Moody's Stock Performance and Analyst Sentiment
Moody's Corporation (MCO) has underperformed both the broader market and its sector-specific benchmark over the past year. While the S&P 500 gained 20.5% in that period, MCO shares fell by 1.2%. Similarly, on a year-to-date basis, MCO declined 1.5%, compared to an 8.5% gain for the iShares U.S. Broker-Dealers & Securities Exchanges ETF (IAI). Despite this underperformance, Moody's reported strong Q2 FY2026 earnings with revenue rising 15.1% and adjusted EPS increasing by 31.5%. The company also raised its share repurchase guidance to $3 billion from approximately $2.5 billion. Analysts remain generally bullish on MCO stock, with a consensus rating of 'Moderate Buy' based on 17 'Strong Buy', one 'Moderate Buy', and seven 'Hold' ratings among the 25 analysts covering the stock. The mean price target is $562.83, implying an 11.8% upside from current levels, while the highest target of $610 suggests a potential gain of 21.2%. Moody's has exceeded EPS estimates in each of its past four quarters and reaffirmed high-single-digit revenue growth guidance for FY2026.
Topics: market comparison MCO Moody's Q2 earnings stock performance