MSCI delivered strong results in its latest Q3 2024 report, surpassing both top and bottom-line estimates. The company also approved a $1.5 billion share repurchase plan, roughly 3% of its market cap at the time of announcement. After taking a deeper dive into MSCI, I found the company fascinating and decided to share my insights. Things that really stood out include its impressive revenue and profitability growth, a strategic approach to capital allocation, and a seasoned management team, with the CEO at the helm for over 20 years!
Founded in 1986 when Morgan Stanley acquired licensing rights to Capital International data, MSCI initially operated as a Morgan Stanley business unit before its spinoff in 2007. Today, MSCI is an investment research firm offering stock indexes, portfolio risk and performance analytics, and governance tools tailored to institutional investors and hedge funds. Headquartered in New York, it serves 7,000 clients in nearly 100 countries.