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MSCI

NYSE:MSCI
Snowflake Description

Solid track record with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MSCI
NYSE
$16B
Market Cap
  1. Home
  2. US
  3. Diversified Financials
Company description

MSCI Inc., together with its subsidiaries, provides investment decision support tools for the clients to manage their investment processes worldwide. The last earnings update was 31 days ago. More info.


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  • MSCI has significant price volatility in the past 3 months.
MSCI Share Price and Events
7 Day Returns
0.5%
NYSE:MSCI
-4%
US Capital Markets
-1.1%
US Market
1 Year Returns
20.9%
NYSE:MSCI
-10%
US Capital Markets
6.4%
US Market
MSCI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
MSCI (MSCI) 0.5% 8.3% 42% 20.9% 168.8% 346%
US Capital Markets -4% -4.2% 11.1% -10% 51.8% 54.4%
US Market -1.1% 0.3% 17.2% 6.4% 37.9% 42.1%
1 Year Return vs Industry and Market
  • MSCI outperformed the Capital Markets industry which returned -10% over the past year.
  • MSCI outperformed the Market in United States of America which returned 6.4% over the past year.
Price Volatility
MSCI
Industry
5yr Volatility vs Market

Value

 Is MSCI undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of MSCI to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for MSCI.

NYSE:MSCI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Last reported Return on Equity.
= Stable Book Value * Return on Equity
= $1.96 * 433.1%
$8.48
Book Value of Equity per Share Weighted future Book Value estimates from 4 analysts. $1.96
Discount Rate (Cost of Equity) See below 7.9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:MSCI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Capital Markets Unlevered Beta Simply Wall St/ S&P Global 0.72
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.718 (1 + (1- 21%) (15.86%))
0.871
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.87
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.871 * 5.96%)
7.92%

Discounted Cash Flow Calculation for NYSE:MSCI using Excess Returns Model Model

The calculations below outline how an intrinsic value for MSCI is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NYSE:MSCI Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (433.1% – 7.92%) * $1.96)
$8.32
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $8.32 / (7.92% - 2.73%)
$160.30
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $1.96 + $160.30
$162.25
NYSE:MSCI Discount to Share Price
Calculation Result
Value per share (USD) From above. $162.25
Current discount Discount to share price of $191.86
= -1 x ($191.86 - $162.25) / $162.25
-18.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of MSCI is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for MSCI's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are MSCI's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:MSCI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $5.83
NYSE:MSCI Share Price ** NYSE (2019-03-22) in USD $191.86
United States of America Capital Markets Industry PE Ratio Median Figure of 77 Publicly-Listed Capital Markets Companies 24.51x
United States of America Market PE Ratio Median Figure of 3,062 Publicly-Listed Companies 17.16x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of MSCI.

NYSE:MSCI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:MSCI Share Price ÷ EPS (both in USD)

= 191.86 ÷ 5.83

32.93x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MSCI is overvalued based on earnings compared to the US Capital Markets industry average.
  • MSCI is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does MSCI's expected growth come at a high price?
Raw Data
NYSE:MSCI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 32.93x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
7.7%per year
United States of America Capital Markets Industry PEG Ratio Median Figure of 33 Publicly-Listed Capital Markets Companies 1.85x
United States of America Market PEG Ratio Median Figure of 2,105 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

NYSE:MSCI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 32.93x ÷ 7.7%

4.25x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MSCI is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on MSCI's assets?
Raw Data
NYSE:MSCI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $-1.98
NYSE:MSCI Share Price * NYSE (2019-03-22) in USD $191.86
United States of America Capital Markets Industry PB Ratio Median Figure of 153 Publicly-Listed Capital Markets Companies 5.04x
United States of America Market PB Ratio Median Figure of 5,165 Publicly-Listed Companies 1.85x
NYSE:MSCI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:MSCI Share Price ÷ Book Value per Share (both in USD)

