgraded MSCI to Buy with a $723 price target citing these strengthening conditions.

3. ESG revenue growth reacceleration expected in 2025 driven by increased ESG visibility in the US post-election and regulatory tailwinds from SFDR in EU.

Supporting Factors:

• Strong market position with $16.5 trillion in AUM benchmarked to MSCI equity indexes
• Consistent dividend growth with current yield around 1.1%
• Solid technical support around $600 level based on recent trading patterns

The main risks include:

• Prolonged high interest rates impacting client spending
• Increased competition in the index/analytics space
• Geopolitical tensions affecting global markets

The S1 support level for MSCI Stock is $578.67 ,The R1 resistant level for MSCI Stock is $618.95.

As of the end of day on 2025-01-24, the price of MSCI Stock was $620.56.

The target price for MSCI Stock according to analyst rating is 679.64, with the highest price target at 723.00 and the lowest at 600.00. Analysts have a Strong Buy rating on MSCI Stock overall.

The market cap of MSCI is $48.6B.

Based on the provided data and current market conditions, here's a comprehensive analysis of MSCI's valuation:

Current Valuation Analysis: MSCI appears to be overvalued based on several key metrics:

1. High P/E Multiple: Trading at a P/E of 38.31x (Q3 2024), significantly above its historical average and peer group median.

2. Rich EV/EBITDA: At 29.68x, the EV/EBITDA multiple suggests premium pricing compared to historical levels.

Financial Performance:

• Strong revenue growth trend with Q3 2024 revenue reaching $724.7M
• Healthy gross margins of 76.2% in Q3 2024
• Net margin of 38.76% demonstrates robust profitability

Recent Analyst Actions:

• JPMorgan recently raised price target to $700 (Jan 21, 2025)
• Goldman Sachs upgraded to Buy with $723 target (Dec 18, 2024)
• Multiple analysts maintain positive outlook despite high valuation

Key Risk Factors:

1. Client Concentration: Heavy dependence on BlackRock for revenue
2. High Debt Levels: Net debt of $3.984B with negative total equity
3. Market Cyclicality: Vulnerable to market downturns affecting asset-based fees

Conclusion: MSCI is currently overvalued based on:

• Premium valuation multiples
• Stretched technical indicators
• High debt burden
• Market cyclicality risks

While MSCI maintains strong fundamentals and analyst support, current price levels suggest limited upside potential in the near term.

MSCI Inc. (MSCI) is a provider of critical decision support tools and solutions for the global investment community. The Company operates through four segments: Index, Analytics, ESG and Climate, and All Other-Private Assets. The Index segment offers products, such as MSCI Global Equity Indexes, ESG and Climate Indexes, Factor Indexes, Thematic Indexes, Client-Designed Indexes, Fixed Income Indexes and Real Assets Indexes. The Analytics segment offers risk management, performance attribution and portfolio management content, applications and services. Its ESG and Climate segment offerings include MSCI ESG Ratings, MSCI ESG Business Involvement Screening Research, and MSCI Climate Solutions. The Company's All Other-Private Assets segment comprises the Real Assets segment and Private Capital Solutions segment. The Real Assets segment offers data, benchmarks, return-analytics, climate assessments and market insights for tangible assets such as real estate and infrastructure.

Based on analyst projections and market trends, MSCI stock is expected to reach $723 by 2030, driven by strengthening buy-side conditions and reacceleration in organic revenue growth particularly in ESG segment. The company's strong market position in index business and expansion into high-growth areas like private assets support this bullish outlook. Goldman Sachs recently upgraded MSCI with a price target of $723, citing improved fund flows and broadening stock returns as key catalysts.

MSCI has a total of 5794 employees.