Marcus & Millichap (MMI) Company Report

The U.S. economy is projected to grow 2.5%-3% in 2026, driven by artificial intelligence (AI) investments and fiscal stimulus, though job growth is expected to remain modest with unemployment potentially reaching 4.5%-5%.
Key risks include the economy's dependence on AI stock valuations, high equity market valuations (economy-wide P/E multiple well above historical average of 12), and inflation persisting above the Fed's target through most of 2026.
The real estate market is seeing a recalibration of prices and a return of capital, particularly in apartments due to reduced new construction, while office and industrial sectors adjust to varying supply/demand dynamics.
Significant volatility in interest rates is anticipated, with a potential for a spike in long-term rates, despite a forecast of a 24% increase in loan volume and financing activity for 2026.

Jan 22, 2026, 7:00 PM

Transcript

Moody's Analytics Forecasts Improved 2026 GDP Growth Amidst AI-Driven Tailwinds and Market Risks

MMI

Guidance Update

New Projects/Investments

Demand Weakening

The U.S. economy is projected for a "reasonably good year" in 2026, with GDP growth expected to be 2.5%-3%, an improvement from 2025's estimated 2%-2.5%. However, job growth will remain modest, with the unemployment rate anticipated to be between 4.5% and 5%.
Key tailwinds for growth include artificial intelligence (AI), driving investment and wealth effects from stock prices, and fiscal stimulus through tax cuts and spending increases.
Significant headwinds and downside risks include deglobalization (tariffs and immigration policy impacting the labor market), high equity market valuations (particularly AI stocks), and potential fragility in the bond market.
In commercial real estate, the apartment market faces a future supply shortage due to a 72% drop in multifamily starts and over 50% drop in units under construction. The office market is showing signs of recovery with positive net absorption in Q4 2025, while the industrial market is correcting after oversupply.
Cap rates have adjusted upwards by 100-150 basis points, widening the spread with interest rates, which is expected to attract capital and lead to a 24% increase in loan volume and financing activity in 2026.

Jan 22, 2026, 7:00 PM

Transcript

Marcus & Millichap Reports Q3 2025 Financial Results with Revenue Growth and Return to Profitability

MMI

Earnings

Revenue Acceleration/Inflection

Legal Proceedings

Marcus & Millichap (MMI) reported Q3 2025 revenue of $193.9 million, marking a 15.1% year-over-year increase, primarily fueled by a 34.4% surge in financing volume.
The company returned to profitability with a net income of $0.24 million and earnings per share of $0.01 in Q3 2025, despite an operating loss and an $0.08 loss per share related to a litigation accrual.
While Q3 2025 revenue growth was strong, Marcus & Millichap has experienced weak long-term sales growth, with a 1.3% compounded annual growth rate over the past five years.
Investor sentiment remains cautious, reflected in a "hold" analyst rating and a price-to-earnings ratio of 67 times next 12-month earnings, a notable decrease from 105 times three months prior.

Nov 8, 2025, 3:20 AM

Morningstar

MMI Reports Strong Q3 2025 Revenue Growth and Return to Profitability

MMI

Earnings

Revenue Acceleration/Inflection

Legal Proceedings

Marcus & Millichap (MMI) reported total revenue of $194 million in Q3 2025, a 15% increase over Q3 2024, marking the fifth consecutive quarter of year-over-year revenue growth.
The company achieved net income of $240,000, or $0.01 per share, in Q3 2025, which includes an $0.08 per share charge for a $4 million legal reserve. Adjusted EBITDA for the quarter was $7 million.
Real estate brokerage commissions, representing 84% of total revenue, increased 14% year-over-year to $162 million, with MMI's transaction growth of 25% outpacing the estimated market growth of 12%. Financing revenue also grew 28% to $26 million.
MMI maintains a strong balance sheet with no debt and $382 million in cash, cash equivalents, and marketable securities. The company returned $10 million to shareholders through a dividend and repurchased nearly 265,000 shares for $8 million year-to-date.

Nov 7, 2025, 3:30 PM

Transcript

MMI Reports Q3 2025 Financial and Operational Results

MMI

Earnings

Revenue Acceleration/Inflection

Dividends

MMI reported Q3 2025 revenue of $193.9 million, an increase of 15.1% year-over-year, with year-to-date revenue reaching $511.2 million, up 12.1%.
The company achieved net income of $0.2 million in Q3 2025, a 104.5% increase year-over-year, and its Adjusted EBITDA was $6.9 million for the quarter.
Total sales volume for Q3 2025 was $12.2 billion, a 1.7% increase year-over-year, with transaction closings rising 15.2% to 2,289.
As of September 30, 2025, MMI's liquidity position stood at $381.5 million, which included $117.4 million in cash and cash equivalents and $264.1 million in marketable debt securities.

Nov 7, 2025, 3:30 PM

Presentation

Marcus & Millichap Reports Third Quarter 2025 Results

MMI

Earnings

Dividends

Share Buyback

Marcus & Millichap (MMI) reported total revenue of $193.9 million for the third quarter of 2025, an increase of 15.1% compared to the third quarter of 2024. For the nine months ended September 30, 2025, total revenue was $511.2 million, up 12.1% from the prior year period.
The company achieved net income of $0.2 million, or $0.01 per common share, diluted, for Q3 2025, which includes a $0.08 loss per common share accrual for litigation. This compares to a net loss of $5.4 million, or $0.14 per common share, diluted, in Q3 2024.
Adjusted EBITDA for Q3 2025 was $6.9 million, compared to approximately breakeven in Q3 2024.
On July 31, 2025, the Board of Directors declared a semi-annual regular dividend of $0.25 per share, which was paid on October 6, 2025.
During the nine months ended September 30, 2025, the company repurchased 264,554 shares of common stock for a total of $8.0 million, with approximately $59.0 million remaining under its share repurchase program.

Nov 7, 2025, 1:00 PM

Press Release

Marcus & Millichap, Inc. Reports Q3 2025 Financial Results

MMI

Earnings

Dividends

Legal Proceedings

Marcus & Millichap, Inc. reported total revenue of $193.9 million for the third quarter of 2025, an increase of 15.1% compared to the third quarter of 2024.
The company achieved net income of $0.2 million, or $0.01 per common share, diluted, for Q3 2025, a significant improvement from a net loss of $5.4 million, or $0.14 per common share, diluted, in Q3 2024.
Diluted earnings per common share for Q3 2025 included a $0.08 loss per common share accrual for litigation.
Adjusted EBITDA for Q3 2025 was $6.9 million, up from approximately breakeven in the prior year period.
On July 31, 2025, the Board of Directors declared a semi-annual regular dividend of $0.25 per share, which was paid on October 6, 2025.