Sector: Financials | Focus: Financial Exchanges & Data
HQ: New York City, New York
Financial Risks
Moody's faces risks from general economic conditions, government actions, global conflicts, competition, new technologies, regulatory changes, litigation, and potential loss of key employees. Market volatility, including credit quality concerns, and the volume of debt and securities issued (with or without ratings) are also significant risks. The outcome of ongoing tax audits and potential criminal sanctions are also noted. The document also highlights the inherent difficulty in predicting the outcome of legal proceedings and the potential for unfavorable developments.
Financial Upside
Moody's reports revenue growth in both segments (MA and MIS) in both the U.S. and internationally. Strong demand for KYC, insurance, and SaaS-based banking solutions, along with favorable market conditions for issuers, are driving revenue growth. Increased interest income and gains on investments are also contributing positively. The company is also repurchasing shares and paying dividends, indicating confidence in future performance.
