WallStSmart

Moodys Corporation (MCO)vsMSCI Inc (MSCI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Moodys Corporation generates 145% more annual revenue ($8.16B vs $3.33B). MSCI leads profitability with a 40.7% profit margin vs 34.3%. MCO appears more attractively valued with a PEG of 2.07. MCO earns a higher WallStSmart Score of 69/100 (B-).

MCO

Strong Buy

69

out of 100

Grade: B-

Growth: 8.7Profit: 10.0Value: 4.3Quality: 6.0
Piotroski: 6/9Altman Z: 3.17

MSCI

Buy

56

out of 100

Grade: C

Growth: 7.3Profit: 8.5Value: 4.3Quality: 7.0
Piotroski: 6/9Altman Z: 2.83

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MCO6 strengths · Avg: 9.8/10
Return on EquityProfitability
92.4%10/10

Every $100 of equity generates 92 in profit

Profit MarginProfitability
34.3%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
49.5%10/10

Strong operational efficiency at 49.5%

EPS GrowthGrowth
56.7%10/10

Earnings expanding 56.7% YoY

Altman Z-ScoreHealth
3.1710/10

Safe zone — low bankruptcy risk

Market CapQuality
$83.76B9/10

Large-cap with strong market position

MSCI3 strengths · Avg: 10.0/10
Profit MarginProfitability
40.7%10/10

Keeps 41 of every $100 in revenue as profit

Operating MarginProfitability
56.3%10/10

Strong operational efficiency at 56.3%

Debt/EquityHealth
-2.4210/10

Conservative balance sheet, low leverage

Areas to Watch

MCO4 concerns · Avg: 2.8/10
PEG RatioValuation
2.074/10

Expensive relative to growth rate

P/E RatioValuation
30.7x4/10

Premium valuation, high expectations priced in

Price/BookValuation
27.1x2/10

Trading at 27.1x book value

Debt/EquityHealth
2.491/10

Elevated debt levels

MSCI3 concerns · Avg: 3.7/10
PEG RatioValuation
2.244/10

Expensive relative to growth rate

P/E RatioValuation
31.3x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : MCO

The strongest argument for MCO centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 34.3% and operating margin at 49.5%. Revenue growth of 15.1% demonstrates continued momentum.

Bull Case : MSCI

The strongest argument for MSCI centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 40.7% and operating margin at 56.3%. Revenue growth of 12.2% demonstrates continued momentum.

Bear Case : MCO

The primary concerns for MCO are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 2.49 is elevated, increasing financial risk.

Bear Case : MSCI

The primary concerns for MSCI are PEG Ratio, P/E Ratio, Return on Equity.

Key Dynamics to Monitor

MCO profiles as a growth stock while MSCI is a mature play — different risk/reward profiles.

MCO carries more volatility with a beta of 1.33 — expect wider price swings.

MCO is growing revenue faster at 15.1% — sustainability is the question.

MCO generates stronger free cash flow (684M), providing more financial flexibility.

Bottom Line

MCO scores higher overall (69/100 vs 56/100), backed by strong 34.3% margins and 15.1% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Moodys Corporation

FINANCIAL SERVICES · FINANCIAL DATA & STOCK EXCHANGES · USA

Moody's Corporation, often referred to as Moody's, is an American business and financial services company. It is the holding company for Moody's Investors Service (MIS), an American credit rating agency, and Moody's Analytics (MA), an American provider of financial analysis software and services.

MSCI Inc

FINANCIAL SERVICES · FINANCIAL DATA & STOCK EXCHANGES · USA

MSCI Inc. (formerly Morgan Stanley Capital International and MSCI Barra), is an American finance company headquartered in New York City and serving as a global provider of equity, fixed income, hedge fund stock market indexes, multi-asset portfolio analysis tools and ESG products. It publishes the MSCI BRIC, MSCI World and MSCI EAFE Indexes.

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