Stock · MCO · Financial Services

Moodys Corporation

United States · Large Cap · listed since 2000 · Revenue 12 mo. $8.2B

Price as of 11/06/2026

StockScorer score
5.5
of 10 6 of 11 points Not rated To the score
Price
$505.67
1 Y −4.7%
Market cap
$85.1B
Phase
Growth
revenue growing, core business profitable
Revenue +12.2% a year (3 years)EBIT margin 44.8%Payout 82.2% of operating cash flow

Moody's Corporation, together with its subsidiaries, operates as an integrated risk assessment firm in the United States, the rest of the Americas, Europe, the Middle East, Africa, and the Asia Pacific.

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Moody's Corporation, together with its subsidiaries, operates as an integrated risk assessment firm in the United States, the rest of the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates through two segments, Moody's Analytics (MA) and Moody's Investors Service (MIS). The MA segment develops a range of products and services that support the risk management activities of institutional participants in financial markets. This segment also offers credit research, credit models and analytics, economic data and models, and structured finance solutions; data sets on companies and securities; and cloud-based SaaS subscription solutions supporting banking, insurance, and know-your-customer workflows. The MIS segment publishes credit ratings and provides assessment services on various debt obligations, programs and facilities, and entities that issue such obligations, including corporate, financial institution, and governmental obligations, as well as structured finance securities. It also provides ratings, investment research, compliance and third-party risk, supplier risk, trade credit, business intelligence sales and marketing, financial and regulatory reporting, balance sheet management, capital management, credit portfolio management, and model risk and governance solutions; Maxsight, a unified risk platform; lending suite, origination, and monitoring solutions; and property, casualty, and sustainable insurance underwriting solutions. The company serves the financial, banking, insurance, corporate, public, and asset management sectors. The company was formerly known as Dun and Bradstreet Company and changed its name to Moody's Corporation in September 2000. Moody's Corporation was founded in 1900 and is headquartered in New York, New York.

Original text from the data provider

Summary

Moodys Corporation is around the middle of the Financial Services sector overall

55.7 of 100

Mean of the six area values. Each area value is the mean of the stock's ranks among the companies in its sector. 50 is the middle of the sector, not a share of companies beaten.

Analysis

What the price requires

The price requires 15.2% FCF growth a year, more than achieved over the last 5 and 10 years.

If free cash flow stays at €2.3B (2025), it supports €25.7B. The remaining €50.7B of the market value assume it grows 15.2% a year for 10 years and not at all afterwards.

Required FCF growth per year

15.2%

no growth afterwards

Market value breakdown€76.4B market value, price as of 11/06/2026

€25.7B without growth
€50.7B priced-in growth
  • 5 yrs achieved 11.0%
  • 10 yrs achieved 11.9%
  • priced in 15.2%

Valuation against its own history

Price to operating cash flow 26.3×, below its usual range.

Middle half of 20 quarters: 30.3× to 33.7×, median 32.1×.

Measures only against its own past, not against what the company is worth. Price as of 11/06/2026.

3 signs support the expectation, 1 speaks against it.

What supports it

with respect to the priced-in expectation

  • High, stable gross margin median 68.2%, range 5.1 pp (10 years)
  • High return on capital every year ROCE at least 16.7% (10 years)
  • Low capital needs capex median 2.7% of revenue (10 years)

What speaks against it

with respect to the priced-in expectation

  • Expectation above the company's own record priced in 15.2%, achieved at most 11.9%

Since the last quarter

Q2 → Q3 2026

Mostly worse than the previous quarter: 3 of 5 changes for the worse.

  • FCF, 12 mo.$3.4B → $3.2B−6.9%worse
  • Gross margin71.9% → 73.1%+1.2 ppbetter
  • FCF margin41.6% → 38.7%−3.0 ppworse
  • Shares outstanding176M → 173M−1.5%better
  • Return on equity92.4% → 88.2%−4.2 ppworse

3 more unchanged: Revenue, 12 mo., EBIT margin, Net debt

Derivation

How the sector comparison is derived

Each area value is the average of its metrics' ranks within the sector (0 to 100, 50 is the middle). For metrics where lower is better, the rank is mirrored. The overall value is the average of the area values.

Price as of 11/06/2026.

Profitability73.9above the middleEarns more than the sector: Return on equity 60.66%, sector 12.46%.
MetricStockSector medianPosition in sector
Return on equity60.66%12.46%Rank 99
Return on capital (Greenblatt)107.67%59.04%Rank 60
EBIT margin44.77%23.06%Rank 87
FCF margin33.36%19.82%Rank 70
Gross margin68.15%65.53%Rank 54
Growth57.7around the middleGrows about as fast as the sector.
MetricStockSector medianPosition in sector
Revenue growth, 1 year8.89%7.39%Rank 55
Earnings growth, 3 years per year22.48%15.20%Rank 65
Earnings growth, 5 years per year7.79%15.17%Rank 24
Sustainable growth (ROE × retained earnings)4.22%1.25%Rank 86
Valuation16.3below the middleValued higher than the sector: Earnings yield 2.70%, sector 6.47%.
MetricStockSector medianPosition in sector
Earnings yield2.70%6.47%Rank 10
FCF yield3.03%7.16%Rank 24
EV/saleslower is better11.662.82Rank 10
EV/EBITlower is better26.0514.24Rank 22
Momentum61.5above the middleShare price doing better than the sector: Share price, 3 months 10.98%, sector 0.45%.
MetricStockSector medianPosition in sector
Share price, 1 year−4.74%7.80%Rank 28
Share price, 6 months12.53%8.71%Rank 66
Share price, 3 months10.98%0.45%Rank 84
Distance from 52-week high−6.29%−10.68%Rank 68
Quality77.8above the middleQuality above the sector: Dividend streak in years 24, sector 5.
MetricStockSector medianPosition in sector
Accruals (Sloan)lower is better−2.83%1.23%Rank 93
Change in share countlower is better−1.53%−0.60%Rank 64
Dividend streak in years245Rank 95
Price reaction to results, market-adjusted0.67%0.00%Rank 60
Balance sheet & risk47.3around the middleRisk about like the sector.
MetricStockSector medianPosition in sector
Equity ratio25.61%9.21%Rank 78
Net debt/EBITDAlower is better1.250.12Rank 38
Debt to equitylower is better1.810.90Rank 32
Volatility, 1 yearlower is better27.98%25.95%Rank 42