= 191.86 ÷ -1.98

-97x

* Primary Listing of MSCI.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MSCI has negative assets, we can't compare the value of its assets to the US Capital Markets industry average.
X
Value checks
We assess MSCI's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Capital Markets industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Capital Markets industry average (and greater than 0)? (1 check)
  5. MSCI has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is MSCI expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
7.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is MSCI expected to grow at an attractive rate?
  • MSCI's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • MSCI's earnings growth is positive but not above the United States of America market average.
  • MSCI's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:MSCI Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:MSCI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts 7.7%
NYSE:MSCI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts 7.9%
United States of America Capital Markets Industry Earnings Growth Rate Market Cap Weighted Average 6.6%
United States of America Capital Markets Industry Revenue Growth Rate Market Cap Weighted Average 3.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:MSCI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:MSCI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 2,153 1
2022-12-31 1,992 1
2021-12-31 1,858 734 4
2020-12-31 1,677 666 568 11
2019-12-31 1,535 608 518 11
NYSE:MSCI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 1,434 613 508
2018-09-30 1,407 583 420
2018-06-30 1,371 541 382
2018-03-31 1,324 456 346
2017-12-31 1,274 404 304
2017-09-30 1,232 400 308
2017-06-30 1,199 447 288
2017-03-31 1,173 442 273
2016-12-31 1,151 442 261
2016-09-30 1,131 385 253
2016-06-30 1,111 370 252
2016-03-31 1,091 276 241

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • MSCI's earnings are expected to grow by 7.7% yearly, however this is not considered high growth (20% yearly).
  • MSCI's revenue is expected to grow by 7.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:MSCI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below

All data from MSCI Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:MSCI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 9.93 9.93 9.93 1.00
2022-12-31 8.83 8.83 8.83 1.00
2021-12-31 8.42 9.06 7.78 2.00
2020-12-31 6.68 7.40 6.15 8.00
2019-12-31 5.95 6.22 5.73 7.00
NYSE:MSCI Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 5.83
2018-09-30 4.70
2018-06-30 4.25
2018-03-31 3.84
2017-12-31 3.36
2017-09-30 3.38
2017-06-30 3.12
2017-03-31 2.91
2016-12-31 2.72
2016-09-30 2.57
2016-06-30 2.47
2016-03-31 2.27

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • MSCI is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).
X
Future performance checks
We assess MSCI's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
MSCI has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has MSCI performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare MSCI's growth in the last year to its industry (Capital Markets).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • MSCI's year on year earnings growth rate has been positive over the past 5 years.
  • MSCI's 1-year earnings growth exceeds its 5-year average (67.1% vs 18.2%)
  • MSCI's earnings growth has exceeded the US Capital Markets industry average in the past year (67.1% vs 35.7%).
Earnings and Revenue History
MSCI's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from MSCI Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:MSCI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 1,433.98 507.89 292.81 81.41
2018-09-30 1,407.08 420.36 286.67 81.84
2018-06-30 1,371.24 381.68 282.32 79.23
2018-03-31 1,324.28 346.11 273.84 77.62
2017-12-31 1,274.17 303.97 265.49 75.85
2017-09-30 1,232.21 307.62 256.56 74.10
2017-06-30 1,198.54 287.75 253.38 74.88
2017-03-31 1,173.05 273.44 254.28 75.25
2016-12-31 1,150.67 260.86 253.90 75.20
2016-09-30 1,130.75 252.60 254.22 74.02
2016-06-30 1,111.09 251.75 249.62 70.82
2016-03-31 1,091.07 240.80 249.86 73.06
2015-12-31 1,075.01 230.04 248.30 77.32
2015-09-30 1,053.23 213.26 244.63 76.78
2015-06-30 1,036.12 200.50 227.17 115.09
2015-03-31 1,019.76 201.17 234.58 94.28
2014-12-31 996.68 198.57 240.21 71.10
2014-09-30 982.44 196.26 244.66 53.86
2014-06-30 959.39 194.33 263.27
2014-03-31 933.58 193.57 244.59
2013-12-31 913.36 199.28 206.15 61.00
2013-09-30 923.58 212.09 225.45
2013-06-30 930.42 210.31 228.50
2013-03-31 940.56 191.72 233.26
2012-12-31 826.99 163.24 211.91
2012-09-30 929.20 174.08 230.52
2012-06-30 918.78 175.41 221.27
2012-03-31 906.70 183.32 216.99

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if MSCI has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.
  • MSCI used its assets more efficiently than the US Capital Markets industry average last year based on Return on Assets.
  • MSCI has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess MSCI's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Capital Markets industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
MSCI has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is MSCI's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up MSCI's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • MSCI is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • MSCI's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of MSCI's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • MSCI has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from MSCI Company Filings, last reported 2 months ago.

