July 29, 2025 a 01:01 pm
MCO: Fundamental Ratio Analysis - Moody's Corporation
Moody's Corporation, a leader in integrated risk assessment, operates globally through its two segments: Moody's Investors Service and Moody's Analytics. Currently, Moody's holds a 'B' fundamental rating with moderate overall scores, indicating potential but with certain risks. Its core strengths are notably in return on equity and assets, while debt management and valuation ratios reflect some weaknesses.
Fundamental Rating
The fundamental rating overview shows Moody's Corporation with a mixed set of scores for core financial metrics. The focus is primarily on strong equity and asset returns countered by weaker valuation ratios.
| Category | Score | Rating |
|---|---|---|
| Discounted Cash Flow | 3 | |
| Return on Equity | 5 | |
| Return on Assets | 5 | |
| Debt to Equity | 1 | |
| Price to Earnings | 1 | |
| Price to Book | 1 |
Historical Rating
A historical perspective reveals consistency in the scores, reinforcing existing assessments.
| Date | Overall | DCF | ROE | ROA | D/E | P/E | P/B |
|---|---|---|---|---|---|---|---|
| 2025-07-28 | 3 | 3 | 5 | 5 | 1 | 1 | 1 |
| Prior Date | 0 | 3 | 5 | 5 | 1 | 1 | 1 |
Analyst Price Targets
The analyst consensus maintains a 'Hold' position with a median price target of $488, suggesting slight value discrepancies in the market perception.
| High | Low | Median | Consensus |
|---|---|---|---|
| $520 | $456 | $488 | $488 |
Analyst Sentiment
Current analyst sentiment indicates a cautious approach, with a majority leaning towards 'Hold' recommendations for Moody's Corporation.
| Rating | Count | Distribution |
|---|---|---|
| Strong Buy | 0 | |
| Buy | 13 | |
| Hold | 16 | |
| Sell | 2 | |
| Strong Sell | 0 |
Conclusion
Moody's Corporation presents a balanced investment opportunity with significant strengths in equity management and asset returns, yet poses investment risks regarding debt and valuation metrics. Despite the mixed sentiment, the company's robust analytics and risk assessment capabilities may provide long-term value. Investors might consider the current 'Hold' consensus, monitoring future strategic moves and broader market conditions for improved guidance. Caution is advised for those sensitive to weak valuation ratios.