Core Insights - Marsh & McLennan Companies, Inc. (MMC) continues to outperform competitors in the professional services sector, particularly in risk management and consulting [1] Financial Performance - On October 16, 2025, MMC reported earnings per share (EPS) of $1.85, exceeding the forecast of $1.79, marking an 11% increase in adjusted EPS [2][6] - The company's revenue reached approximately $6.35 billion, surpassing the anticipated $6.31 billion, with an overall revenue growth of 11% and a 4% rise on an underlying basis [2][6] - Adjusted operating income increased by 13%, indicating effective operational management and profitability enhancement [3] Financial Metrics - MMC's price-to-earnings (P/E) ratio stands at approximately 24.30, reflecting the price investors are willing to pay for each dollar of earnings [4][6] - The price-to-sales ratio is about 3.88, and the enterprise value to sales ratio is around 4.66, highlighting the value attributed to the company's sales [4] - The current ratio of 1.20 indicates satisfactory liquidity to meet short-term liabilities, while a debt-to-equity ratio of 1.37 shows a balanced financing approach [5][6]

Core Insights - Commodity traders are facing renewed geopolitical risks due to military conflicts, increasing tariffs, and pressure on global supply chains, which may lead to volatility-driven profits for some players [1][2] Risk Analysis - The report identifies tariffs as the biggest economic threat to commodity traders, reshaping trade flows and injecting unprecedented policy uncertainty [7] - China remains the largest buyer in most commodity sectors, with slowing growth and deflation risks potentially affecting balance sheets, necessitating close monitoring of the economy [7] - Climate change is reshaping commodity markets, altering seasonal fuel demand and straining logistics [7] - Geopolitical tensions, particularly around Ukraine, continue to impact commodity markets, raising fears of supply shocks due to potential Black Sea trade disruptions [7] - Maritime trade faces rising disruptions from drone-enabled attacks and weakening global security guarantees, increasing costs and threatening the flow of global commodities [7] Emerging Risks - The evolution of European sustainability regulations could become a significant concern, impacting the global market's operation and balancing the need for reliable imports with data privacy and climate impact [3] - Potential turmoil in the global bond market may arise from the end of extraordinary stimulus measures aimed at combating post-pandemic inflation, with isolated examples raising concerns for larger problems [3] Industry Perspective - The current protectionist era is prompting governments and businesses to move towards onshore production, yet trade remains crucial for commodities that are difficult to produce in many regions [4]

Core Insights - Five stocks have been added to the Zacks Rank 1 (Strong Buy) List, indicating strong potential for investment Company Summaries - **Richardson Electronics (RELL)**: A global provider of engineered solutions, has seen a 52.9% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - **Wayfair (W)**: A leading online seller of home goods, has experienced a 7.4% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - **Flexsteel Industries (FLXS)**: Engaged in the design and manufacture of upholstered furniture, has seen a 5.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [3] - **Encore Capital Group (ECPG)**: An international specialty finance company providing debt recovery solutions, has experienced a 3.9% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [4] - **Assurant (AIZ)**: A global provider of risk management solutions, has seen a 3.4% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [5]

Core Insights - The article emphasizes the importance of sales growth over earnings when evaluating stocks, suggesting that steady sales growth indicates strong demand and a durable business model [2][3][10] - A selection of stocks with robust sales growth and high cash balances is recommended, including StoneCo, Garmin, Assurant, VICI Properties, and Duke Energy, all of which show promising sales growth for 2025 [10][11][12][13][14][15] Sales Growth and Cash Flow - Sales growth is preferred over earnings as it reflects actual demand and provides visibility into a company's business model [3][5] - Constant sales growth leads to predictable cash flows, allowing companies to reinvest, expand, or return capital to shareholders without excessive debt reliance [5] Stock Selection Criteria - Stocks are shortlisted based on criteria such as 5-Year Historical Sales Growth greater than industry average and Cash Flow exceeding $500 million [6] - Additional metrics include a Price/Sales (P/S) Ratio lower than the industry average, positive changes in sales estimate revisions, operating margins above 5%, and Return on Equity (ROE) greater than 5% [7][8][9] Recommended Stocks - **StoneCo Ltd. (STNE)**: Expected sales growth of 9.8% for 2025, currently holds a Zacks Rank 1 [11] - **Garmin Ltd. (GRMN)**: Anticipated sales growth of 12.3% for 2025, currently holds a Zacks Rank 2 [12] - **Assurant Inc. (AIZ)**: Projected sales growth of 5.7% for 2025, currently holds a Zacks Rank 2 [13] - **VICI Properties Inc. (VICI)**: Expected sales growth of 4% for 2025, currently holds a Zacks Rank 2 [14] - **Duke Energy Corporation (DUK)**: Anticipated sales growth of 4.6% for 2025, currently holds a Zacks Rank 2 [15]

