Zacks Investment Research·1d ago
3 Reasons Why Growth Investors Shouldn't Overlook Moody's (MCO)Moody's (MCO) possesses solid growth attributes, which could help it handily outperform the market.
Moody's is executing a strategic pivot toward recurring fee-based revenue, with non-interest income comprising 99.6% of total revenue in Q2 2026, driving a 16% year-over-year revenue surge to $2.2B. The asset-light model yields exceptional margins (operating m...
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue accelerated 16% YoY to $2.2B in Q2 2026, driven by non-interest income (99.6% of total), with operating margin expanding to 45.5% and EPS up 56.9% YoY to $5.02.
Moody’s is a leading credit rating agency whose demand rises when economic uncertainty spikes. The firm’s counter‑cyclical nature makes it a relatively stable investment during turbulent periods.
Moody’s revenue comes from corporate, sovereign, structured finance ratings and analytical services. This diversification reduces reliance on any single segment, allowing downturns in one area to be offset by strength in others.
The analytical services segment, which includes financial data, risk‑management software, and AI integration, is positioned for future growth. Recent acquisitions have strengthened these offerings, and Moody’s expects total issuance in 2026 to rise at a low single‑digit pace.
Trailing total returns as of 9/23/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Jul 22, 2026 | $4.68+9.9% vs $4.26 | $2.2B+4.7% vs $2.1B |
Q2 2026 Apr 22, 2026 | $4.33+2.6% vs $4.22 | $2.1B+0.5% vs $2.1B |
Q1 2026 Feb 18, 2026 | $3.64+6.1% vs $3.43 | $1.9B+1.5% vs $1.9B |
Q4 2025 Oct 22, 2025 | $3.92+5.9% vs $3.70 | $2.0B+2.6% vs $2.0B |
Moody's (MCO) possesses solid growth attributes, which could help it handily outperform the market.
Nykredit A S acquired a new position in shares of Moody's Corporation (NYSE: MCO) in the undefined quarter, according to its most recent 13F filing with the SEC. The fund acquired 75,831 shares of the business services provider's stock, valued at approximately $34,345,000. A number of other institutional investors and hedge funds have
American Express is an impeccable value for long-term investors.
Corient Private Wealth LP cut its holdings in Moody's Corporation (NYSE: MCO) by 15.9% in the undefined quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 22,625 shares of the business services provider's stock after selling 4,290 shares during the period. Corient
Benchmark MCO against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for Moody's Corporation (MCO)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $469.24 | $81.27B | 34.33 | 9.37% | 31.86% | 62% | 0.83% | |
| $402.44 | $118.64B | 27.45 | 8.18% | 30.53% | 13.43% | — | |
| $276.42 | $9.83B | 17.78 | 6% | 23.21% | 26.58% | — | |
| $548.88 | $39.9B | 35.28 | 9.51% | 40.74% | — | — | |
| $152.93 | $86.25B | 26.50 | 9.27% | 30% | 13.78% | — | |
| $171.94 | $22.38B | 26.49 | 6.63% | 28.24% | — | — |
Moody's Corporation (MCO) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
Moody's Corporation (MCO) SEC filings — annual & quarterly reports (10-K, 10-Q)
Jul 22, 2026·SEC
Apr 22, 2026·SEC
Apr 16, 2026·SEC
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Moody's Corporation (MCO) stock FAQ — growth, dividends, profitability & financials explained
Moody's Corporation (MCO) grew revenue by 9.4% over the past year. This is steady growth.
Yes, Moody's Corporation (MCO) is profitable, generating $2.79B in net income for fiscal year 2025 (31.9% net margin).
Yes, Moody's Corporation (MCO) pays a dividend with a yield of 0.83%. This makes it attractive for income-focused investors.
Moody's Corporation (MCO) has a return on equity (ROE) of 62.0%. This is excellent, indicating efficient use of shareholder capital.
Moody's Corporation (MCO) has a net interest margin (NIM) of -0.8%. NIM has been under pressure due to interest rate environment.
Moody's Corporation (MCO) has an efficiency ratio of 23.4%. This is excellent, indicating strong cost control.
