Analyst Expectations For Moodys’s Future

Throughout the last three months, 9 analysts have evaluated Moodys MCO, offering a diverse set of opinions from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Moodys, presenting an average target of $525.33, a high estimate of $572.00, and a low estimate of $495.00. Experiencing a 1.6% decline, the current average is now lower than the previous average price target of $533.88.

Analyzing Analyst Ratings: A Detailed Breakdown

The standing of Moodys among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |——————–|——————–|—————|—————|——————–|——————–| |Jeffrey Meuler |Baird |Lowers |Outperform | $525.00|$575.00 | |Jason Haas |Wells Fargo |Lowers |Overweight | $572.00|$610.00 | |Andrew Steinerman |JP Morgan |Lowers |Overweight | $495.00|$585.00 | |Manav Patnaik |Barclays |Lowers |Overweight | $520.00|$570.00 | |Sean Kennedy |Mizuho |Announces |Neutral | $504.00|- | |Jeffrey Silber |BMO Capital |Raises |Market Perform | $531.00|$481.00 | |Alex Kramm |UBS |Raises |Neutral | $540.00|$510.00 | |Shlomo Rosenbaum |Stifel |Raises |Hold | $533.00|$459.00 | |Toni Kaplan |Morgan Stanley |Raises |Equal-Weight | $508.00|$481.00 |

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they ‘Maintain’, ‘Raise’ or ‘Lower’ their stance, it reflects their reaction to recent developments related to Moodys. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from ‘Outperform’ to ‘Underperform’. These ratings communicate expectations for the relative performance of Moodys compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Moodys’s stock. This comparison reveals trends in analysts’ expectations over time.

For valuable insights into Moodys’s market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Moodys analyst ratings.

Get to Know Moodys Better

Moody’s, along with S&P Ratings, is a leading provider of credit ratings on fixed-income securities. The ratings segment, Moody’s Investors Service, includes corporates, structured finance, financial institutions, and public finance ratings. MIS represents a majority of the firm’s profit and about half the firm’s revenue. The other segment, Moody’s Analytics, consists of decision solutions, research and insights, and data and information.

Key Indicators: Moodys’s Financial Health

Market Capitalization: Exceeding industry standards, the company’s market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Revenue Growth: Moodys displayed positive results in 3M. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 12.97%. This indicates a notable increase in the company’s top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Financials sector.

Net Margin: Moodys’s net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 23.62%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company’s ROE is a standout performer, exceeding industry averages. With an impressive ROE of 10.58%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Moodys’s ROA stands out, surpassing industry averages. With an impressive ROA of 2.53%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Moodys’s debt-to-equity ratio surpasses industry norms, standing at 2.17. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Analyst Ratings: What Are They?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish “analyst ratings” for stocks. Analysts typically rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga’s automated content engine and reviewed by an editor.