NYSE · Financial Services

Moody's Corporation

MCO · Financial Data & Stock Exchanges

$449.44

▼ -6.32 (-1.39%)

Data cached · refreshes every 10 min

Mr. Market is currently offering Moody's Corporation at $449.44.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

Overall Grade

Defensive

Enterprising

Profitability A

Gross Profit Margin 74.4%

Operating Margin 44.9%

Net Income Margin 31.9%

Fin. Health C

Years to Pay Off Debt 3.0 yrs

Working Capital vs Long-Term Debt -$4.8B

Working Capital $2.2B

Valuation F

Margin of Safety 0.0%

Price-to-Book 19.37x

Cash Flow A

Free Cash Flow $2.6B

CapEx % of Net Income 13.3%

Owner Earnings $3.3B

4/7

Graham Score

Enterprising

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $78.5B

Enterprise Value $85.7B

P/E (TTM) 32.22

Dividend Yield 0.84%

Exchange NYSE

Key Margins

Gross Profit 74.4%

Operating Margin 44.9%

Net Margin 31.9%

Company Info

Sector Financial Services

Industry Financial Data & Stock Exchanges

Employees 16000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Moody's Corporation at $449.44.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

At $449.44, the stock trades at a 432% premium to its Graham Number of $84.49. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: This stock is better suited for Graham's Enterprising investor — one willing to devote time and skill to security selection.

About Moody's Corporation

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.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022	2021
Gross Profit %	74.4% ▲	72.6%	71.5%	70.5%	N/A
Operating Margin %	44.9% ▲	42.0%	37.6%	36.5%	N/A
Net Income %	31.9% ▲	29.0%	27.2%	25.1%	N/A
Diluted EPS	13.67 ▲	11.26	8.73	7.44	N/A

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$15.8B	$15.5B	$14.6B	$14.3B	N/A
Total Debt	$7.4B ↓	$7.7B	$7.4B	$7.9B	N/A
Working Capital	$2.2B ▲	$1.7B	$1.8B	$1.7B	N/A
Years to Pay Debt	2.99	3.76	4.61	5.72	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$2.6B ▲	$2.5B	$1.9B	$1.2B	N/A
Owner Earnings	$3.3B	$2.8B	$2.3B	$2.0B	N/A
CapEx % of Net Income	13.3%	15.4%	16.9%	20.6%	N/A

