Moody’s (NYSE:MCO) Announces Earnings Results

Moody’s (NYSE:MCOGet Free Report) announced its earnings results on Wednesday. The business services provider reported $4.33 earnings per share for the quarter, beating analysts’ consensus estimates of $4.22 by $0.11, Zacks reports. Moody’s had a return on equity of 66.01% and a net margin of 31.86%.The company had revenue of $2.08 billion during the quarter, compared to analyst estimates of $2.11 billion. During the same period last year, the company posted $3.83 earnings per share. The firm’s quarterly revenue was up 8.1% compared to the same quarter last year. Moody’s updated its FY 2026 guidance to 16.400-17.000 EPS.

Moody’s Stock Performance

Shares of Moody’s stock opened at $467.80 on Thursday. The firm has a fifty day moving average of $444.97 and a two-hundred day moving average of $477.17. The company has a debt-to-equity ratio of 1.66, a quick ratio of 1.74 and a current ratio of 1.74. The stock has a market capitalization of $83.27 billion, a price-to-earnings ratio of 34.20, a PEG ratio of 2.47 and a beta of 1.45. Moody’s has a 52 week low of $402.28 and a 52 week high of $546.88.

Moody’s Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 13th. Shareholders of record on Monday, March 2nd were issued a dividend of $1.03 per share. The ex-dividend date of this dividend was Monday, March 2nd. This represents a $4.12 dividend on an annualized basis and a yield of 0.9%. This is a boost from Moody’s’s previous quarterly dividend of $0.94. Moody’s’s dividend payout ratio (DPR) is presently 30.12%.

Key Moody’s News

Here are the key news stories impacting Moody’s this week:

Insider Buying and Selling at Moody’s

In related news, SVP Richard G. Steele sold 375 shares of Moody’s stock in a transaction that occurred on Tuesday, March 3rd. The shares were sold at an average price of $456.71, for a total transaction of $171,266.25. Following the transaction, the senior vice president owned 2,459 shares of the company’s stock, valued at $1,123,049.89. This trade represents a 13.23% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Robert Fauber sold 5,213 shares of the business’s stock in a transaction that occurred on Tuesday, March 3rd. The shares were sold at an average price of $456.71, for a total value of $2,380,829.23. Following the completion of the transaction, the chief executive officer owned 75,789 shares of the company’s stock, valued at $34,613,594.19. This represents a 6.44% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 8,222 shares of company stock worth $3,786,732 over the last 90 days. 0.14% of the stock is owned by corporate insiders.

Institutional Trading of Moody’s

Institutional investors and hedge funds have recently bought and sold shares of the stock. Morgan Stanley lifted its holdings in Moody’s by 2.7% during the 4th quarter. Morgan Stanley now owns 2,370,601 shares of the business services provider’s stock valued at $1,211,023,000 after purchasing an additional 62,798 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its stake in shares of Moody’s by 73.5% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 1,716,304 shares of the business services provider’s stock valued at $876,775,000 after buying an additional 726,971 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its position in shares of Moody’s by 1.5% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,400,658 shares of the business services provider’s stock worth $715,526,000 after purchasing an additional 20,779 shares during the period. Windacre Partnership LLC increased its holdings in Moody’s by 18.4% in the 3rd quarter. Windacre Partnership LLC now owns 1,164,900 shares of the business services provider’s stock valued at $555,052,000 after buying an additional 181,305 shares during the period. Finally, Charles Schwab Investment Management Inc. increased its stake in Moody’s by 2.0% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,111,130 shares of the business services provider’s stock valued at $567,621,000 after acquiring an additional 21,958 shares during the last quarter. Institutional investors own 92.11% of the company’s stock.

Analyst Ratings Changes

A number of equities analysts have weighed in on MCO shares. UBS Group dropped their target price on shares of Moody’s from $515.00 to $490.00 and set a “neutral” rating for the company in a research note on Thursday, February 19th. JPMorgan Chase & Co. dropped their price objective on shares of Moody’s from $600.00 to $560.00 and set an “overweight” rating for the company in a research report on Thursday, February 19th. BMO Capital Markets reaffirmed a “market perform” rating on shares of Moody’s in a report on Thursday, February 19th. Stifel Nicolaus decreased their price objective on Moody’s from $574.00 to $540.00 and set a “buy” rating on the stock in a research report on Thursday, February 19th. Finally, Bank of America restated a “buy” rating and set a $565.00 target price on shares of Moody’s in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and five have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $542.62.

Check Out Our Latest Analysis on Moody’s

About Moody’s

(Get Free Report)

Moody’s Corporation is a global provider of credit ratings, research, data and analytics that support financial decision-making and transparency in capital markets. The company traces its origins to the early 20th century when financial analyst John Moody began publishing credit information; today Moody’s is headquartered in New York and serves a broad set of market participants including investors, issuers, financial institutions, corporations, governments and regulators.

Moody’s operates primarily through two complementary businesses.

Further Reading

Earnings History for Moody's (NYSE:MCO)

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