MOODY'S CORP (MCO) Stock Fundamental Analysis

NYSE:MCO • US6153691059

451.16 USD
+14.05 (+3.21%)
Last: Feb 24, 2026, 10:44 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

MCO gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 238 industry peers in the Capital Markets industry. While MCO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MCO is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • In the past year MCO was profitable.
  • MCO had a positive operating cash flow in the past year.
  • MCO had positive earnings in each of the past 5 years.
  • In the past 5 years MCO always reported a positive cash flow from operatings.
MCO Yearly Net Income VS EBIT VS OCF VS FCFMCO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

1.2 Ratios

  • MCO's Return On Assets of 15.53% is amongst the best of the industry. MCO outperforms 95.38% of its industry peers.
  • MCO's Return On Equity of 60.66% is amongst the best of the industry. MCO outperforms 99.16% of its industry peers.
  • MCO has a Return On Invested Capital of 20.93%. This is amongst the best in the industry. MCO outperforms 97.06% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for MCO is significantly above the industry average of 7.31%.
  • The last Return On Invested Capital (20.93%) for MCO is above the 3 year average (18.20%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 15.53%
ROE 60.66%
ROIC 20.93%
ROA(3y)13.27%
ROA(5y)12.89%
ROE(3y)55.61%
ROE(5y)60.51%
ROIC(3y)18.2%
ROIC(5y)17.14%
MCO Yearly ROA, ROE, ROICMCO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100 -100 200 -200 -300

1.3 Margins

  • The Profit Margin of MCO (31.86%) is better than 78.57% of its industry peers.
  • In the last couple of years the Profit Margin of MCO has remained more or less at the same level.
  • Looking at the Operating Margin, with a value of 44.86%, MCO belongs to the top of the industry, outperforming 81.93% of the companies in the same industry.
  • MCO's Operating Margin has been stable in the last couple of years.
  • The Gross Margin of MCO (74.44%) is better than 82.35% of its industry peers.
  • In the last couple of years the Gross Margin of MCO has remained more or less at the same level.
Industry RankSector Rank
OM 44.86%
PM (TTM) 31.86%
GM 74.44%
OM growth 3Y7.09%
OM growth 5Y-0.31%
PM growth 3Y8.23%
PM growth 5Y-0.76%
GM growth 3Y1.83%
GM growth 5Y0.52%
MCO Yearly Profit, Operating, Gross MarginsMCO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • The number of shares outstanding for MCO has been reduced compared to 1 year ago.
  • Compared to 5 years ago, MCO has less shares outstanding
  • Compared to 1 year ago, MCO has an improved debt to assets ratio.
MCO Yearly Shares OutstandingMCO Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M
MCO Yearly Total Debt VS Total AssetsMCO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

  • An Altman-Z score of 6.93 indicates that MCO is not in any danger for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 6.93, MCO belongs to the top of the industry, outperforming 90.34% of the companies in the same industry.
  • MCO has a debt to FCF ratio of 2.72. This is a good value and a sign of high solvency as MCO would need 2.72 years to pay back of all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 2.72, MCO is in the better half of the industry, outperforming 79.41% of the companies in the same industry.
  • A Debt/Equity ratio of 1.73 is on the high side and indicates that MCO has dependencies on debt financing.
  • MCO's Debt to Equity ratio of 1.73 is on the low side compared to the rest of the industry. MCO is outperformed by 73.95% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.73
Debt/FCF 2.72
Altman-Z 6.93
ROIC/WACCN/A
WACCN/A
MCO Yearly LT Debt VS Equity VS FCFMCO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B

2.3 Liquidity

  • MCO has a Current Ratio of 1.74. This is a normal value and indicates that MCO is financially healthy and should not expect problems in meeting its short term obligations.
  • The Current ratio of MCO (1.74) is better than 72.27% of its industry peers.
  • A Quick Ratio of 1.74 indicates that MCO should not have too much problems paying its short term obligations.
  • MCO has a better Quick ratio (1.74) than 72.27% of its industry peers.
Industry RankSector Rank
Current Ratio 1.74
Quick Ratio 1.74
MCO Yearly Current Assets VS Current LiabilitesMCO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 19.79% over the past year.
  • Measured over the past years, MCO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.07% on average per year.
  • MCO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.89%.
  • The Revenue has been growing slightly by 7.52% on average over the past years.
EPS 1Y (TTM)19.79%
EPS 3Y20.43%
EPS 5Y8.07%
EPS Q2Q%38.93%
Revenue 1Y (TTM)8.89%
Revenue growth 3Y12.17%
Revenue growth 5Y7.52%
Sales Q2Q%12.98%