NYSE:MSCI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 -166.49 2,575.50 904.18
2018-09-30 378.44 2,574.62 1,398.40
2018-06-30 346.42 2,573.73 1,367.60
2018-03-31 421.37 2,078.82 849.83
2017-12-31 401.01 2,078.09 889.50
2017-09-30 360.31 2,077.37 799.02
2017-06-30 307.20 2,076.65 750.58
2017-03-31 278.84 2,075.92 696.97
2016-12-31 317.61 2,075.20 791.83
2016-09-30 551.52 2,074.48 974.06
2016-06-30 535.15 1,580.52 404.61
2016-03-31 615.66 1,579.96 445.01
2015-12-31 901.49 1,579.40 777.71
2015-09-30 1,119.11 1,578.85 993.49
2015-06-30 1,433.71 800.00 455.02
2015-03-31 1,455.70 800.00 537.75
2014-12-31 1,432.83 788.36 508.80
2014-09-30 1,396.53 792.95 448.19
2014-06-30 1,666.68 797.90 683.24
2014-03-31 1,563.73 802.84 260.45
2013-12-31 1,564.35 807.78 358.43
2013-09-30 1,522.15 807.42 283.75
2013-06-30 1,555.83 818.19 334.70
2013-03-31 1,488.74 828.96 263.03
2012-12-31 1,425.23 854.72 254.21
2012-09-30 1,468.06 865.48 434.34
2012-06-30 1,409.66 876.25 359.77
2012-03-31 1,364.60 1,076.79 460.18
  • MSCI has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.
  • Irrelevant to check if MSCI's debt level has increased considering it has negative shareholder equity.
  • Debt is well covered by operating cash flow (23.8%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6.1x coverage).
X
Financial health checks
We assess MSCI's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. MSCI has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is MSCI's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.21%
Current annual income from MSCI dividends. Estimated to be 1.33% next year.
If you bought $2,000 of MSCI shares you are expected to receive $24 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • MSCI's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
  • MSCI's dividend is below the markets top 25% of dividend payers in United States of America (3.72%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:MSCI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
United States of America Capital Markets Industry Average Dividend Yield Market Cap Weighted Average of 43 Stocks 2.1%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2003 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:MSCI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 3.09 3.00
2020-12-31 2.53 6.00
2019-12-31 2.32 6.00
NYSE:MSCI Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-22 2.320 1.248
2019-01-31 2.320 1.335
2018-08-02 2.320 1.452
2018-05-04 1.520 0.919
2018-05-03 1.520 1.009
2017-11-02 1.520 1.098
2017-08-03 1.520 1.313
2017-02-02 1.120 1.123
2016-07-28 1.120 1.351
2016-04-28 0.880 1.136
2016-02-26 0.880 1.214
2016-02-04 0.880 1.281
2015-10-30 0.880 1.273
2015-10-29 0.880 1.328
2015-07-31 0.880 1.432
2015-07-30 0.880 1.293
2015-05-01 0.720 1.141
2015-04-30 0.720 1.166
2014-09-18 0.720 1.392

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, MSCI has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but MSCI only paid a dividend in the past 5 years.
Current Payout to shareholders
What portion of MSCI's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).
X
Income/ dividend checks
We assess MSCI's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can MSCI afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. MSCI has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of MSCI's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Henry Fernandez
COMPENSATION $2,978,454
AGE 60
TENURE AS CEO 21.2 years
CEO Bio

Mr. Henry A. Fernandez has been the Chairman of the Board at MSCI Inc. since October 2007 and has been its Chief Executive Officer since 1998. Mr. Fernandez has been the President and Chief Executive Officer of Barra POSIT, Inc. since 1998. He serves as Chief Executive Officer at RiskMetrics Group, LLC. Before leading MSCI's transition to becoming a fully independent, standalone public company in 2009, he was a Managing Director at Morgan Stanley since 1995, where he worked in emerging markets product strategy, equity derivative sales and trading, mergers and acquisitions, worldwide corporate finance and mortgage finance for U.S. financial institutions. He worked for Morgan Stanley from 1983 to 1991 and from 1994 to 2009. He served as President at MSCI Inc. since 1998 until May 15, 2017. Prior to rejoining Morgan Stanley in 1994, he served for one year as President of HispaniMedia Inc. From 1976 to 1979, he served as third Secretary and Assistant Economic Counselor of the Embassy of Nicaragua in Washington, D.C. Mr. Fernandez serves on the board of trustees of Stanford University. He spent two years as the President and Chairman of Ferco Partners Inc. He has been a Director at MSCI Inc. since 2007. He is a Member of the Advisory Board of Stanford Graduate School of Business. He is a Member of the college board of Advisors of Georgetown University and a Trustee of the board of The Browning School in New York City. He also serves on the boards of the Hoover Institution at Stanford University, the Foreign Policy Association, Memorial Sloan-Kettering Cancer Center, Catholic Charities of the Archdiocese of New York and the American Nicaraguan Foundation. Mr. Fernandez graduated with a Bachelor of Arts in Economics from Georgetown University in Washington, D.C. in 1979. He also received an MBA from the Stanford Graduate School of Business in 1983 and pursued Doctoral Studies in Economics at Princeton University in Princeton, New Jersey.

