TRI vs SPGI vs MCO

For growth investors, Moody's Corporation (MCO) is the stronger pick with 8.

9% revenue growth year-over-year, versus 4. 8% for Thomson Reuters Corporation (TRI). Thomson Reuters Corporation (TRI) offers the better valuation at 27. 5x trailing P/E (21. 2x forward), making it the more compelling value choice. Analysts rate Thomson Reuters Corporation (TRI) a "Buy" — based on 27 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Thomson Reuters Corporation (TRI) is the cheapest at 27.

5x versus Moody's Corporation at 33. 4x. On forward P/E, Thomson Reuters Corporation is actually cheaper at 21. 2x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: S&P Global Inc. wins at 2. 51x versus Moody's Corporation's 3. 51x.

Over the past 5 years, Moody's Corporation (MCO) delivered a total return of +41.

4%, compared to +5. 7% for Thomson Reuters Corporation (TRI). Over 10 years, the gap is even starker: MCO returned +409. 5% versus TRI's +155. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Thomson Reuters Corporation (TRI) is the lower-risk stock at 0.

38β versus Moody's Corporation's 0. 86β — meaning MCO is approximately 129% more volatile than TRI relative to the S&P 500. On balance sheet safety, Thomson Reuters Corporation (TRI) carries a lower debt/equity ratio of 18% versus 175% for Moody's Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Moody's Corporation (MCO) is pulling ahead at 8.

9% versus 4. 8% for Thomson Reuters Corporation (TRI). On earnings-per-share growth, the picture is similar: Moody's Corporation grew EPS 21. 4% year-over-year, compared to -30. 5% for Thomson Reuters Corporation. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Moody's Corporation (MCO) is the more profitable company, earning 31.

9% net margin versus 20. 1% for Thomson Reuters Corporation — meaning it keeps 31. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MCO leads at 44. 8% versus 26. 3% for TRI. At the gross margin level — before operating expenses — SPGI leads at 70. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, S&P Global Inc. (SPGI) is the more undervalued stock at a PEG of 2. 51x versus Moody's Corporation's 3. 51x. Both stocks trade at elevated growth-adjusted valuations, so expected growth needs to materialise. On forward earnings alone, Thomson Reuters Corporation (TRI) trades at 21. 2x forward P/E versus 27. 4x for Moody's Corporation — 6. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for TRI: 57. 5% to $147. 10.

All stocks in this comparison pay dividends.

Thomson Reuters Corporation (TRI) offers the highest yield at 2. 5%, versus 0. 9% for Moody's Corporation (MCO).

For long-horizon retirement investors, Thomson Reuters Corporation (TRI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

38), 2. 5% yield, +155. 3% 10Y return). Both have compounded well over 10 years (TRI: +155. 3%, MCO: +409. 5%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (TRI (Industrials) and SPGI (Financial Services) and MCO (Financial Services)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.