3.2 Future

  • MCO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.32% yearly.
  • The Revenue is expected to grow by 7.28% on average over the next years.
EPS Next Y10.75%
EPS Next 2Y11.43%
EPS Next 3Y11.4%
EPS Next 5Y11.32%
Revenue Next Year7.71%
Revenue Next 2Y7.82%
Revenue Next 3Y7.42%
Revenue Next 5Y7.28%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
MCO Yearly Revenue VS EstimatesMCO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2B 4B 6B 8B 10B
MCO Yearly EPS VS EstimatesMCO Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 5 10 15 20

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Find the best growth stocksShow best growing peers

2

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 30.18, the valuation of MCO can be described as expensive.
  • 74.37% of the companies in the same industry are cheaper than MCO, based on the Price/Earnings ratio.
  • When comparing the Price/Earnings ratio of MCO to the average of the S&P500 Index (26.64), we can say MCO is valued inline with the index average.
  • Based on the Price/Forward Earnings ratio of 27.25, the valuation of MCO can be described as expensive.
  • MCO's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. MCO is more expensive than 64.71% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.75, MCO is valued at the same level.
Industry RankSector Rank
PE 30.18
Fwd PE 27.25
MCO Price Earnings VS Forward Price EarningsMCO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, MCO is valued a bit cheaper than 69.33% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of MCO is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 31.26
EV/EBITDA 20.92
MCO Per share dataMCO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 -20 40

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • MCO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.81
PEG (5Y)3.74
EPS Next 2Y11.43%
EPS Next 3Y11.4%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

3

5. Dividend

5.1 Amount

  • MCO has a yearly dividend return of 0.92%, which is pretty low.
  • Compared to an average industry Dividend Yield of 6.17, MCO is paying slightly less dividend.
  • Compared to an average S&P500 Dividend Yield of 1.80, MCO's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.92%

5.2 History

  • The dividend of MCO is nicely growing with an annual growth rate of 11.82%!
  • MCO has paid a dividend for at least 10 years, which is a reliable track record.
  • MCO has decreased its dividend recently.
Dividend Growth(5Y)11.82%
Div Incr Years1
Div Non Decr Years1
MCO Yearly Dividends per shareMCO Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3

5.3 Sustainability

  • 28.51% of the earnings are spent on dividend by MCO. This is a low number and sustainable payout ratio.
  • The dividend of MCO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP28.51%
EPS Next 2Y11.43%
EPS Next 3Y11.4%
MCO Yearly Income VS Free CF VS DividendMCO Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B
MCO Dividend Payout.MCO Dividend Payout, showing the Payout Ratio.MCO Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

MOODY'S CORP

NYSE:MCO (2/24/2026, 10:44:09 AM)