Income Statement

	2025	2024	2023	2022	2021
Tax Effect Of Unusual Items	-35,214	-21,104	-17,407	-14,892
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	4,056,000	3,558,000	2,733,000	2,405,000
Total Unusual Items	-165,000	-89,000	-103,000	-68,000
Total Unusual Items Excluding Goodwill	-165,000	-89,000	-103,000	-68,000
Net Income From Continuing Operation Net Minority Interest	2,459,000	2,058,000	1,607,000	1,374,000
Reconciled Depreciation	480,000	431,000	373,000	331,000
Reconciled Cost Of Revenue	1,973,000	1,945,000	1,687,000	1,613,000
EBITDA	3,891,000	3,469,000	2,630,000	2,337,000
EBIT	3,411,000	3,038,000	2,257,000	2,006,000
Net Interest Income	-213,000	-237,000	-251,000	-231,000
Interest Expense	281,000	339,000	322,000	246,000
Interest Income	68,000	102,000	71,000	15,000
Normalized Income	2,588,786	2,125,896	1,692,593	1,427,108
Net Income From Continuing And Discontinued Operation	2,459,000	2,058,000	1,607,000	1,374,000
Total Expenses	4,256,000	4,111,000	3,692,000	3,471,000
Total Operating Income As Reported	3,351,000	2,875,000	2,137,000	1,883,000
Diluted Average Shares	179,900	182,700	184,000	184,700
Basic Average Shares	179,100	181,800	183,200	183,900
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	2,459,000	2,058,000	1,607,000	1,374,000
Net Income Common Stockholders	2,459,000	2,058,000	1,607,000	1,374,000
Net Income	2,459,000	2,058,000	1,607,000	1,374,000
Minority Interests	-3,000	-1,000	-1,000	0
Net Income Including Noncontrolling Interests	2,462,000	2,059,000	1,608,000	1,374,000
Net Income Continuous Operations	2,462,000	2,059,000	1,608,000	1,374,000
Tax Provision	668,000	640,000	327,000	386,000
Pretax Income	3,130,000	2,699,000	1,935,000	1,760,000
Other Income Expense	-119,000	-41,000	-38,000	-6,000
Other Non Operating Income Expenses	26,000	26,000	46,000	45,000
Special Income Charges	-167,000	-102,000	-87,000	-44,000
Gain On Sale Of Business	23,000	0	0	0
Other Special Charges	79,000			-70,000
Restructuring And Mergern Acquisition	111,000	102,000	87,000	114,000
Earnings From Equity Interest	20,000	22,000	19,000	17,000
Gain On Sale Of Security	2,000	13,000	-16,000	-24,000
Net Non Operating Interest Income Expense	-213,000	-237,000	-251,000	-231,000
Interest Expense Non Operating	281,000	339,000	322,000	246,000
Interest Income Non Operating	68,000	102,000	71,000	15,000
Operating Income	3,462,000	2,977,000	2,224,000	1,997,000
Operating Expense	2,283,000	2,166,000	2,005,000	1,858,000
Other Operating Expenses			1,687,000	1,613,000	1,637,000
Depreciation Amortization Depletion Income Statement	480,000	431,000	373,000	331,000
Depreciation And Amortization In Income Statement	480,000	431,000	373,000	331,000
Selling General And Administration	1,803,000	1,735,000	1,632,000	1,527,000
General And Administrative Expense	1,803,000	1,735,000	1,632,000	1,527,000
Other Gand A	1,803,000	1,735,000	1,632,000	1,527,000
Salaries And Wages			-35,000	-24,000	-9,000
Gross Profit	5,745,000	5,143,000	4,229,000	3,855,000
Cost Of Revenue	1,973,000	1,945,000	1,687,000	1,613,000
Total Revenue	7,718,000	7,088,000	5,916,000	5,468,000
Operating Revenue	7,718,000	7,088,000	5,916,000	5,468,000

