Sector: Financials | Focus: Financial Exchanges & Data
HQ: New York City, New York
Financial Risks
S&P Global faces potential losses from ongoing legal proceedings, including class action lawsuits related to prior ratings and SEC investigations/penalties. Uncertainty surrounding the outcome of these matters, and the possibility of significant judgments, fines, or activity restrictions, poses a substantial financial risk. The company's exposure to market risk from foreign exchange and interest rate fluctuations, as well as the potential for customer cost-cutting pressures and declining demand for services, also presents risks. The company's ability to successfully integrate acquisitions and manage divestitures is also a risk.
Financial Upside
S&P Global experienced revenue growth of 14% in the nine months ended September 30, 2024, driven by increases across all reportable segments. Operating profit increased 36% during the same period. The company's strong financial position, including cash on hand and credit facility availability, suggests sufficient liquidity to meet future needs. Acquisitions, such as Visible Alpha, and the sale of Fincentric, are expected to contribute to growth, though the impact of these transactions is not material.