451.16

+14.05 (+3.21%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)02-18
Earnings (Next)04-20
Inst Owners79.21%
Inst Owner Change-0.13%
Ins Owners0.06%
Ins Owner Change-0.05%
Market Cap80.49B
Revenue(TTM)7.72B
Net Income(TTM)2.46B
Analysts77.24
Price Target575.18 (27.49%)
Short Float %1.37%
Short Ratio2
Dividend
Industry RankSector Rank
Dividend Yield 0.92%
Yearly Dividend3.92
Dividend Growth(5Y)11.82%
DP28.51%
Div Incr Years1
Div Non Decr Years1
Ex-Date03-02
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.5%
Min EPS beat(2)5.43%
Max EPS beat(2)5.56%
EPS beat(4)4
Avg EPS beat(4)5.55%
Min EPS beat(4)3.89%
Max EPS beat(4)7.32%
EPS beat(8)7
Avg EPS beat(8)6.37%
EPS beat(12)10
Avg EPS beat(12)7.14%
EPS beat(16)11
Avg EPS beat(16)4.95%
Revenue beat(2)2
Avg Revenue beat(2)1.33%
Min Revenue beat(2)0.48%
Max Revenue beat(2)2.19%
Revenue beat(4)4
Avg Revenue beat(4)1.44%
Min Revenue beat(4)0.48%
Max Revenue beat(4)2.19%
Revenue beat(8)7
Avg Revenue beat(8)2.1%
Revenue beat(12)9
Avg Revenue beat(12)1.69%
Revenue beat(16)11
Avg Revenue beat(16)0.71%
PT rev (1m)2.19%
PT rev (3m)3.68%
EPS NQ rev (1m)0.15%
EPS NQ rev (3m)2.04%
EPS NY rev (1m)0.09%
EPS NY rev (3m)0.47%
Revenue NQ rev (1m)-0.16%
Revenue NQ rev (3m)0.48%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.15%
Valuation
Industry RankSector Rank
PE 30.18
Fwd PE 27.25
P/S 10.43
P/FCF 31.26
P/OCF 27.74
P/B 19.85
P/tB N/A
EV/EBITDA 20.92
EPS(TTM)14.95
EY3.31%
EPS(NY)16.56
Fwd EY3.67%
FCF(TTM)14.43
FCFY3.2%
OCF(TTM)16.26
OCFY3.6%
SpS43.26
BVpS22.72
TBVpS-23.43
PEG (NY)2.81
PEG (5Y)3.74
Graham Number87.43
Profitability
Industry RankSector Rank
ROA 15.53%
ROE 60.66%
ROCE 26.94%
ROIC 20.93%
ROICexc 25.86%
ROICexgc 124.13%
OM 44.86%
PM (TTM) 31.86%
GM 74.44%
FCFM 33.36%
ROA(3y)13.27%
ROA(5y)12.89%
ROE(3y)55.61%
ROE(5y)60.51%
ROIC(3y)18.2%
ROIC(5y)17.14%
ROICexc(3y)23.05%
ROICexc(5y)21.2%
ROICexgc(3y)144.74%
ROICexgc(5y)126.2%
ROCE(3y)23.43%
ROCE(5y)22.06%
ROICexgc growth 3Y18.23%
ROICexgc growth 5Y-6.22%
ROICexc growth 3Y19.02%
ROICexc growth 5Y0.38%
OM growth 3Y7.09%
OM growth 5Y-0.31%
PM growth 3Y8.23%
PM growth 5Y-0.76%
GM growth 3Y1.83%
GM growth 5Y0.52%
F-Score8
Asset Turnover0.49
Health
Industry RankSector Rank
Debt/Equity 1.73
Debt/FCF 2.72
Debt/EBITDA 1.77
Cap/Depr 67.92%
Cap/Sales 4.22%
Interest Coverage 14.73
Cash Conversion 73.59%
Profit Quality 104.72%
Current Ratio 1.74
Quick Ratio 1.74
Altman-Z 6.93
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)71.37%
Cap/Depr(5y)70.74%
Cap/Sales(3y)4.43%
Cap/Sales(5y)4.14%
Profit Quality(3y)114.73%
Profit Quality(5y)103.03%
High Growth Momentum
Growth
EPS 1Y (TTM)19.79%
EPS 3Y20.43%
EPS 5Y8.07%
EPS Q2Q%38.93%
EPS Next Y10.75%
EPS Next 2Y11.43%
EPS Next 3Y11.4%
EPS Next 5Y11.32%
Revenue 1Y (TTM)8.89%
Revenue growth 3Y12.17%
Revenue growth 5Y7.52%
Sales Q2Q%12.98%
Revenue Next Year7.71%
Revenue Next 2Y7.82%
Revenue Next 3Y7.42%
Revenue Next 5Y7.28%
EBIT growth 1Y16.29%
EBIT growth 3Y20.13%
EBIT growth 5Y7.19%
EBIT Next Year22.73%
EBIT Next 3Y13.31%
EBIT Next 5Y11.49%
FCF growth 1Y2.14%
FCF growth 3Y29.31%
FCF growth 5Y4.74%
OCF growth 1Y2.22%
OCF growth 3Y25.32%
OCF growth 5Y6.21%

MOODY'S CORP / MCO FAQ

What is the ChartMill fundamental rating of MOODY'S CORP (MCO) stock?

ChartMill assigns a fundamental rating of 6 / 10 to MCO.


Can you provide the valuation status for MOODY'S CORP?

ChartMill assigns a valuation rating of 2 / 10 to MOODY'S CORP (MCO). This can be considered as Overvalued.


How profitable is MOODY'S CORP (MCO) stock?

MOODY'S CORP (MCO) has a profitability rating of 9 / 10.


What is the valuation of MOODY'S CORP based on its PE and PB ratios?

The Price/Earnings (PE) ratio for MOODY'S CORP (MCO) is 30.18 and the Price/Book (PB) ratio is 19.85.


Can you provide the dividend sustainability for MCO stock?

The dividend rating of MOODY'S CORP (MCO) is 3 / 10 and the dividend payout ratio is 28.51%.