Marsh McLennan (MMC) faces slowing organic growth and a lack of near-term catalysts amid softening insurance rates and broader economic uncertainty, BofA Securities said Monday in a report, downgrading the stock to underperform from neutral.

Marsh's small and mid-market segments may face longer-term, technology-driven challenges, while the large-account risk management unit offers strong protection against artificial intelligence disruption, BofA said.

The firm trimmed its 2027 earnings per share estimate to $10.50, below the $11.14 consensus, signaling potential downside to expectations.

Marsh reported 3% to 4% organic growth in the first three quarters of 2025 and expects mid- to low-single-digit growth for the year, down from 7% in 2024 and 9% in 2023, BofA said. Long-term growth is also expected to moderate to the mid- to low-single digits, the report said.

BofA slashed its price target on Marsh stock to $181 from $243.

Price: 176.33, Change: -1.82, Percent Change: -1.02