Balance Sheet

	2025	2024	2023	2022	2021
Treasury Shares Number	165,359	162,593	160,431	159,702
Ordinary Shares Number	177,543	180,309	182,472	183,200
Share Issued	342,902	342,902	342,902	342,902
Net Debt	4,610,000	5,020,000	4,871,000	5,620,000
Total Debt	7,351,000	7,746,000	7,415,000	7,863,000
Tangible Book Value	-4,180,000	-4,319,000	-4,687,000	-5,530,000
Invested Capital	11,048,000	10,993,000	10,319,000	9,908,000
Working Capital	2,205,000	1,693,000	1,841,000	1,719,000
Net Tangible Assets	-4,180,000	-4,319,000	-4,687,000	-5,530,000
Capital Lease Obligations	357,000	318,000	414,000	474,000
Common Stock Equity	4,054,000	3,565,000	3,318,000	2,519,000
Total Capitalization	11,048,000	10,296,000	10,319,000	9,908,000
Total Equity Gross Minority Interest	4,205,000	3,727,000	3,476,000	2,689,000
Minority Interest	151,000	162,000	158,000	170,000
Stockholders Equity	4,054,000	3,565,000	3,318,000	2,519,000
Gains Losses Not Affecting Retained Earnings	-500,000	-638,000	-567,000	-643,000
Other Equity Adjustments	-500,000	-638,000	-567,000	-643,000
Treasury Stock	14,978,000	13,322,000	12,005,000	11,513,000
Retained Earnings	17,853,000	16,071,000	14,659,000	13,618,000
Additional Paid In Capital	1,676,000	1,451,000	1,228,000	1,054,000
Capital Stock	3,000	3,000	3,000	3,000
Common Stock	3,000	3,000	3,000	3,000
Total Liabilities Net Minority Interest	11,625,000	11,778,000	11,146,000	11,660,000
Total Non Current Liabilities Net Minority Interest	8,644,000	8,181,000	8,646,000	9,285,000
Other Non Current Liabilities	41,000	52,000	50,000	50,000
Derivative Product Liabilities	540,000	192,000	366,000	317,000
Employee Benefits	216,000	195,000	190,000	189,000
Non Current Pension And Other Postretirement Benefit Plans	216,000	195,000	190,000	189,000
Non Current Accrued Expenses	43,000	47,000	36,000	47,000
Tradeand Other Payables Non Current	158,000	223,000	211,000	370,000
Non Current Deferred Liabilities	371,000	506,000	467,000	532,000
Non Current Deferred Revenue	56,000	57,000	65,000	75,000
Non Current Deferred Taxes Liabilities	315,000	449,000	402,000	457,000
Long Term Debt And Capital Lease Obligation	7,256,000	6,947,000	7,307,000	7,757,000
Long Term Capital Lease Obligation	262,000	216,000	306,000	368,000
Long Term Debt	6,994,000	6,731,000	7,001,000	7,389,000
Long Term Provisions	19,000	19,000	19,000	23,000
Current Liabilities	2,981,000	3,597,000	2,500,000	2,375,000
Other Current Liabilities	36,000	24,000		2,000	12,000
Current Deferred Liabilities	1,745,000	1,596,000	1,421,000	1,360,000
Current Deferred Revenue	1,745,000	1,596,000	1,421,000	1,360,000
Current Debt And Capital Lease Obligation	95,000	799,000	108,000	106,000
Current Capital Lease Obligation	95,000	102,000	108,000	106,000
Current Debt		697,000
Other Current Borrowings		697,000
Pensionand Other Post Retirement Benefit Plans Current	399,000	463,000	360,000	283,000
Payables And Accrued Expenses	706,000	715,000	611,000	624,000
Current Accrued Expenses	490,000	486,000	473,000	480,000
Interest Payable	152,000	152,000	150,000	144,000
Payables	216,000	229,000	138,000	144,000
Dividends Payable	8,000	32,000	7,000	6,000
Total Tax Payable	146,000	144,000	108,000	86,000
Income Tax Payable	146,000	144,000	108,000	86,000
Accounts Payable	62,000	53,000	23,000	52,000
Total Assets	15,830,000	15,505,000	14,622,000	14,349,000
Total Non Current Assets	10,644,000	10,215,000	10,281,000	10,255,000
Other Non Current Assets	159,000	256,000	261,000	235,000
Defined Pension Benefit	74,000	60,000	41,000	40,000
Non Current Prepaid Assets	16,000	15,000	16,000	15,000
Non Current Deferred Assets	558,000	507,000	454,000	437,000
Non Current Deferred Taxes Assets	305,000	293,000	258,000	266,000
Financial Assets	0	58,000	3,000	27,000
Investments And Advances	599,000	563,000	621,000	604,000
Investmentin Financial Assets	110,000	98,000	100,000	87,000
Available For Sale Securities	110,000	98,000	100,000	87,000
Long Term Equity Investment	489,000	465,000	521,000	517,000
Investmentsin Associatesat Cost			521,000	517,000	443,000
Goodwill And Other Intangible Assets	8,234,000	7,884,000	8,005,000	8,049,000
Goodwill	6,368,000	5,994,000	5,956,000	5,839,000
Net PPE	1,004,000	872,000	880,000	848,000
Accumulated Depreciation	-1,572,000	-1,453,000	-1,272,000	-1,123,000
Gross PPE	2,576,000	2,325,000	2,152,000	1,971,000
Leases	265,000	235,000	232,000	237,000
Other Properties	282,000	216,000	277,000	346,000
Machinery Furniture Equipment	2,029,000	1,874,000	1,643,000	1,388,000
Current Assets	5,186,000	5,290,000	4,341,000	4,094,000
Other Current Assets	189,000	178,000	149,000	136,000
Hedging Assets Current	104,000	77,000	92,000	93,000
Assets Held For Sale Current	98,000	0
Prepaid Assets	323,000	260,000	248,000	354,000
Receivables	2,024,000	1,801,000	1,659,000	1,652,000
Accrued Interest Receivable			79,000	74,000
Accounts Receivable	2,024,000	1,801,000	1,659,000	1,652,000
Allowance For Doubtful Accounts Receivable	-2,384,000	-32,000	-35,000	-40,000
Gross Accounts Receivable	4,408,000	1,833,000	1,694,000	1,692,000
Cash Cash Equivalents And Short Term Investments	2,448,000	2,974,000	2,193,000	1,859,000
Other Short Term Investments	64,000	566,000	63,000	90,000
Cash And Cash Equivalents	2,384,000	2,408,000	2,130,000	1,769,000

