MSCI: A Quality Compounder at Risk—Why I’m Not Joining the Bullish Chorus
7 months ago
Compound & Fire
"MSCI pass: High-margin data provider (82% gross) & index leader with strong ROIC (23.9%) showing cracks. Declining subscription sales, commoditization, negative shareholder equity & $4.5B debt (2.6x EBITDA) threaten moat. Current $564 price implies unrealistic 16.2% UFCF growth; fair value $336 (base case 9% growth)."
Sentiment
neutral
Conviction
Medium
Tier
Trade Call
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Episode Information
Episode:
MSCI: A Quality Compounder at Risk—Why I’m Not Joining the Bullish Chorus
Source:
Compound & Fire
Published:
June 5, 2025
Idea Type:
Stock Idea