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what it is
MSCI sells the indexes and risk tools money managers use to decide what to buy, what to avoid, and how to explain it.
how it gets paid
Last year Msci made $3.1B in revenue. Index subscriptions was the main engine at $1.10B, or 35% of sales.
why it's growing
Revenue grew 9.7% last year. Full-year revenue reached $3.1B, up 9.7%, while 2025 EPS rose to $17.28 from $15.20 in 2024.
what just happened
MSCI's latest quarter was clean: revenue reached $822.5M and EPS came in at $4.65, above the $4.56 estimate.
At a glance
B++ balance sheet — above average — nothing keeping you up at night
100/100 earnings predictability — you can trust these numbers
36.2x trailing p/e — you're paying up for this one
1.3% dividend yield — cash in your pocket every quarter
28.5% return on capital — every dollar works hard here
xvary composite: 78/100 — average
What they do
MSCI sells the indexes and risk tools money managers use to decide what to buy, what to avoid, and how to explain it.
MSCI sits inside how your money gets measured, ranked, and benchmarked. Benchmarks (the scorecard funds are judged against → managers build portfolios around them → ripping them out risks client money) are sticky, and MSCI has delivered record earnings for 11 straight years, including $17.28 in 2025. The quiet part: once your fund, factsheet, and client report all run on MSCI data, leaving is painful.
How they make money
$3.1B
annual revenue · their business grew +9.7% last year
Index subscriptions
$1.10B
Index asset-based fees
$0.44B
Analytics
$1.09B
ESG & Climate
$0.37B
Private Assets & Other
$0.13B
The products that matter
benchmarks and portfolio analytics
Indexes and Analytics
$3.1B revenue · +35.6% growth
This is the disclosed revenue engine. The snapshot does not break it into finer slices, but the top-line scale is large enough to matter and the margin is high enough to explain the valuation.
entire disclosed revenue base
earnings engine
Profitability
40.6% net margin
MSCI keeps about 41 cents of every revenue dollar. That is the quiet part. The stock does not trade like a generic financial firm because the economics are not generic.
pricing power
capital return layer
Dividend
1.3% yield
The dividend is real, but modest. If you buy MSCI, your return case depends more on earnings compounding and multiple support than on the quarterly cash payout.
support, not thesis
Key numbers
54.7%
operating margin
Operating margin → the share of revenue left after running the business → so what: MSCI keeps more than half of each sales dollar before interest and taxes.
28.5%
return on capital
Return on capital → profit earned on the money tied up in the business → so what: this is far above the 15% many quality companies aim for.
36.2x
trailing p/e
P/E → how many dollars investors pay for $1 of earnings → so what: you are paying a luxury price for a luxury asset.
11 years
record eps streak
MSCI has posted record earnings in each of the last 11 years, according to the company summary in the source data. That is rare durability.
Financial health
B++
strength
- balance sheet grade B++ — above average financial health
- risk rank 3 — safer than 50% of stocks
- price stability 70 / 100
- long-term debt $6.2B (12% of capital)
- net profit margin 39.4% — keeps 39 cents of every dollar in revenue
B++ — functional but not a standout on the balance sheet.
Total return vs. market
You invested $10,000 in MSCI 3 years ago → it's now worth $11,380.
The index would have given you $13,880.
source: institutional data · total return
What just happened
beat estimates
MSCI's latest quarter was clean: revenue reached $822.5M and EPS came in at $4.65, above the $4.56 estimate.
Full-year revenue reached $3.1B, up 9.7%, while 2025 EPS rose to $17.28 from $15.20 in 2024. The company also cut shares outstanding by 5%, which helped per-share growth.
$822.5M
revenue
$4.65
eps
82.4%
gross margin
the number that mattered
The 54.7% operating margin matters most, because it shows MSCI is not just growing. It is growing while keeping more than half of each revenue dollar.
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msci posted another record year in 2025.
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in fact, earnings have set records in each of the last 11 years.
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and the gains have not been small, averaging over 23% annually during the period.
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last year's 14% share-net gain benefited from 10% organic revenue growth and a 5% reduction in shares outstanding.
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a stronger u.s. dollar dented earnings by 1%, as 60% of assets under management are not in the u.s.
source: company earnings report, 2026
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What could go wrong
MSCI's main risk is not that the business suddenly stops mattering. It is that you are paying a premium price for a company whose visible revenue base is still only $3.1B, with limited segment detail to soften a slowdown.
med
premium multiple compression
The stock trades at 36.2x trailing earnings while its 3-year return trails the market. That tension can last for a while. It usually ends when growth cools.
If the market stops paying up for predictability, you can own the same business and still get a worse stock.
med
client budgets move with markets
MSCI sells to asset owners, exchanges, and money managers whose budgets and asset flows are tied to market levels. In weak markets, even essential tools face scrutiny.
Because the snapshot shows one core revenue bucket, a slowdown can echo through most of the visible business at once.
med
thin segment visibility
The page only shows one disclosed $3.1B operating bucket. That does not mean the underlying business is simple. It does mean you have less segment-level evidence when growth starts wobbling.
Less disclosure means fewer places for management to hide and fewer places for you to verify where the momentum is coming from.
med
debt is manageable, not invisible
MSCI carries $6.2B in long-term debt and a B++ balance sheet grade. Fine for this business model. Not irrelevant if growth slips and rates stay higher for longer.
The margin story gives you comfort. It does not erase balance-sheet discipline.
The key risk is straightforward: if revenue settles closer to $3B than $3.1B while the stock still asks for 36.2x earnings, the math gets less forgiving fast.
source: institutional data · regulatory filings · risk analysis
Pay attention to
valuation
revenue versus the multiple
Last year revenue grew +35.6%, but the FY2026 revenue estimate sits at $3B against the current $3.1B base. If growth normalizes quickly, 36.2x earnings gets harder to defend.
earnings
the next quarterly print
You want to know whether $4.25 quarterly EPS was another clean step up or just one polished quarter in an already expensive stock.
flow
institutional selling streak
451 buyers versus 525 sellers in 3Q2025 is not a panic signal. If you see a third straight net-selling quarter, it starts looking less like noise and more like valuation fatigue.
business risk
client spending in weaker markets
MSCI's products are sticky, but the buyers still live inside the asset-management cycle. If markets stay soft, renewal strength matters more than brand strength.
Analyst rankings
short-term outlook
top 5%
Momentum score 1 is the best rating. In human-speak: analysts think this should outperform most stocks over the next stretch.
risk profile
average
Stability score 3 means typical risk. Not a bunker stock. Not chaos either.
chart momentum
average
Technical score 3 says the chart is fine, not special. The business quality looks stronger than the tape.
earnings predictability
100 / 100
Few companies score this high. You usually know what kind of quarter you are going to get here.
source: institutional data
Institutional activity
institutions have been net selling for 2 consecutive quarters — 451 buyers vs. 525 sellers in 3q2025. total institutional holdings: 68.4M shares. net selling for 2 quarters.
source: institutional data
Price targets
3-5 year target range
$530
$906
$625
current price
$718
target midpoint · +15% from current · 3-5yr high: $850 (+35% · 9% ann'l return)
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