Moody's Corporation $MCO Position Raised by Teacher Retirement System of Texas

Key Points

• Teacher Retirement System of Texas raised its stake in Moody's by 45.1% in Q4 to 94,814 shares (about $48.44 million), and institutional investors now own 92.11% of the company.
• Moody's Q1 results beat EPS estimates at $4.33 (vs. $4.22) with revenue of $2.08B (+8.1% YoY) slightly under Street, and management set FY2026 guidance at 16.40–17.00 EPS (consensus ~16.67).
• Management increased the share buyback authorization to $2.5 billion and declared a quarterly dividend of $1.03 per share (annualized yield ~0.9%), while insiders have recently sold shares.

Teacher Retirement System of Texas increased its position in shares of Moody's Corporation (NYSE:MCO - Free Report) by 45.1% during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 94,814 shares of the business services provider's stock after purchasing an additional 29,486 shares during the period. Teacher Retirement System of Texas owned 0.05% of Moody's worth $48,436,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. BAM Wealth Management LLC acquired a new position in Moody's in the third quarter worth approximately $871,000. California Public Employees Retirement System grew its position in Moody's by 3.6% in the third quarter. California Public Employees Retirement System now owns 298,104 shares of the business services provider's stock worth $142,041,000 after buying an additional 10,434 shares during the last quarter. Principal Financial Group Inc. grew its position in Moody's by 0.3% in the third quarter. Principal Financial Group Inc. now owns 647,711 shares of the business services provider's stock worth $308,649,000 after buying an additional 1,942 shares during the last quarter. Asset Management One Co. Ltd. grew its position in Moody's by 3.1% in the third quarter. Asset Management One Co. Ltd. now owns 73,793 shares of the business services provider's stock worth $35,161,000 after buying an additional 2,202 shares during the last quarter. Finally, Thrivent Financial for Lutherans grew its position in Moody's by 135.7% in the third quarter. Thrivent Financial for Lutherans now owns 45,829 shares of the business services provider's stock worth $21,837,000 after buying an additional 26,388 shares during the last quarter. Institutional investors own 92.11% of the company's stock.

Moody's Trading Up 1.8%

NYSE MCO opened at $467.80 on Thursday. Moody's Corporation has a twelve month low of $402.28 and a twelve month high of $546.88. The company has a debt-to-equity ratio of 1.66, a quick ratio of 1.74 and a current ratio of 1.74. The stock has a market cap of $83.27 billion, a price-to-earnings ratio of 34.20, a PEG ratio of 2.47 and a beta of 1.45. The firm's 50 day moving average price is $444.97 and its two-hundred day moving average price is $477.17.

Moody's (NYSE:MCO - Get Free Report) last posted its quarterly earnings data on Wednesday, April 22nd. The business services provider reported $4.33 earnings per share for the quarter, topping the consensus estimate of $4.22 by $0.11. Moody's had a net margin of 31.86% and a return on equity of 66.01%. The firm had revenue of $2.08 billion for the quarter, compared to analysts' expectations of $2.11 billion. During the same period in the previous year, the company posted $3.83 EPS. The company's quarterly revenue was up 8.1% compared to the same quarter last year. Moody's has set its FY 2026 guidance at 16.400-17.000 EPS. Equities analysts anticipate that Moody's Corporation will post 16.67 EPS for the current year.

Moody's Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, June 5th. Stockholders of record on Friday, May 15th will be issued a dividend of $1.03 per share. This represents a $4.12 annualized dividend and a dividend yield of 0.9%. The ex-dividend date is Friday, May 15th. Moody's's payout ratio is currently 30.12%.

Insider Buying and Selling at Moody's

In other news, SVP Richard G. Steele sold 375 shares of the business's stock in a transaction on Tuesday, March 3rd. The shares were 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 in the company, valued at $1,123,049.89. The trade was a 13.23% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Robert Fauber sold 5,213 shares of the business's stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $456.71, for a total transaction of $2,380,829.23. Following the transaction, the chief executive officer owned 75,789 shares in the company, valued at approximately $34,613,594.19. This represents a 6.44% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 8,222 shares of company stock worth $3,786,732. 0.14% of the stock is currently owned by corporate insiders.

Trending Headlines about Moody's

Here are the key news stories impacting Moody's this week:

• Positive Sentiment: Q1 EPS topped estimates ($4.33 vs. ~$4.22) and management said analytics and robust rated issuance supported results; Moody's raised its full‑year outlook. Moody's profit rises on strong analytics growth, lifts annual forecast
• Positive Sentiment: Management increased the share buyback authorization to $2.5 billion, signaling confidence in cash generation and supporting EPS per share over time. Moody's Boosts Buybacks To $2.5 Billion Following Q1 Earnings Beat
• Positive Sentiment: Market commentary and some analysts turned bullish after the print, highlighting Moody's exposure to higher issuance and recurring analytics revenue. Analysts Are Bullish on These Financial Stocks: Robinhood (HOOD), Moody’s (MCO)
• Neutral Sentiment: Moody's declared a quarterly dividend of $1.03 per share (record date May 15, payable June 5), an annualized yield around 0.9% — steady cash return but small yield relative to price.
• Neutral Sentiment: Revenue grew ~8.1% year-over-year to $2.08B but was slightly below some estimates (~$2.11B); management emphasized mix and analytics strength. View Press Release
• Negative Sentiment: Operating expenses rose in the quarter (noted by coverage), which trimmed margin upside; revenue slightly missed Street estimates, which could limit upside if issuance or analytics growth slows. MCO Q1 Earnings Beat on Rising Analytics Demand & Higher Issuances

Analyst Ratings Changes

Several research analysts have issued reports on MCO shares. Morgan Stanley decreased their price target on shares of Moody's from $526.00 to $489.00 and set an "equal weight" rating on the stock in a research report on Tuesday, April 7th. Barclays decreased their price target on shares of Moody's from $580.00 to $550.00 and set an "overweight" rating on the stock in a research report on Monday, February 23rd. Bank of America restated a "buy" rating and issued a $565.00 price target on shares of Moody's in a research report on Wednesday. BMO Capital Markets restated a "market perform" rating on shares of Moody's in a research report on Thursday, February 19th. Finally, Wells Fargo & Company restated an "overweight" rating on shares of Moody's in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $542.63.

Moody's Company 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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