New York-based MSCI Inc. (MSCI) provides critical decision-support tools and solutions to help the investment community manage investment processes worldwide. Valued at $41.8 billion by market cap, the company produces indices and risk-and-return portfolio analytics for managing investment portfolios.
Shares of this leading provider of investment decision-support tools and indices have underperformed the broader market over the past year. MSCI has declined 6.1% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 12.3%. In 2025, MSCI’s stock fell 7.2%, compared to the SPX’s 12.5% rise on a YTD basis.
Narrowing the focus, MSCI’s underperformance is also apparent compared to the iShares U.S. Broker-Dealers & Securities Exchanges ETF (IAI). The exchange-traded fund has gained about 12.7% over the past year. Moreover, the ETF’s 17.3% gains on a YTD basis outshine the stock’s single-digit losses over the same time frame.
On Oct. 28, MSCI shares closed up more than 8% after reporting its Q3 results. Its adjusted EPS of $4.47 exceeded Wall Street expectations of $4.37. The company’s revenue was $793.4 million, missing Wall Street forecasts of $799.2 million.
For the current fiscal year, ending in December, analysts expect MSCI’s EPS to grow 13.2% to $17.21 on a diluted basis. The company’s earnings surprise history is impressive. It beat the consensus estimate in each of the last four quarters.
Among the 19 analysts covering MSCI stock, the consensus is a “Moderate Buy.” That’s based on 12 “Strong Buy” ratings, three “Moderate Buys,” three “Holds,” and one “Strong Sell.”
This configuration is less bullish than a month ago, with 13 analysts suggesting a “Strong Buy.”
On Oct. 29, Evercore ISI analyst David Motemaden maintained a “Buy” rating on MSCI and set a price target of $655, implying a potential upside of 17.6% from current levels.
The mean price target of $653.06 represents a 17.3% premium to MSCI’s current price levels. The Street-high price target of $710 suggests a notable upside potential of 27.5%.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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