$MCO · MOODYS CORP /DE/
Moody's Corporation reported Q3 2026 revenue of $2.0 billion, up 1% YoY (3% organic constant currency), with diluted EPS of $4.24 (up 18%) and adjusted diluted EPS of $4.14 (up 6%). The company reaffirmed full-year 2026 guidance including Diluted EPS of $16.00-$16.50 and Adjusted Diluted EPS of $16.50-$17.00.
- MCO revenue of $2.0B grew 1% YoY, or 3% on an organic constant currency basis.
- Diluted EPS of $4.24 rose 18% YoY; Adjusted Diluted EPS of $4.14 rose 6% YoY.
- MA ARR reached $3.7B, up 8% YoY, led by Decision Solutions at +10%.
- MIS revenue fell 1% YoY to $1.1B as Leveraged Finance issuance declined sharply (High Yield -40%, Leveraged Loans -27%).
- Full-year 2026 guidance reaffirmed: Diluted EPS $16.00-$16.50, Adjusted Diluted EPS $16.50-$17.00.
Extended-hours trading shows MCO at $462.56, down 2.69% from the regular close of $475.35. The decline likely reflects disappointment in MIS transactional revenue weakness (-5%) and the sharp drop in Leveraged Finance issuance, despite the overall EPS beat and guidance reaffirmation.
Moody's Q3 reveals a stark divergence: Investment Grade issuance surged 18% on AI/hyperscaler financing while speculative-grade markets deteriorated sharply, testing the resilience of its dual-engine
Moody's results reflect a bifurcated credit market: Investment Grade issuance surged 18% (AI/hyperscaler financing), while Leveraged Finance cratered. This mirrors broader market dynamics where higher rates continue to pressure speculative-grade borrowers.
MIS transactional revenue is highly sensitive to debt issuance volumes; High Yield rated issuance fell 21% and Leveraged Loans fell 35% YoY. The global speculative-grade default rate assumption was revised up to ~3.8% from ~3%, signaling deteriorating credit conditions.
Get filings like this before the market reacts.
Real-time SEC filing alerts, AI summaries, and a free daily digest — plus portfolio tracking that ties filings to your positions.