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	2,575,000	2,521,000	1,880,000	1,191,000
Repurchase Of Capital Stock	-1,706,000	-1,383,000	-561,000	-1,070,000
Repayment Of Debt	-700,000	0	-500,000	-626,000
Issuance Of Debt	0	496,000	0	988,000
Capital Expenditure	-326,000	-317,000	-271,000	-283,000
End Cash Position	2,384,000	2,408,000	2,130,000	1,769,000
Beginning Cash Position	2,408,000	2,130,000	1,769,000	1,811,000
Effect Of Exchange Rate Changes	136,000	-58,000	41,000	-46,000
Changes In Cash	-160,000	336,000	320,000	4,000
Financing Cash Flow	-3,063,000	-1,446,000	-1,584,000	-1,208,000
Cash Flow From Continuing Financing Activities	-3,063,000	-1,446,000	-1,584,000	-1,208,000
Net Other Financing Charges	-5,000	-12,000	-9,000	-11,000
Proceeds From Stock Option Exercised	49,000	73,000	50,000	26,000
Cash Dividends Paid	-701,000	-620,000	-564,000	-515,000
Common Stock Dividend Paid	-701,000	-620,000	-564,000	-515,000
Net Common Stock Issuance	-1,706,000	-1,383,000	-561,000	-1,070,000
Common Stock Payments	-1,706,000	-1,383,000	-561,000	-1,070,000
Net Issuance Payments Of Debt	-700,000	496,000	-500,000	362,000
Net Long Term Debt Issuance	-700,000	496,000	-500,000	362,000
Long Term Debt Payments	-700,000	0	-500,000	-626,000
Long Term Debt Issuance	0	496,000	0	988,000
Investing Cash Flow	2,000	-1,056,000	-247,000	-262,000
Cash Flow From Continuing Investing Activities	2,000	-1,056,000	-247,000	-262,000
Net Investment Purchase And Sale	534,000	-516,000	19,000	190,000
Sale Of Investment	722,000	135,000	162,000	436,000
Purchase Of Investment	-188,000	-651,000	-143,000	-246,000
Net Business Purchase And Sale	-206,000	-223,000	5,000	-169,000
Sale Of Business	40,000	2,000	13,000	2,000
Purchase Of Business	-246,000	-225,000	-8,000	-171,000
Capital Expenditure Reported	-326,000	-317,000	-271,000	-283,000
Operating Cash Flow	2,901,000	2,838,000	2,151,000	1,474,000
Cash Flow From Continuing Operating Activities	2,901,000	2,838,000	2,151,000	1,474,000
Change In Working Capital	-254,000	150,000	-38,000	-452,000
Change In Other Working Capital	148,000	154,000	24,000	20,000
Change In Other Current Liabilities	-104,000	11,000	-176,000	-49,000
Change In Other Current Assets	-40,000	-53,000	50,000	-271,000
Change In Payables And Accrued Expense	-55,000	225,000	76,000	-161,000
Change In Receivables	-203,000	-187,000	-12,000	9,000
Changes In Account Receivables	-203,000	-187,000	-12,000	9,000
Other Non Cash Items	9,000	32,000	35,000	29,000
Stock Based Compensation	232,000	220,000	193,000	169,000
Provisionand Write Offof Assets	12,000	15,000	22,000	25,000
Asset Impairment Charge			35,000	29,000	0
Deferred Tax	-17,000	-62,000	-38,000	48,000
Deferred Income Tax	-17,000	-62,000	-38,000	48,000
Depreciation Amortization Depletion	480,000	431,000	373,000	331,000
Depreciation And Amortization	480,000	431,000	373,000	331,000
Amortization Cash Flow	215,000	198,000	198,000	200,000
Amortization Of Intangibles	215,000	198,000	198,000	200,000
Depreciation	265,000	233,000	175,000	131,000
Operating Gains Losses	-23,000	-7,000	-4,000	-50,000
Net Foreign Currency Exchange Gain Loss		0	0	20,000	0
Gain Loss On Sale Of Business	-23,000	-7,000	-4,000	0
Net Income From Continuing Operations	2,462,000	2,059,000	1,608,000	1,374,000

