Analysts on Wall Street project that Moody's (MCO) will announce quarterly earnings of $3.65 per share in its forthcoming report, representing an increase of 13.7% year over year. Revenues are projected to reach $1.95 billion, increasing 7.6% from the same quarter last year.
The consensus EPS estimate for the quarter has been revised 0.2% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
In light of this perspective, let's dive into the average estimates of certain Moody's metrics that are commonly tracked and forecasted by Wall Street analysts.
It is projected by analysts that the 'Revenue- Total external customers- Moody's Analytics' will reach $908.32 million. The estimate suggests a change of +9.3% year over year.
Analysts expect 'Revenue- Total external customers- Moody's investor services' to come in at $1.04 billion. The estimate points to a change of +6.2% from the year-ago quarter.
According to the collective judgment of analysts, 'Revenue- Moody's Analytics- Decision Solutions' should come in at $423.47 million. The estimate indicates a change of +10.6% from the prior-year quarter.
Analysts predict that the 'Revenue- Moody's Analytics- Data and Information' will reach $228.74 million. The estimate indicates a change of +7.4% from the prior-year quarter.
Based on the collective assessment of analysts, 'Revenue- Moody's Analytics- Research and Insights' should arrive at $253.52 million. The estimate suggests a change of +7.9% year over year.
Analysts' assessment points toward 'Revenue- Moody's Analytics- Intersegment revenue' reaching $3.22 million. The estimate points to a change of +7.3% from the year-ago quarter.
The average prediction of analysts places 'Revenue- Moody's investor services- Recurring' at $343.34 million. The estimate points to a change of +7.6% from the year-ago quarter.
The consensus estimate for 'Revenue- Moody's investor services- Transaction' stands at $710.10 million. The estimate indicates a change of +122.6% from the prior-year quarter.
The combined assessment of analysts suggests that 'Revenue- Moody's investor services' will likely reach $1.12 billion. The estimate points to a change of +8.9% from the year-ago quarter.
Analysts forecast 'Revenue- Moody's Analytics' to reach $909.52 million. The estimate points to a change of +9.1% from the year-ago quarter.
The consensus among analysts is that 'Revenue- Moody's investor services- Public, project and infrastructure finance' will reach $155.17 million. The estimate indicates a year-over-year change of +0.8%.
The collective assessment of analysts points to an estimated 'Revenue- Moody's investor services- Financial institutions' of $174.94 million. The estimate indicates a change of +2.9% from the prior-year quarter.
View all Key Company Metrics for Moody's here>>>
Over the past month, Moody's shares have recorded returns of -2.9% versus the Zacks S&P 500 composite's +0.7% change. Based on its Zacks Rank #2 (Buy), MCO will likely outperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Moody's Corporation (MCO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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