Company valuation ยท Financial Services

MCO: Hold + Add with a $661.49 price target

Moodys Corporation. Year-to-date profit has improved, but payouts exceed cash after capital spending.

Model target ยท USD
$661.49
For 2027-09-11
Model rating
Hold + Add
Reviewed 2026-09-17
Reference weekly close
$474.95
2026-09-11 ยท USD
Editorial illustration of Moodys Corporation, Financial Data & Stock Exchanges.
Generated editorial illustration for Sharemaestro. It does not depict verified company premises or events.

Investment view

Year-to-date profit has improved, but payouts exceed cash after capital spending.

Target and reference price

Target for 2027-09-11: $661.49 USD, +39.3% versus the $474.95 weekly close on 2026-09-11. Price return only; dividends, fees and tax excluded.

Price and earnings

Over 1 year (2025-09-12 to 2026-09-11), price changed -7.3% and trailing EPS changed +25.3%. A wider gap changes the earnings multiple; it does not establish fair value.

Supporting evidence

Across 2 completed quarters since 2025-12-31, net income was 1,539.0m versus 1,203.0m in the matching prior-year periods (USD). Check whether the latest quarter changes that direction.

Net debt / EBITDA: 1.5ร— for MCO, against 1.6ร— across 12 comparable peers.

Risks to the case

Dividends and buybacks totalled 3,815.0m versus 2,967.0m of cash after capital spending over four quarters. Existing cash or borrowing can fund a difference.

What to monitor

Compare the next results with the trailing margin of 44.8% and the annual-history median of 40.6%. A historical median is context, not a forecast.

The latest quarterly margin changed +4.8 percentage points from a year earlier. Check sales volumes, pricing and unusual gains in the next filing.

Recheck the valuation gap alongside profitability and growth after new results. A discount alone does not establish value.

Valuation assumptions

Starting annual sales growth: 11.84%.

Net profit margin: 31.64%.

About this assessment

Review recorded on 2026-09-17. This is a dated summary of an automated company valuation. The full report includes the financial evidence, alternative scenarios and review history. Consult the latest report before using an earlier target. Automated model research, not personal investment advice. Targets depend on assumptions; returns are not guaranteed.

Evidence context