DailyIQ
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Sector:Financial ServicesAll sectors
Last updated 2 minutes ago

MCO·Moody's Corporation

$.
-. (-.%)
After Hours
High
$510.20
Open
$508.24
Market Cap
88.42B
52W High
$546.88
Low
$502.09
P. Close
$505.35
P/E
35.44
52W Low
$402.28
Fwd P/E
27.09
DailyIQ Est.
$555.77
Technical Score (1D)
82
BUY
News Sentiment
64
BULLISH
Jefferies has just initiated coverage of Moody’s (MCO) with a buy recommendation, citing confidence in its credit‑rating business and a strong balance sheet. The same firm set a $610 price target, implying roughly 30 % upside from current levels, which signals a bullish view on earnings growth and valuation. A separate analyst at Moody’s also launched a bullish coverage, ranking MCO among the top five initiations of the week, reinforcing the positive sentiment and potentially improving liquidity. Earlier this week, Moody’s announced a partnership with Intapp to embed its risk data into AI‑powered workflow platforms, expanding its data reach into daily decision tools and opening new licensing revenue streams. This AI integration could accelerate adoption of Moody’s credit ratings and research, boosting top‑line growth over the next 1–10 trading days as clients integrate the data into risk assessment processes. Moody’s Q1 earnings preview shows robust growth and 2026 guidance, but the stock remains overvalued at a 35.6× earnings multiple, which may temper upside expectations. The upcoming Q2 2026 earnings release on July 22 will be a key watch item, as it will confirm whether the earnings momentum and guidance hold and whether the valuation premium is justified. Traders should also monitor any changes in Moody’s credit rating, as a downgrade could increase borrowing costs and affect the company’s capital structure. Additionally, watch for updates on the Intapp partnership rollout timeline, as early adoption could materially impact revenue projections. Finally, keep an eye on broader market sentiment toward AI‑driven analytics and private credit, as shifts in those sectors could influence MCO’s valuation and investor demand.
Earnings Summary
Moody's Corporation (MCO) is a global provider of risk assessment services, operating through its core Moody's Investors Service segment that delivers credit ratings and assessments to a broad range of issuers, and Moody's Analytics, which supplies credit research, data, and SaaS solutions to institutional investors. The company sits within the financial services sector, specifically the financial data and stock exchanges industry, and has long been a benchmark for credit risk evaluation. In the most recent reporting cycle, Moody's posted Q1 2026 earnings of $4.33 per share versus an estimate of $4.297, a modest beat, and revenue of $2.079 billion against an estimate of $2.097 billion, slightly below expectations; this compares to Q2 2025 where EPS of $3.56 beat the $3.389 estimate and revenue of $1.898 billion surpassed the $1.898 billion estimate, while Q3 2025 saw EPS of $3.92 beating the $3.684 estimate and revenue of $2.007 billion exceeding the $2.007 billion estimate, and Q4 2025 recorded an EPS miss of $3.64 versus a $4.227 estimate but revenue of $1.889 billion below the $2.082 billion estimate. The data show an accelerating EPS trend, rising from $3.56 in Q2 2025 to $4.33 in Q1 2026, and a rebound in revenue after a dip in Q4 2025, with YoY growth from $1.672 billion in Q4 2024 to $1.889 billion in Q4 2025 and EPS climbing from $2.62 to $3.64 over the same period, underscoring a consistent earnings beat pattern in three of the last four quarters. Recent news highlights a partnership with Intapp to embed Moody's risk data into AI‑powered workflow platforms, a development that could open new licensing revenue streams and accelerate data adoption, and analyst coverage from Jefferies and Barclays that has reinforced bullish sentiment and raised price targets, while also noting the company's high valuation multiples. Investors should watch for the Q2 2026 earnings release on July 22 to confirm whether the partnership translates into tangible revenue gains, monitor the rollout timeline of the Intapp integration, and stay alert to any credit‑rating changes or macro‑risk factors that could influence Moody's cost of capital and valuation narrative.

EPS

EstBeatMiss
$3.25$3.55$3.86$4.17$4.47Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$4.25 - -
Q1'26$4.30$4.33+0.8%
Q4'25$4.23$3.64-13.9%
Q3'25$3.68$3.92+6.4%
Q2'25$3.39$3.56+5.0%
Q1'25$3.54$3.83+8.2%

Revenue

EstBeatMiss
$1.9B$1.9B$2.0B$2.1B$2.1BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$2.1B - -
Q1'26$2.1B$2.1B-0.9%
Q4'25$2.1B$1.9B-9.3%
Q3'25 - $2.0B -
Q2'25 - $1.9B -
Q1'25 - $1.9B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

MCO Stock Snapshot

MCO is currently trading at $505.37, giving Moody's Corporation a market cap of 88.42B and a P/E ratio of 35.4. Today's range spans $502.09–$510.20, with shares opening at $508.24 and moving up $0.02 (0.0%) from the prior close. DailyIQ's technical score sits at 82/100 (BUY) with a news sentiment reading of 64/100.

Over the past year MCO has traded between $402.28 and $546.88 - the current price is +25.6% off the 52-week low and -7.6% from the high. 32 analysts cover the stock with a Buy consensus and a mean 12-month target of $545.86 (range $490.00–$610.00), implying upside of +8.0%.

Moody's Corporation (MCO) sits at $505.37 (in the upper portion of its 52-week range within $402.28–$546.88), scoring 82/100 (BUY) with bullish sentiment at 64/100. At 88.42B in Financial Services market cap (P/E: 35.4), this large-cap is right in the zone where buy-side analysts get excited and allocation committees approve new position additions. A bullish technical phase with sentiment confirmation is the green light most of them are looking for.

The combination of a BUY signal (82/100) and bullish news sentiment (64/100) puts MCO on the screens of active managers who run quality-momentum overlays — a cohort that can build meaningful positions at 88.42B in Financial Services market cap without immediately moving the stock. At $505.37 (in the upper portion of its 52-week range in the $402.28–$546.88 range), the entry discipline is clean and the potential re-rating if sentiment continues to improve is meaningful.