Moody's CorporationMCO
NYSE•Financial Services•Financial Data & Stock Exchanges
Moody's Corporation, together with its subsidiaries, operates as an integrated risk assessment firm in the United States, the rest of the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates through two segments, Moody's Analytics (MA) and Moody's Investors Services (MIS). The MA segment develops a range of products and services that support the risk management activities of institutional participants in financial markets. This segment also offers credit research, credit models and analytics, economics data and models, and structured finance solutions; data sets on companies and securities; and cloud-based SaaS subscription-based solutions supporting banking, insurance, and know-your-customer workflows. Its MIS segment publishes credit ratings and provides assessment services on various debt obligations, programs and facilities, and entities that issue such obligations, such as various corporate, financial institution, and governmental obligations, as well as structured finance securities. It also provides ratings, investment research, compliance and third-party risk, supplier risk, trade credit, business intelligence sales and marketing, financial and regulatory reporting, balance sheet management, capital management, credit portfolio management, and model risk and governance solutions; Maxsight, a unified risk platform; lending suite, origination, and monitoring solutions; and property, casualty, and sustainable insurance underwriting solutions. The company serves the financial, banking, insurance, corporation, public, and asset management sectors. The company was formerly known as Dun and Bradstreet Company and changed its name to Moody's Corporation in September 2000. Moody's Corporation was founded in 1900 and is headquartered in New York, New York.
Moody's Corporation (MCO) reported trailing twelve months revenue of $7.87B as of March 2026, a 9.0% increase year-over-year. Quarterly revenue reached $2.08B, reflecting continued top-line momentum.
Moody's Corporation generated $2.50B in TTM net income, with quarterly EBITDA of $975.00M. The operating margin expanded from 44.0% to 44.3%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (44.3%) and net margin (31.8%) indicates moderate non-operating costs. Net margin has narrowed from 32.5% a year ago, reflecting increased costs or interest expense.
MCO trades at a P/E of 30.6x (a premium multiple) and a P/S of 9.7x. The price-to-book ratio of 25.5x indicates a significant premium over book value.
The company generated $844.00M in free cash flow over the trailing twelve months, a 25.6% increase year-over-year, indicating cash generation ability. The balance sheet shows $14.73B in total assets with $6.39B in long-term debt against $2.99B in stockholders equity for a debt-to-equity ratio of 2.1, a relatively leveraged position. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are expanding at ~41.8%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 58.7% suggests a durable competitive advantage and efficient capital allocation.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
TTM revenue has grown consistently (7 of 7 quarters up), with ~20.1% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~43.5% — no sign of cost or pricing stress.
FCF covers net income by 1.2x on average — earnings are well-supported by cash generation.
D/E ratio of 2.1 is elevated and rising. Monitor for further debt accumulation.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Shares decreased 3.0% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation