Moody's Corporation

NYSE:MCO Stock Report

Market Cap: US$87.0b

Moody's Valuation

Is MCO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MCO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

US$302.91
Fair Value
59.6% overvalued intrinsic discount
21
Number of Analysts

Below Fair Value: MCO ($483.45) is trading above our estimate of fair value ($302.91)

Significantly Below Fair Value: MCO is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MCO?

Key metric: As MCO is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MCO. This is calculated by dividing MCO's market cap by their current earnings.
What is MCO's PE Ratio?
PE Ratio40.7x
EarningsUS$2.13b
Market CapUS$87.02b

Price to Earnings Ratio vs Peers

How does MCO's PE Ratio compare to its peers?

The above table shows the PE ratio for MCO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average31x
ICE Intercontinental Exchange
30.3x10.14%US$93.1b
CME CME Group
25.4x4.73%US$95.4b
COIN Coinbase Global
34.7x-8.07%US$97.6b
NDAQ Nasdaq
33.5x9.42%US$50.3b
MCO Moody's
40.7x11.19%US$87.0b

Price-To-Earnings vs Peers: MCO is expensive based on its Price-To-Earnings Ratio (40.7x) compared to the peer average (31x).

Price to Earnings Ratio vs Industry

How does MCO's PE Ratio compare vs other companies in the US Capital Markets Industry?

19 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ASA ASA Gold and Precious Metals
2.4xn/aUS$860.58m
MUDS Mudrick Capital Acquisition Corporation II
3.4xn/aUS$401.64m
FRMO FRMO
3.6xn/aUS$385.20m
CRRC.F Cohn Robbins Holdings
4.3xn/aUS$283.01m
MCO 40.7xIndustry Avg. 27.0xNo. of Companies75PE020406080100+
19 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MCO is expensive based on its Price-To-Earnings Ratio (40.7x) compared to the US Capital Markets industry average (27.1x).

Price to Earnings Ratio vs Fair Ratio

What is MCO's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MCO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio40.7x
Fair PE Ratio19.5x

Price-To-Earnings vs Fair Ratio: MCO is expensive based on its Price-To-Earnings Ratio (40.7x) compared to the estimated Fair Price-To-Earnings Ratio (19.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MCO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$483.45
US$543.19
+12.36%
6.14%US$597.00US$440.00n/a21
Sep ’26US$509.76
US$543.40
+6.60%
5.76%US$595.00US$475.00n/a20
Aug ’26US$501.28
US$540.75
+7.87%
5.66%US$595.00US$475.00n/a20
Jul ’26US$502.48
US$502.90
+0.083%
8.05%US$572.00US$420.00n/a22
Jun ’26US$479.32
US$501.35
+4.60%
8.05%US$572.00US$420.00n/a22
May ’26US$451.86
US$500.92
+10.86%
7.93%US$572.00US$420.00n/a22
Apr ’26US$468.78
US$540.34
+15.27%
8.00%US$610.00US$430.00n/a21
Mar ’26US$503.94
US$540.71
+7.30%
9.14%US$610.00US$416.22n/a20
Feb ’26US$499.44
US$504.86
+1.09%
9.26%US$570.00US$415.00n/a20
Jan ’26US$473.37
US$503.31
+6.33%
9.36%US$570.00US$415.00n/a20
Dec ’25US$499.98
US$497.85
-0.43%
9.19%US$570.00US$415.00n/a19
Nov ’25US$456.36
US$495.22
+8.52%
9.75%US$570.00US$395.00n/a19
Oct ’25US$471.40
US$481.08
+2.05%
8.07%US$570.00US$395.00US$479.8219
Sep ’25US$487.74
US$471.82
-3.26%
8.04%US$530.00US$385.00US$509.7619
Aug ’25US$460.88
US$465.81
+1.07%
8.82%US$530.00US$385.00US$501.2818
Jul ’25US$421.49
US$412.63
-2.10%
6.99%US$454.00US$360.00US$502.4818
Jun ’25US$396.99
US$409.49
+3.15%
6.55%US$450.00US$360.00US$479.3218
May ’25US$372.89
US$406.25
+8.95%
7.23%US$450.00US$345.00US$451.8619
Apr ’25US$393.89
US$397.73
+0.97%
7.89%US$450.00US$340.00US$468.7819
Mar ’25US$382.04
US$397.53
+4.05%
7.93%US$450.00US$340.00US$503.9419
Feb ’25US$402.54
US$391.42
-2.76%
9.59%US$455.00US$335.00US$499.4419
Jan ’25US$390.56
US$368.00
-5.78%
9.61%US$455.00US$295.00US$473.3719
Dec ’24US$371.05
US$360.47
-2.85%
7.70%US$411.00US$310.00US$499.9819
Nov ’24US$312.88
US$357.05
+14.12%
7.09%US$411.00US$310.00US$456.3619
Oct ’24US$316.17
US$372.58
+17.84%
6.76%US$420.00US$325.00US$471.4019
US$543.19
Fair Value
11.0% undervalued intrinsic discount
21
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/10/06 05:36
End of Day Share Price 2025/10/06 00:00
Earnings2025/06/30
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Moody's Corporation is covered by 41 analysts. 21 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
John EadeArgus Research Company
Jeffrey MeulerBaird
Ishan MajumdarBaptista Research