Moody’s (NYSE:MCO) Stock Gets Price Target Cut from Royal Bank Of Canada

Moody’s (NYSE:MCO) had its target price reduced by Royal Bank Of Canada from $610.00 to $575.00 in a research report released on Friday morning,Benzinga reports. They currently have an outperform rating on the business services provider’s stock.

Several other research analysts have also recently weighed in on the stock. The Goldman Sachs Group raised their price objective on shares of Moody’s from $557.00 to $593.00 and gave the stock a “buy” rating in a research report on Thursday, July 23rd. Citigroup restated a “buy” rating and set a $600.00 price objective (up from $565.00) on shares of Moody’s in a report on Wednesday, July 29th. Stifel Nicolaus boosted their price objective on Moody’s from $523.00 to $550.00 and gave the stock a “buy” rating in a report on Thursday, July 23rd. Mizuho upped their target price on Moody’s from $521.00 to $530.00 and gave the company a “neutral” rating in a research report on Monday, July 27th. Finally, Daiwa Securities Group increased their target price on Moody’s from $500.00 to $535.00 and gave the stock an “outperform” rating in a research note on Tuesday, August 4th. Thirteen equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Moody’s presently has an average rating of “Moderate Buy” and an average price target of $551.26.

Moody’s Price Performance

Shares of MCO opened at $484.71 on Friday. The company’s 50-day moving average is $477.91 and its 200-day moving average is $466.89. The company has a debt-to-equity ratio of 2.01, a current ratio of 1.19 and a quick ratio of 1.19. The firm has a market capitalization of $83.95 billion, a PE ratio of 30.74, a PEG ratio of 2.50 and a beta of 1.35. Moody’s has a fifty-two week low of $402.28 and a fifty-two week high of $546.88.

Moody’s (NYSE:MCO) last posted its earnings results on Wednesday, July 22nd. The business services provider reported $4.68 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.26 by $0.42. The company had revenue of $2.19 billion during the quarter, compared to analysts’ expectations of $2.09 billion. Moody’s had a net margin of 34.25% and a return on equity of 80.35%. Moody’s’s quarterly revenue was up 15.1% compared to the same quarter last year. During the same quarter last year, the company posted $3.56 EPS. Moody’s has set its FY 2026 guidance at 16.500-17.000 EPS. Equities analysts forecast that Moody’s will post 16.92 EPS for the current year.

Moody’s Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, September 4th. Stockholders of record on Friday, August 14th were issued a dividend of $1.03 per share. The ex-dividend date of this dividend was Friday, August 14th. This represents a $4.12 dividend on an annualized basis and a dividend yield of 0.8%. Moody’s’s dividend payout ratio (DPR) is currently 26.13%.

Insider Activity

In other news, CEO Robert Fauber sold 923 shares of the business’s stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $455.00, for a total value of $419,965.00. Following the completion of the sale, the chief executive officer owned 51,364 shares of the company’s stock, valued at approximately $23,370,620. The trade was a 1.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.14% of the company’s stock.

Hedge Funds Weigh In On Moody’s

A number of hedge funds have recently bought and sold shares of MCO. Nalls Sherbakoff Group LLC acquired a new position in shares of Moody’s during the 4th quarter worth approximately $27,000. Wilkerson Advisory Group LLC increased its holdings in shares of Moody’s by 87.1% during the first quarter. Wilkerson Advisory Group LLC now owns 58 shares of the business services provider’s stock worth $25,000 after purchasing an additional 27 shares during the period. Whipplewood Advisors LLC increased its holdings in shares of Moody’s by 1,866.7% during the first quarter. Whipplewood Advisors LLC now owns 59 shares of the business services provider’s stock worth $26,000 after purchasing an additional 56 shares during the period. Compass Financial Management LLC bought a new position in shares of Moody’s during the second quarter worth approximately $27,000. Finally, FNY Investment Advisers LLC acquired a new stake in shares of Moody’s in the second quarter valued at approximately $45,000. 92.11% of the stock is owned by institutional investors.

Moody’s News Roundup

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

• Positive Sentiment: Royal Bank of Canada lowered its price target to $575 from $610 but maintained an “outperform” rating. The revised target still implies substantial upside from Moody’s recent trading level, signaling that RBC views the pullback in expectations as a valuation adjustment rather than a change in the company’s long-term outlook. Benzinga analyst ratings report
• Positive Sentiment: Wall Street is preparing for Moody’s third-quarter earnings report on October 21, with consensus calling for approximately $4.25 in earnings per share. Investors are focused on whether continued demand for credit ratings, research and risk-management products can sustain the company’s recent double-digit revenue growth and strong profitability. Moody’s Q3 2026 earnings preview
• Neutral Sentiment: Pre-earnings coverage is highlighting estimates for revenue, operating margins and other key metrics beyond headline EPS. These previews could increase volatility around the October 21 report, particularly if Moody’s delivers strong earnings but offers cautious guidance. Zacks Moody’s Q3 estimates
• Negative Sentiment: Jefferies reduced its Moody’s price target to $560 from $610. The cut may weigh on sentiment because it reflects more limited upside following the stock’s recent advance, although the new target remains above the current share price. Jefferies Moody’s price-target update
• Negative Sentiment: Additional commentary from BMO Capital Markets and other analysts has emphasized a more cautious valuation outlook, reinforcing concerns that expectations and the stock’s premium valuation leave less room for an earnings disappointment. BMO Moody’s forecast

Moody’s Company Profile

Moody’s Corporation (NYSE:MCO) is a global provider of credit ratings, research, data, analytics and risk-management solutions. Through Moody’s Investors Service, the company assigns credit ratings and publishes research on corporate, government and structured-finance debt issuers, helping investors and other market participants evaluate credit risk.

Through Moody’s Analytics, the company provides financial intelligence, economic research, data, software and advisory services. Its offerings support credit analysis, lending, portfolio management, enterprise risk management, compliance and related functions across financial institutions, corporations, governments and other organizations.

Moody’s traces its origins to 1909, when John Moody established the company that introduced published credit ratings for bonds.