Don't Buy Moody's Before Checking Its Fundamentals!

One of the losers of Friday's trading session was Moody's. Shares of the Financial data & stock exchanges company plunged -3.38%, and some investors may be wondering if its price of $285.09 would make a good entry point. Here's what you should know if you are considering this investment:

  • Moody's has moved -5.2% over the last year, and the S&P 500 logged a change of -7.46%

  • MCO has an average analyst rating of buy and is -12.37% away from its mean target price of $325.33 per share

  • Its trailing earnings per share (EPS) is $7.46

  • Moody's has a trailing 12 month Price to Earnings (P/E) ratio of 38.22 while the S&P 500 average is 15.97

  • Its forward earnings per share (EPS) is $11.15 and its forward P/E ratio is 25.57

  • The company has a Price to Book (P/B) ratio of 24.18 in contrast to the S&P 500's average ratio of 2.95

  • Moody's is part of the Finance sector, which has an average P/E ratio of 14.34 and an average P/B of 1.57

  • Moody's Corporation, often referred to as Moody's, is an American business and financial services company. It is the holding company for Moody's Investors Service (MIS), an American credit rating agency, and Moody's Analytics (MA), an American provider of financial analysis software and services.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.