MSCI Sees 14.1% Q1 Revenue Growth, Retention at 95.4% with $690 Price Target
MSCI•MSCI leveraged growing ETF assets to deliver 14.1% Q1 revenue growth and sustain a 95.4% customer retention rate, underpinning stable recurring revenues. Redburn raised its price target to $690 (15.6% upside) and Zacks upgraded to a buy as upward earnings revisions boost analyst optimism.
1. ETF Investing Boosts Q1 Revenues
In Q1 2026, MSCI reported a 14.1% year-over-year rise in revenue, fueled by higher asset levels in ETFs that track its indexes. The firm also maintained a 95.4% customer retention rate, highlighting the durability of its portfolio analytics and risk management subscriptions.
2. Analyst Price Target Increases
On June 18, Redburn Partners lifted its price target to $690, implying roughly a 15.6% potential gain. Zacks Investment Research upgraded MSCI to a #2 (Buy) rank, driven by upward revisions in future earnings estimates.
3. Valuation Perspective
MSCI trades at a forward price-to-earnings ratio of 28.1, which some analysts view as about a 17% discount to fair value. Its high recurring-revenue model and strong client retention support a premium multiple compared with industry peers.
