Entropy Technologies LP Raises Stake in Moody's Corporation (NYSE:MCO)

Key Points

• Entropy Technologies LP significantly increased its stake in Moody's Corporation by 338.3%, owning 3,068 shares valued at approximately $1.43 million as of the latest SEC filing.
• Insider sales included Michael L. West's sale of 3,704 shares at an average price of $511.10, marking a 31.09% decrease in his position.
• Moody's reported Q2 EPS of $3.56, surpassing estimates of $3.39, with revenue of $1.90 billion, reflecting a 4.5% year-over-year increase.

Entropy Technologies LP increased its position in shares of Moody's Corporation (NYSE:MCO - Free Report) by 338.3% during the first quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 3,068 shares of the business services provider's stock after buying an additional 2,368 shares during the period. Entropy Technologies LP's holdings in Moody's were worth $1,429,000 as of its most recent filing with the SEC.

Other hedge funds have also recently added to or reduced their stakes in the company. Wolff Wiese Magana LLC lifted its holdings in Moody's by 1,000.0% during the first quarter. Wolff Wiese Magana LLC now owns 55 shares of the business services provider's stock valued at $26,000 after purchasing an additional 50 shares in the last quarter. Golden State Wealth Management LLC lifted its holdings in Moody's by 5,050.0% during the first quarter. Golden State Wealth Management LLC now owns 103 shares of the business services provider's stock valued at $48,000 after purchasing an additional 101 shares in the last quarter. Alpine Bank Wealth Management purchased a new position in Moody's during the first quarter valued at $49,000. Meeder Asset Management Inc. lifted its holdings in Moody's by 132.6% during the first quarter. Meeder Asset Management Inc. now owns 107 shares of the business services provider's stock valued at $50,000 after purchasing an additional 61 shares in the last quarter. Finally, Motco lifted its holdings in Moody's by 581.3% during the first quarter. Motco now owns 109 shares of the business services provider's stock valued at $51,000 after purchasing an additional 93 shares in the last quarter. 92.11% of the stock is owned by hedge funds and other institutional investors.

Moody's Trading Down 0.5%

Shares of MCO traded down $2.46 during trading on Friday, reaching $517.92. 152,234 shares of the company traded hands, compared to its average volume of 792,333. Moody's Corporation has a twelve month low of $378.71 and a twelve month high of $531.93. The stock has a market cap of $92.71 billion, a PE ratio of 44.01, a price-to-earnings-growth ratio of 3.34 and a beta of 1.40. The stock has a 50-day simple moving average of $498.69 and a 200-day simple moving average of $479.41. The company has a quick ratio of 1.75, a current ratio of 1.75 and a debt-to-equity ratio of 1.70.

Moody's (NYSE:MCO - Get Free Report) last announced its quarterly earnings results on Wednesday, July 23rd. The business services provider reported $3.56 earnings per share for the quarter, beating analysts' consensus estimates of $3.39 by $0.17. Moody's had a net margin of 29.18% and a return on equity of 60.73%. The business had revenue of $1.90 billion during the quarter, compared to analysts' expectations of $1.82 billion. During the same period last year, the business earned $3.28 earnings per share. The business's revenue for the quarter was up 4.5% on a year-over-year basis. On average, analysts anticipate that Moody's Corporation will post 13.95 earnings per share for the current year.

Moody's Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 5th. Stockholders of record on Friday, August 15th will be paid a $0.94 dividend. The ex-dividend date of this dividend is Friday, August 15th. This represents a $3.76 annualized dividend and a dividend yield of 0.7%. Moody's's dividend payout ratio (DPR) is presently 31.95%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on MCO. Oppenheimer increased their target price on shares of Moody's from $552.00 to $563.00 and gave the company an "outperform" rating in a research report on Thursday, July 24th. Stifel Nicolaus reduced their target price on shares of Moody's from $533.00 to $468.00 and set a "hold" rating for the company in a research report on Wednesday, April 23rd. JPMorgan Chase & Co. increased their target price on shares of Moody's from $495.00 to $565.00 and gave the company an "overweight" rating in a research report on Monday, July 21st. Royal Bank Of Canada reiterated an "outperform" rating and issued a $550.00 target price on shares of Moody's in a research report on Wednesday, June 4th. Finally, BMO Capital Markets increased their target price on shares of Moody's from $509.00 to $534.00 and gave the company a "market perform" rating in a research report on Thursday, July 24th. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating and ten have given a buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $538.80.

Insiders Place Their Bets

In related news, SVP Richard G. Steele sold 1,457 shares of Moody's stock in a transaction that occurred on Tuesday, July 29th. The shares were sold at an average price of $508.83, for a total value of $741,365.31. Following the completion of the transaction, the senior vice president owned 1,386 shares in the company, valued at approximately $705,238.38. The trade was a 51.25% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Stephen T. Tulenko sold 2,120 shares of Moody's stock in a transaction that occurred on Wednesday, July 30th. The shares were sold at an average price of $511.18, for a total transaction of $1,083,701.60. Following the completion of the transaction, the insider owned 5,558 shares of the company's stock, valued at $2,841,138.44. This trade represents a 27.61% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 8,593 shares of company stock valued at $4,382,984. 0.14% of the stock is owned by company insiders.

Moody's Profile

Moody's Corporation operates as an integrated risk assessment firm worldwide. It operates in two segments, Moody's Analytics and Moody's Investors Services. The Moody's Analytics segment develops a range of products and services that support the risk management activities of institutional participants in financial markets.