Wall Street analysts forecast that Moody's (MCO) will report quarterly earnings of $3.46 per share in its upcoming release, pointing to a year-over-year increase of 32.1%. It is anticipated that revenues will amount to $1.88 billion, exhibiting an increase of 12.2% compared to the year-ago quarter.
Over the last 30 days, there has been an upward revision of 0.9% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
With that in mind, let's delve into the average projections of some Moody's metrics that are commonly tracked and projected by analysts on Wall Street.
The collective assessment of analysts points to an estimated 'Revenue- Total external customers- Moody's Analytics' of $939.12 million. The estimate suggests a change of +8.8% year over year.
According to the collective judgment of analysts, 'Revenue- Total external customers- Moody's investor services' should come in at $945.96 million. The estimate indicates a year-over-year change of +16.9%.
Analysts forecast 'Revenue- Moody's Analytics- Data and Information' to reach $236.62 million. The estimate suggests a change of +8.5% year over year.
The consensus estimate for 'Revenue- Moody's Analytics- Research and Insights' stands at $260.68 million. The estimate indicates a year-over-year change of +7.3%.
Analysts predict that the 'Revenue- Moody's Analytics- Decision Solutions' will reach $440.87 million. The estimate indicates a change of +9.7% from the prior-year quarter.
The average prediction of analysts places 'Revenue- Moody's investor services- Recurring' at $348.05 million. The estimate suggests a change of +7.4% year over year.
The combined assessment of analysts suggests that 'Revenue- Moody's investor services- Transaction' will likely reach $590.90 million. The estimate points to a change of +21.8% from the year-ago quarter.
Based on the collective assessment of analysts, 'Revenue- Moody's investor services- Ratings- Corporate finance (CFG)- High-yield' should arrive at $65.30 million. The estimate indicates a change of +23.2% from the prior-year quarter.
It is projected by analysts that the 'Revenue- Moody's investor services- Ratings- Corporate finance (CFG)- Investment-grade' will reach $122.70 million. The estimate suggests a change of +70.4% year over year.
The consensus among analysts is that 'Revenue- Moody's investor services- Ratings- Corporate finance (CFG)- Other accounts' will reach $170.29 million. The estimate points to a change of +12.8% from the year-ago quarter.
Analysts expect 'Revenue- Moody's investor services- Ratings- Structured finance (SFG)- Asset-backed securities' to come in at $37.75 million. The estimate points to a change of +30.2% from the year-ago quarter.
Analysts' assessment points toward 'Revenue- Moody's investor services- Ratings- Structured finance (SFG)- RMBS' reaching $26.50 million. The estimate indicates a change of +6% from the prior-year quarter.
View all Key Company Metrics for Moody's here>>>
Moody's shares have witnessed a change of -23.1% in the past month, in contrast to the Zacks S&P 500 composite's -0.3% move. With a Zacks Rank #2 (Buy), MCO is expected outperform the overall market performance in the near term. 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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