Core Insights - The 2025 Global Risk Management Survey by Aon highlights a significant rise in geopolitical volatility, which has entered the top ten global risks for the first time in the survey's history, reflecting growing instability and its implications for supply chains and financial performance [2][4] Group 1: Current Risks - Cyber Attack or Data Breach remains the top risk, with the rapid adoption of digital platforms and AI technologies expanding the attack surface for threats [5][6] - Geopolitical Volatility has surged 12 places since the last survey, indicating a shift in organizational risk perception [2][4] - Only 14% of organizations track their exposure to the top ten risks, emphasizing a need for proactive risk management strategies [3][6] Group 2: Future Risks - By 2028, Cyber Risk is expected to remain the top concern, with AI and Climate Change also emerging as critical risks [9][10] - Climate Change has climbed to number nine on the future risk list, highlighting its growing recognition as a systemic business risk [10][12] - The convergence of technology, geopolitics, and environmental pressures necessitates flexible strategies for organizations to adapt to new challenges [12] Group 3: Workforce Risks - Workforce risks have dropped out of the top ten despite ongoing talent shortages, indicating a potential blind spot for organizations [7][9] - The decline in workforce risks ranking raises concerns as these challenges are interconnected with other critical business risks [9]

Core Insights - Data loss and cyber-attacks are identified as two of the top three risks to directors and officers according to the Cyber Directors' and Officers' Survey Report by Willis [1][2] Group 1: Survey Overview - The survey included responses from various sectors, with the services sector representing 24% and finance and insurance 19%, predominantly from for-profit, private companies [2][4] - Great Britain identified cyber-attacks (excluding cyber extortion) as the top risk, while North America and the Middle East ranked data loss as their primary concern [2] Group 2: Risk Perception Changes - Despite increased awareness of cyber-attacks, the risk ranking for cyber-attacks decreased by 2% from 2024 to 2025 [3] - Adrian Ruiz emphasized the importance of a strong cyber security culture and proactive strategies to manage evolving threats [3] Group 3: Cybersecurity Practices - The frequency of board updates on cyber security improved, with only 12% updating in response to incidents, down from 20% in the previous year [6] - Monthly updates to boards increased from 18% to 28% between 2024 and 2025 [6] - 80% of respondents have implemented a cyber incident response plan, with over two-thirds having conducted an incident response exercise in the past year [6] Group 4: Preparedness and Budgeting - 65% of respondents feel well prepared to manage a cyber incident, an increase from 56% in 2024 [6] - Cyber security budgets are expected to increase in 2025, but at a lower rate than in 2024 (56% vs. 63%) [6] Group 5: Cyber Insurance - Cybersecurity risks are considered the most important aspect of directors' and officers' liability insurance coverage, with 53% of respondents having cyber insurance and 18% planning to purchase it within the next two years [6]

Core Insights - Willis, a WTW business, has announced a partnership with Crowd Safety to enhance its crisis management services, particularly in crowd safety management and event security for large gatherings [1][2] Company Overview - WTW provides data-driven solutions in people, risk, and capital across 140 countries, aiming to sharpen strategies and enhance organizational resilience [4] - Crowd Safety specializes in crowd safety management, offering expert consultations, safety audits, and training solutions based on extensive experience [6] Partnership Details - The partnership aims to leverage Crowd Safety's expertise in managing crowds of over 100,000 people, addressing evolving safety and security challenges [2] - Steve Allen, CEO of Crowd Safety, emphasized the added value this partnership brings to clients in crisis management [3] - Fergus Critchley, Head of Crisis Management in North America, highlighted the importance of specialized safety strategies for clients in the entertainment sector [3]