MSCI Inc. Class A (MSCI)

MSCI's stock price has been influenced by its Q3 2025 earnings report, which surpassed expectations, leading to a stock increase. Additionally, MSCI's decision not to exclude companies with significant digital asset holdings from its indexes positively impacted their stock prices and clarified MSCI's index policy.

Demand for MSCI's products and services is characterized by consistency and predictability due to its subscription-based products, which account for approximately 98% of its recurring revenue. The nature of its core business and high switching costs contribute to stable demand.

MSCI Inc. is a global provider of decision support tools and services for the investment community, operating in the financial services sector. It licenses indices to index funds like ETFs and offers products in Index, Analytics, ESG and Climate, and Private Assets. The Index segment includes global equity indices like the MSCI World Index, used for benchmarking and portfolio construction. The Analytics segment provides risk management and portfolio management tools. The ESG and Climate segment offers ESG ratings and climate solutions. The All Other - Private Assets segment includes business intelligence products for real estate.

MSCI operates globally, serving clients in over 85 countries. As of December 31, 2022, nearly half of MSCI's employees were located in the Asia Pacific region. The United States accounts for the largest portion of net sales, followed by Europe/Middle East/Africa, and the United Kingdom.

MSCI's brand reputation has faced scrutiny due to concerns about the accuracy of its accounting choices and financial reporting, as well as the durability of its growth prospects. Criticisms related to "greenwashing" in its ESG business have also impacted its reputation. The company's products and corporate responsibility policies are subject to scrutiny.

Institutional investors hold a significant majority of MSCI's stock, approximately 91.89% as of April 2025, with mutual funds accounting for 73.51% of this ownership. Major institutional shareholders include Vanguard Group Inc., BlackRock, Inc., and State Street Corp. Henry A. Fernandez, the Chairman and CEO, held 2,173,447 shares as of December 31, 2025.