NASDAQ:VEEE 17 November 2025

May 24, 2026, 11:09 AM EDT. Moody's (MCO) reported robust earnings and sales growth, driven by its dual focus on recurring analytics revenue and credit ratings. Despite this, its stock is down about 10% year to date. The company trades at a price-to-earnings (P/E) ratio of 31.4x, higher than industry peers but below the U.S. capital markets average. Moody's benefits from a regulatory moat as one of two dominant credit rating agencies, essential for global debt issuance. Analysts estimate Moody's is about 5.1% undervalued with a fair value near $473.36. However, risks include regulatory shifts and artificial intelligence potentially impacting the traditional ratings business. Investors debate if current multiples accurately reflect growth prospects or imply valuation risk.