CEO Compensation
  • Henry's compensation has increased by more than 20% in the past year.
  • Henry's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the MSCI management team in years:

3.2
Average Tenure
53
Average Age
  • The tenure for the MSCI management team is about average.
Management Team

Henry Fernandez

TITLE
Chairman & CEO
COMPENSATION
$3M
AGE
60
TENURE
21.2 yrs

C. D. Pettit

TITLE
President
COMPENSATION
$3M
AGE
53
TENURE
1.4 yrs

Laurent Seyer

TITLE
COO & Chief Client Officer
COMPENSATION
$2M
AGE
54

Jigar Thakkar

TITLE
CTO & Head of Engineering
COMPENSATION
$6M
TENURE
0.7 yrs

Andrew Wiechmann

TITLE
Interim CFO & Treasurer
AGE
38

Jennifer Mak

TITLE
Principal Accounting Officer
AGE
43
TENURE
0.6 yrs

Jay Penn

TITLE
Executive Director & Interim Head of Investor Relations

Rick Bogdan

TITLE
MD & General Counsel

Scott Crum

TITLE
MD & Chief Human Resources Officer
COMPENSATION
$2M
AGE
61
TENURE
4.9 yrs

Peter Zangari

TITLE
Global Head of Research & Product Development
COMPENSATION
$3M
AGE
50
TENURE
7.6 yrs
Board of Directors Tenure

Average tenure and age of the MSCI board of directors in years:

9.3
Average Tenure
61
Average Age
  • The tenure for the MSCI board of directors is about average.
Board of Directors

Henry Fernandez

TITLE
Chairman & CEO
COMPENSATION
$3M
AGE
60
TENURE
11.4 yrs

Linda Riefler

TITLE
Independent Director
COMPENSATION
$272K
AGE
57
TENURE
12.2 yrs

Rob Ashe

TITLE
Lead Director
COMPENSATION
$323K
AGE
59
TENURE
0.9 yrs

Wayne Edmunds

TITLE
Independent Director
COMPENSATION
$277K
AGE
62
TENURE
4 yrs

Jacques Perold

TITLE
Independent Director
COMPENSATION
$267K
AGE
59
TENURE
2 yrs

Benjamin DuPont

TITLE
Independent Director
COMPENSATION
$253K
AGE
54
TENURE
11.1 yrs

Cathy Kinney

TITLE
Independent Director
COMPENSATION
$282K
AGE
66
TENURE
9.5 yrs

Alice Handy

TITLE
Independent Director
COMPENSATION
$296K
AGE
69
TENURE
9.3 yrs

George Siguler

TITLE
Independent Director
COMPENSATION
$247K
AGE
70
TENURE
9.3 yrs

Wendy Lane

TITLE
Independent Director
COMPENSATION
$247K
AGE
67
TENURE
4 yrs
Who owns this company?
Recent Insider Trading
  • MSCI insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
15. Feb 19 Sell Scott Crum Individual 15. Feb 19 15. Feb 19 -19,000 $175.14 $-3,327,660
08. May 18 Sell Richard Napolitano Individual 07. May 18 07. May 18 -3,362 $154.75 $-520,270
08. May 18 Sell Scott Crum Individual 07. May 18 07. May 18 -3,300 $154.65 $-510,345
X
Management checks
We assess MSCI's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. MSCI has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

The MSCI (NYSE:MSCI) Share Price Is Up 327% And Shareholders Are Delighted

One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … So the EPS growth rate is rather close to the annualized share price gain of 34% per year. … This indicates that investor sentiment towards the company has not changed a great deal.

Simply Wall St -

What Should Investors Know About MSCI Inc.'s (NYSE:MSCI) Earnings Outlook?

In December 2018, MSCI Inc. … (NYSE:MSCI) released its latest earnings announcement, whicha … showed

Simply Wall St -

How Many Insiders Sold MSCI Inc. (NYSE:MSCI) Shares?

