Moody's Corporation provides credit ratings and research covering debt instruments and securities, and Moody's Analytics, which offers leading-edge software, advisory services and research for credit and economic analysis and financial risk management. The company was founded in 1900 and is based in New York, New York.
MCO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Moodys Corp. To summarize, we found that Moodys Corp ranked in the 28th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. As for the metrics that stood out in our discounted cash flow analysis of Moodys Corp, consider:
MCO's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 36.09% of tickers in our DCF set.
Relative to other stocks in its sector (Financial Services), Moodys Corp has a reliance on debt greater than only 24.02% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as MCO, try ASPS, ARGO, MA, FDS, and NICK.
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