Vanderbilt University Invests $3.46 Million in Moody's Corporation $MCO

Key Points

• Vanderbilt University disclosed a new first-quarter stake in Moody’s Corporation, buying 7,940 shares worth about $3.46 million. The position represents roughly 0.7% of Vanderbilt’s portfolio and ranks as its 21st-largest holding.
• Moody’s reported better-than-expected quarterly earnings, posting $4.33 EPS versus the $4.22 consensus estimate. Revenue rose 8.1% year over year to $2.08 billion, and the company reaffirmed FY 2026 EPS guidance of 16.4 to 17.0.
• The company also paid a quarterly dividend of $1.03 per share, or $4.12 annualized, for a yield of about 0.9%. Meanwhile, insiders sold shares in recent months, including CEO Robert Fauber, while analysts currently rate the stock a Moderate Buy with a consensus target price of $541.83.

Vanderbilt University acquired a new stake in Moody's Corporation (NYSE:MCO - Free Report) in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm acquired 7,940 shares of the business services provider's stock, valued at approximately $3,464,000. Moody's accounts for about 0.7% of Vanderbilt University's investment portfolio, making the stock its 21st biggest holding.

A number of other institutional investors have also recently made changes to their positions in the business. Newbridge Financial Services Group Inc. purchased a new position in Moody's in the 2nd quarter valued at approximately $25,000. Birchwood Financial Partners Inc. purchased a new stake in shares of Moody's during the fourth quarter worth $26,000. Caitlin John LLC acquired a new stake in shares of Moody's in the third quarter valued at $27,000. Nalls Sherbakoff Group LLC purchased a new position in Moody's in the fourth quarter valued at $27,000. Finally, Ares Financial Consulting LLC acquired a new position in Moody's during the 4th quarter worth $29,000. Institutional investors and hedge funds own 92.11% of the company's stock.

Moody's Stock Up 1.5%

Shares of NYSE MCO opened at $450.45 on Thursday. The business has a 50-day moving average of $450.83 and a two-hundred day moving average of $467.24. The company has a market capitalization of $78.69 billion, a price-to-earnings ratio of 32.29, a price-to-earnings-growth ratio of 2.39 and a beta of 1.35. Moody's Corporation has a 1 year low of $402.28 and a 1 year high of $546.88. The company has a debt-to-equity ratio of 2.03, a current ratio of 1.16 and a quick ratio of 1.16.

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

Moody's Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, June 5th. Shareholders of record on Friday, May 15th were paid a $1.03 dividend. This represents a $4.12 annualized dividend and a yield of 0.9%. The ex-dividend date was Friday, May 15th. Moody's's dividend payout ratio is currently 29.53%.

Insider Buying and Selling

In other news, CEO Robert Fauber sold 1,467 shares of the company's stock in a transaction on Monday, June 1st. The shares were sold at an average price of $453.67, for a total value of $665,533.89. Following the completion of the transaction, the chief executive officer owned 52,564 shares in the company, valued at approximately $23,846,709.88. This represents a 2.72% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Richard G. Steele sold 158 shares of the stock in a transaction on Monday, June 1st. The shares were sold at an average price of $453.67, for a total transaction of $71,679.86. Following the completion of the transaction, the senior vice president directly owned 1,985 shares in the company, valued at $900,534.95. This trade represents a 7.37% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 4,717 shares of company stock worth $2,137,306. 0.14% of the stock is owned by corporate insiders.

Analyst Ratings Changes

MCO has been the subject of several recent research reports. BMO Capital Markets reiterated a "market perform" rating on shares of Moody's in a research note on Tuesday, May 26th. Weiss Ratings lowered shares of Moody's from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Monday, April 27th. Bank of America reaffirmed a "buy" rating and issued a $565.00 target price on shares of Moody's in a report on Wednesday, April 22nd. Wells Fargo & Company lifted their price target on shares of Moody's from $560.00 to $590.00 and gave the stock an "overweight" rating in a research note on Thursday, April 23rd. Finally, Mizuho lowered their price target on shares of Moody's from $524.00 to $521.00 and set a "neutral" rating for the company in a report on Tuesday, April 28th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, Moody's presently has an average rating of "Moderate Buy" and a consensus target price of $541.83.

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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