No connection

Search Results

MA vs MCO

MA
Mastercard Incorporated
NEUTRAL
Price
$499.66
Market Cap
$445.92B
Sector
Financial Services
AI Confidence
80%
MCO
Moody's Corporation
BULLISH
Price
$479.48
Market Cap
$87.55B
Sector
Financial Services
AI Confidence
92%

Valuation

P/E Ratio
MA
30.28
MCO
38.61
Forward P/E
MA
22.05
MCO
36.0
P/B Ratio
MA
57.74
MCO
21.62
P/S Ratio
MA
13.6
MCO
11.67
EV/EBITDA
MA
22.13
MCO
25.39

Profitability

Gross Margin
MA
100.0%
MCO
73.75%
Operating Margin
MA
57.73%
MCO
46.89%
Profit Margin
MA
45.65%
MCO
29.92%
ROE
MA
209.91%
MCO
54.91%
ROA
MA
23.72%
MCO
13.19%

Growth

Revenue Growth
MA
17.6%
MCO
10.7%
Earnings Growth
MA
24.2%
MCO
22.9%

Financial Health

Debt/Equity
MA
2.56
MCO
1.81
Current Ratio
MA
1.03
MCO
1.84
Quick Ratio
MA
0.68
MCO
1.64

Dividends

Dividend Yield
MA
0.7%
MCO
0.78%
Payout Ratio
MA
18.4%
MCO
29.53%

AI Verdict

MA NEUTRAL

MA shows neutral fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Mixed signals with both opportunities and risks present.

Strengths
Strong profitability (45.6% margin)
Strong revenue growth of 17.6%
Strong ROE of 209.9%
Risks
High valuation with P/E of 30.3
Premium vs Graham Number ($56.68)
High debt burden with D/E of 2.56
MCO BULLISH

Moody's Corporation (MCO) exhibits exceptional profitability and consistent earnings execution, underpinned by best-in-class margins and ROE of 54.91%, significantly outperforming financial services peers. Despite a premium valuation (P/E 38.6x vs sector 20.6x), the stock is supported by robust 22.9% YoY earnings growth, strong cash flow generation, and a favorable analyst target of $543.75 implying 13.4% upside. Price momentum has lagged recently (1Y: +0.2%, 6M: -1.8%), but long-term performance remains strong (5Y: +81.5%), reflecting durable franchise value in credit ratings and analytics. Insider selling introduces caution, though it appears routine rather than distress-driven, while the analyst community maintains a unified 'buy' recommendation.

Strengths
ROE of 54.91% — more than double the sector average of 25.17% — reflecting capital efficiency and pricing power
Operating margin of 46.89% and gross margin of 73.75% demonstrate industry-leading cost structure and pricing control
22.9% YoY earnings growth and 10.7% revenue growth outpace most peers, including MMC and USB, in a high-margin business model
Risks
Premium valuation: P/E of 38.6x and Price/Book of 21.6x are substantially above sector averages (P/E 20.6x, P/B ~6x), increasing sensitivity to growth deceleration
Debt/Equity of 1.81 is elevated vs sector average of 0.72, raising refinancing and interest rate risk in a higher-for-longer rate environment
Insider activity shows net selling over the past 6 months ($1.66M in sales, 0 buys), potentially signaling lack of confidence at current levels

Compare Another Pair

MA vs MCO: Head-to-Head Comparison

This page compares Mastercard Incorporated (MA) and Moody's Corporation (MCO) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

Home
Terminal
AI Chat
Markets
Profile