Brokerages Anticipate Moody’s Co. (MCO) to Announce $1.79 Earnings Per Share

Wall Street analysts predict that Moody’s Co. (NYSE:MCO) will report $1.79 earnings per share for the current quarter, Zacks reports. Five analysts have provided estimates for Moody’s’ earnings, with the highest EPS estimate coming in at $1.83 and the lowest estimate coming in at $1.77. Moody’s reported earnings per share of $1.52 in the same quarter last year, which would suggest a positive year over year growth rate of 17.8%. The firm is scheduled to announce its next quarterly earnings results on Friday, November 2nd.

On average, analysts expect that Moody’s will report full year earnings of $7.73 per share for the current year, with EPS estimates ranging from $7.65 to $7.79. For the next financial year, analysts forecast that the business will report earnings of $8.45 per share, with EPS estimates ranging from $8.26 to $8.60. Zacks’ earnings per share averages are a mean average based on a survey of sell-side research firms that that provide coverage for Moody’s.

Moody’s (NYSE:MCO) last announced its earnings results on Friday, July 27th. The business services provider reported $2.04 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.88 by $0.16. Moody’s had a return on equity of 907.23% and a net margin of 24.10%. The firm had revenue of $1.18 billion for the quarter, compared to analyst estimates of $1.15 billion. During the same quarter last year, the firm posted $1.54 EPS. The business’s revenue was up 17.5% on a year-over-year basis.

A number of research analysts have recently issued reports on the company. Zacks Investment Research upgraded Moody’s from a “sell” rating to a “hold” rating in a research report on Friday. Nomura decreased their price objective on Moody’s from $195.00 to $193.00 and set a “buy” rating on the stock in a report on Monday, July 9th. Stifel Nicolaus raised their price objective on Moody’s from $170.00 to $188.00 and gave the company a “hold” rating in a report on Monday, July 30th. BMO Capital Markets raised their price objective on Moody’s from $179.00 to $183.00 and gave the company a “market perform” rating in a report on Monday, July 30th. Finally, ValuEngine lowered Moody’s from a “buy” rating to a “hold” rating in a report on Wednesday, October 3rd. Eight investment analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. The company presently has an average rating of “Hold” and an average price target of $181.64.

Shares of NYSE:MCO traded up $0.29 during midday trading on Monday, reaching $161.65. 1,190,800 shares of the company’s stock traded hands, compared to its average volume of 781,510. Moody’s has a 1 year low of $140.15 and a 1 year high of $187.98. The firm has a market capitalization of $32.09 billion, a price-to-earnings ratio of 26.43, a price-to-earnings-growth ratio of 1.87 and a beta of 1.09. The company has a debt-to-equity ratio of 10.72, a current ratio of 1.54 and a quick ratio of 1.54.

The business also recently declared a quarterly dividend, which was paid on Monday, September 10th. Stockholders of record on Monday, August 20th were issued a dividend of $0.44 per share. The ex-dividend date was Friday, August 17th. This represents a $1.76 annualized dividend and a dividend yield of 1.09%. Moody’s’s dividend payout ratio is presently 29.00%.

In related news, CFO Linda Huber purchased 915 shares of Moody’s stock in a transaction dated Monday, August 6th. The shares were acquired at an average price of $172.31 per share, for a total transaction of $157,663.65. The purchase was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 1.00% of the stock is owned by insiders.

Several hedge funds and other institutional investors have recently bought and sold shares of MCO. Voya Investment Management LLC increased its position in shares of Moody’s by 223.2% during the 2nd quarter. Voya Investment Management LLC now owns 858,597 shares of the business services provider’s stock worth $146,442,000 after purchasing an additional 592,956 shares during the last quarter. NN Investment Partners Holdings N.V. increased its position in shares of Moody’s by 1,282.3% during the 2nd quarter. NN Investment Partners Holdings N.V. now owns 331,802 shares of the business services provider’s stock worth $56,590,000 after purchasing an additional 307,798 shares during the last quarter. Winslow Capital Management LLC increased its position in shares of Moody’s by 20.6% during the 1st quarter. Winslow Capital Management LLC now owns 1,651,735 shares of the business services provider’s stock worth $266,425,000 after purchasing an additional 282,513 shares during the last quarter. Millennium Management LLC increased its position in shares of Moody’s by 2,056.1% during the 1st quarter. Millennium Management LLC now owns 294,820 shares of the business services provider’s stock worth $47,554,000 after purchasing an additional 281,146 shares during the last quarter. Finally, Summit Trail Advisors LLC increased its position in shares of Moody’s by 9,986.2% during the 1st quarter. Summit Trail Advisors LLC now owns 215,945 shares of the business services provider’s stock worth $216,000 after purchasing an additional 213,804 shares during the last quarter. Institutional investors and hedge funds own 87.90% of the company’s stock.

About Moody’s

Moody's Corporation provides credit ratings; and credit, capital markets, and economic related research, data, and analytical tools worldwide. It operates through two segments, Moody's Investors Service and Moody's Analytics. The Moody's Investors Service segment publishes credit ratings on various debt obligations and entities that issue such obligations comprising various corporate and governmental obligations, structured finance securities, and commercial paper programs.

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Earnings History and Estimates for Moody`s (NYSE:MCO)

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