Katamaran Capital LLP Lowers Holdings in Moody's Corporation $MCO

Key Points

• Katamaran Capital LLP cut its Moody's stake by 48.2% in the fourth quarter, selling 4,322 shares and leaving it with 4,651 shares valued at about $2.38 million. Moody's now makes up roughly 1.8% of the fund’s portfolio.
• Moody's delivered solid quarterly results, reporting EPS of $4.33 versus the $4.22 consensus estimate and revenue of $2.08 billion, with revenue up 8.1% year over year. The company also reaffirmed FY 2026 guidance of $16.40 to $17.00 EPS.
• The company declared a quarterly dividend of $1.03 per share, payable on June 5, for an annualized dividend of $4.12 and yield of 0.9%. Insider selling and analyst sentiment were mixed, though Wall Street’s overall view remains a “Moderate Buy.”

Katamaran Capital LLP decreased its position in Moody's Corporation (NYSE:MCO - Free Report) by 48.2% in the fourth quarter, according to its most recent Form 13F filing with the SEC. The firm owned 4,651 shares of the business services provider's stock after selling 4,322 shares during the period. Moody's accounts for about 1.8% of Katamaran Capital LLP's investment portfolio, making the stock its 25th biggest position. Katamaran Capital LLP's holdings in Moody's were worth $2,376,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of MCO. Two Sigma Investments LP lifted its holdings in Moody's by 1,222.0% during the third quarter. Two Sigma Investments LP now owns 324,251 shares of the business services provider's stock worth $154,499,000 after buying an additional 299,724 shares during the period. Holocene Advisors LP increased its holdings in shares of Moody's by 340.0% in the 3rd quarter. Holocene Advisors LP now owns 283,744 shares of the business services provider's stock valued at $135,198,000 after acquiring an additional 219,251 shares during the period. Balyasny Asset Management L.P. raised its position in shares of Moody's by 10,311.9% in the 3rd quarter. Balyasny Asset Management L.P. now owns 197,826 shares of the business services provider's stock worth $94,260,000 after acquiring an additional 195,926 shares in the last quarter. Windacre Partnership LLC raised its position in shares of Moody's by 18.4% in the 3rd quarter. Windacre Partnership LLC now owns 1,164,900 shares of the business services provider's stock worth $555,052,000 after acquiring an additional 181,305 shares in the last quarter. Finally, PFA Pension Forsikringsaktieselskab bought a new position in shares of Moody's in the 4th quarter worth $86,930,000. Institutional investors own 92.11% of the company's stock.

Moody's Stock Performance

Shares of MCO stock opened at $450.94 on Monday. The business's fifty day simple moving average is $448.64 and its 200-day simple moving average is $475.61. The company has a market cap of $78.78 billion, a PE ratio of 32.33, a PEG ratio of 2.43 and a beta of 1.37. The company has a current ratio of 1.16, a quick ratio of 1.16 and a debt-to-equity ratio of 2.03. Moody's Corporation has a 12-month low of $402.28 and a 12-month high of $546.88.

Moody's (NYSE:MCO - Get Free Report) last issued its quarterly earnings results on Wednesday, April 22nd. The business services provider reported $4.33 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.22 by $0.11. The business had revenue of $2.08 billion for the quarter, compared to the consensus estimate of $2.11 billion. Moody's had a return on equity of 70.97% and a net margin of 31.69%.The business's quarterly revenue was up 8.1% on a year-over-year basis. During the same period in the prior year, the firm posted $3.83 earnings per share. Moody's has set its FY 2026 guidance at 16.400-17.000 EPS. Analysts expect that Moody's Corporation will post 16.69 earnings per share for the current fiscal year.

Moody's Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, June 5th. Stockholders of record on Friday, May 15th will be given a dividend of $1.03 per share. The ex-dividend date of this dividend is Friday, May 15th. This represents a $4.12 dividend on an annualized basis and a dividend yield of 0.9%. Moody's's dividend payout ratio is presently 29.53%.

Insiders Place Their Bets

In other news, SVP Richard G. Steele sold 375 shares of the company's stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $456.71, for a total transaction of $171,266.25. Following the transaction, the senior vice president directly owned 2,459 shares of the company's stock, valued at approximately $1,123,049.89. This represents a 13.23% 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, CEO Robert Fauber sold 5,213 shares of the company's stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $456.71, for a total value of $2,380,829.23. Following the transaction, the chief executive officer directly owned 75,789 shares in the company, valued at approximately $34,613,594.19. The trade was a 6.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 8,680 shares of company stock worth $3,952,188. Insiders own 0.14% of the company's stock.

Wall Street Analysts Forecast Growth

MCO has been the subject of several recent research reports. JPMorgan Chase & Co. reduced their price target on Moody's from $600.00 to $560.00 and set an "overweight" rating for the company in a research report on Thursday, February 19th. Mizuho reduced their price target on Moody's from $524.00 to $521.00 and set a "neutral" rating for the company in a research report on Tuesday, April 28th. Bank of America reissued a "buy" rating and issued a $565.00 price target on shares of Moody's in a research report on Wednesday, April 22nd. BMO Capital Markets reissued a "market perform" rating and issued a $489.00 price target on shares of Moody's in a research report on Thursday, April 23rd. Finally, UBS Group reduced their price target on Moody's from $515.00 to $490.00 and set a "neutral" rating for the company in a research report on Thursday, February 19th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and six have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Moody's currently has an average rating of "Moderate Buy" and a consensus price target of $544.29.

Moody's Profile

Moody's Corporation is a global provider of credit ratings, research, data and analytics that support financial decision-making and transparency in capital markets. The company traces its origins to the early 20th century when financial analyst John Moody began publishing credit information; today Moody's is headquartered in New York and serves a broad set of market participants including investors, issuers, financial institutions, corporations, governments and regulators.

Moody's operates primarily through two complementary businesses.

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