Ten years in figures

Revenue from $3.6B (2016) to $7.7B (2025), 8.8% a year.

Fiscal years, amounts in USD
YearRevenue, $BEBIT marginFCFSharesNet debt, $B
20163.642.0%$1.1B195M1.3
20174.243.9%$664.0M194M4.5
20184.443.3%$1.4B194M4.0
20194.843.0%$1.6B192M−1.3
20205.445.6%$2.0B189M−2.1
20216.245.7%$1.9B188M−1.3
20225.536.5%$1.2B185M−1.3
20235.937.5%$1.9B184M5.3
20247.141.9%$2.5B183M5.3
20257.744.8%$2.6B180M5.0
5.5 / 10Not ratedStockScorer score6 of 11 points

4 of 7 StockScorer Score rules met · How the score is built

Moodys Corporation mainly meets criteria in the Profitability category. Result from 18 strategies checked.

This stock · Profitability: 100%This stock · Growth: 50%This stock · Valuation: 0%This stock · Momentum: 0%Median of all stocks · Profitability: 33%Median of all stocks · Growth: 0%Median of all stocks · Valuation: 0%Median of all stocks · Momentum: 0%50%100%ProfitabilityGrowthValuationMomentumThis stockMedian of all stocks

How Moodys Corporation's score is built

This is how the StockScorer Score strategy, the flagship rule set, calculates the points for Moodys Corporation. It compares return and cash-flow metrics with the median of the company's own sector and checks growth and price trend.

4 of 7 rules met

6 of 11 points

The rule “Exclusion: financial and real estate stocks” applies. The stock is therefore not rated regardless of the points scored.

  1. Free cash flow yield above the sector mediannot met0 of 2 points
  2. Return on capital (Greenblatt ROC) above the sector medianmet2 of 2 points
  3. Return on equity above the sector medianmet1 of 1 point
  4. Free cash flow margin above the sector medianmet2 of 2 points
  5. Revenue growth above 15%not met0 of 2 points
  6. 3-year earnings growth above 12% p.a.met1 of 1 point
  7. 12-month share price more than 20 percentage points ahead of the marketnot met0 of 1 point
  8. Exclusion: financial and real estate stocksapplies

Detail data

How does Moodys Corporation stock perform across 18 strategies?

Excerpt from 18 strategies checked. The full evaluation is visible after a free sign-up.

12 more strategies locked

With a free account, you can see the match across all strategies checked in one complete overview.

  • Growth Momentum (CAN SLIM principle)
  • Moat Quality
  • Magic Formula: Value + Quality
  • Dividend Aristocrats & Continuity
  • Balanced GARP
  • Levermann Strategy (13 Criteria)
  • Altman Z-Score: Stress Test
  • Acquirer's Multiple: EV/EBIT Deep Value
  • Earnings Quality: Accrual Check (Sloan)
  • PEG Strategy (inspired by Peter Lynch)
  • Trending Value: Value + Momentum
  • Undervalued Stocks: Multi-Factor Check

Moodys Corporation key metrics: P/E, P/B and equity ratio

Selected fundamental metrics for Moodys Corporation.

MetricStockSector
P/E ratio37.015.2
P/B ratio22.41.8
Return on equity (ROE)60.7%12.5%
Equity ratio25.6%9.2%
Debt-to-equity (D/E)1.810.90
Dividend yield0.8%3.3%

Similar stocks in Financial Services

How comparable stocks in the same sector score in the StockScorer model.

SymbolCompanyRating
MCOMoodys Corporationthis page
ICEIntercontinental Exchange IncLow4.5
CMECME Group IncLow5.5
NDAQNasdaq IncLow4.5
MSCIMSCI Inclocked
COINCoinbase Global Inclocked

Frequently asked questions about Moodys Corporation stock

How does Moodys Corporation stock (MCO) score in the StockScorer model?
Moodys Corporation stock reaches a StockScorer score of 5.5 out of 10, but is not rated (exclusion rule: Exclusion: financial and real estate stocks).
What is Moodys Corporation's P/E ratio?
Moodys Corporation's P/E ratio is 37.0. The Financial Services sector median is 15.2.
What sector is Moodys Corporation in?
Moodys Corporation is assigned to the Financial Services sector. Its rank within the sector is 55.7 out of 100: 100 means the stock leads its peer group of large and mid-cap sector stocks in every measured area.

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