These metrics estimate what Moody's Corporation is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$84.49

Margin of Safety

Market Cap ÷ Company Value

2.63

P/B Ratio

19.37

Warren's Owner Earnings

$3.3B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

4/7 — Enterprising Investor

✅ Adequate Size

$7.7B

vs > $1.5B revenue

❌ Strong Financial Condition

1.74x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

✅ Dividend Record

0.84%

vs Uninterrupted dividends

✅ Earnings Growth

+83.7% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

32.2x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

19.37x P/B (P/E×P/B: 623.9)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$-36.86

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$220.22

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	13.3%	15.4%	16.9%	20.6%	N/A
Repurchase of Capital Stock	-$1.7B	-$1.4B	-$561M	-$1.1B	N/A
Free Cash Flow	$2.6B ▲	$2.5B ▲	$1.9B ▲	$1.2B •	N/A •
Warren's Owner Earnings	$3.3B	$2.8B	$2.3B	$2.0B	N/A

Peers & Industry

No auto-detected peers for Financial Data & Stock Exchanges. You can manually compare MCO against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

14.25%

High — management has strong skin in the game

Return on Equity (ROE)

60.7%

Excellent — management generates strong returns on equity

Return on Assets (ROA)

15.5%

Strong — management uses assets efficiently

Share Buybacks (Latest Year)

$1.7B

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-5.1% YoY

Debt is declining — management is deleveraging

Leadership Team

Robert Scott Fauber

President, CEO & Director

Age 55

Pay: $3,368,212

0.137% of net income

Noemie Clemence Heuland CPA

Senior VP & CFO

Age 47

Pay: $1,894,500

0.077% of net income

Michael West

President of Moody's Investors Service Inc. & CEO of Moody's Ratings

Age 56

Pay: $2,299,671

0.094% of net income

Michael Adler

Senior Vice President of Corporate Communications

Top Institutional Holders

Institution	% Owned	Shares
Berkshire Hathaway, Inc	14.12%	24,669,778
Vanguard Group Inc	8.74%	15,272,967
Blackrock Inc.	8.03%	14,029,797
TCI Fund Management Ltd	7.62%	13,308,479
State Street Corporation	4.08%	7,134,082
FMR, LLC	3.13%	5,476,294
Geode Capital Management, LLC	2.27%	3,965,480
Fiera Capital Corporation	1.36%	2,371,939

Risk Analysis

Beta (Market Risk)

1.37

Moderate volatility — moves slightly more than market

Short Interest

2.4% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

2.36x

High leverage — significant financial risk

Current Ratio

1.16x

Adequate liquidity

52-Week Price Range

Low: $402.28 Current: $449.44 High: $546.88

Currently at 33% of 52-week range

360investing