So we'll take a look at whether insiders have been buying or selling shares in MSCI Inc. … That means that an insider was selling shares at slightly below the current price (US$175) … As a general rule we consider it to be discouraging when insiders are selling below the current price

Simply Wall St -

Should You Worry About MSCI Inc.'s (NYSE:MSCI) CEO Salary Level?

This analysis aims first to contrast CEO compensation with other large companies. … Participate in a short research study and receive a 6-month subscription to the award winning Simply Wall St research tool (valued at $60) … How Does Henry Fernandez's Compensation Compare With Similar Sized Companies?

Simply Wall St -

What Value Should You Place On MSCI Inc. (NYSE:MSCI)?

Understanding these differences is crucial when it comes to putting a value on the financial stock. … For instance, these businesses must hold a certain level of cash reserves on the books as a safety precaution.

Simply Wall St -

Is Now The Time To Look At Buying MSCI Inc. (NYSE:MSCI)?

saw significant share price movement during recent months on the NYSE, rising to highs of $182.18 and falling to the lows of $142.76. … Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price? … Let’s take a look at MSCI’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change

Simply Wall St -

Does MSCI Inc (NYSE:MSCI) Have A Place In Your Portfolio?

A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. … MSCI Inc (NYSE:MSCI) has paid a dividend to shareholders in the last few years. … 5 checks you should use to assess a dividend stock

Simply Wall St -

Only 4 Days Left To Cash In On MSCI Inc (NYSE:MSCI) Dividend,

Have you been keeping an eye on MSCI Inc's (NYSE:MSCI) upcoming dividend of US$0.58 per share payable on the 30 November 2018? … Is this future income stream a compelling catalyst for dividend investors to think about the stock as an investment today? … Has it consistently paid a stable dividend without missing a payment or drastically cutting payout?

Simply Wall St -

Is MSCI Inc (NYSE:MSCI) Excessively Paying Its CEO?

First, this article will compare CEO compensation with compensation at other large companies. … At the time of writing our data says that MSCI Inc has a market cap of US$12.7b, and is paying total annual CEO compensation of US$2m. … When we examined a group of companies with market caps over US$8.0b, we found that their median CEO compensation was US$11m.

Simply Wall St -

Is MSCI Inc (NYSE:MSCI) Undervalued?

saw a double-digit share price rise of over 10% in the past couple of months on the NYSE. … With many analysts covering the large-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price? … However, could the stock still be trading at a relatively cheap price

Simply Wall St -

Company Info

Description

MSCI Inc., together with its subsidiaries, provides investment decision support tools for the clients to manage their investment processes worldwide. The company operates through four segments: Index, Analytics, ESG, and Real Estate. The Index segment primarily provides equity indexes for use in various areas of the investment process, including index-linked product creation and performance benchmarking, as well as portfolio construction and rebalancing, and asset allocation. The Analytics segment offers risk management, performance attribution and portfolio management content, applications, and services that provide clients with an integrated view of risk and return, and an analysis of market, credit, liquidity, and counterparty risk across various asset classes, spanning short, medium, and long-term time horizons; and various managed services for clients to address the needs of various specialized areas of the investment community by providing a reporting service and performance reporting tools to institutional consultants and investors in hedge funds. The ESG segment provides products and services that help institutional investors understand how environmental, social, and governance (ESG) factors impact the long-term risk of their investments; and data and ratings products for use in the construction of equity and fixed income indexes to help institutional investors benchmark ESG investment performance and issue index-based investment products, as well as manage, measure, and report on ESG mandates. The Real Estate segment offers real estate performance analysis for funds, investors, managers, and lenders. This segment provides products and services that include research, reporting, and benchmarking; and business intelligence to real estate owners, managers, developers, and brokers. MSCI Inc. was founded in 1998 and is headquartered in New York, New York.

Details
Name: MSCI Inc.
MSCI
Exchange: NYSE
Founded: 1998
$16,243,912,661
84,665,447
Website: http://www.msci.com
Address: MSCI Inc.
7 World Trade Center,
49th Floor,
New York,
New York, 10007,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE MSCI New Common Stock New York Stock Exchange US USD 15. Nov 2007
DB 3HM New Common Stock Deutsche Boerse AG DE EUR 15. Nov 2007
Number of employees
Current staff
Staff numbers
3,112
MSCI employees.
Industry
Financial Exchanges and Data
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/25 00:05
End of day share price update: 2019/03/22 00:00
Last estimates confirmation: 2019/03/12
Last earnings filing: 2019/02/22
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.