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Solid Leverage Loan Issuance to Support Moody's Q1 Earnings
MCOMoody’s(MCO) ZACKS·2025-04-16 15:55

Core Viewpoint - Moody's is expected to report first-quarter 2025 results on April 22, with mixed revenue growth anticipated across its divisions due to various market conditions and strategic efforts. Group 1: Revenue Estimates - The Corporate Finance line is projected to generate revenues of 532.3million,indicatingamarginalrisefromthepreviousyearsquarter[2]TheFinancialInstitutionsbusinesslineisestimatedtobringin532.3 million, indicating a marginal rise from the previous year's quarter [2] - The Financial Institutions business line is estimated to bring in 201.1 million, reflecting a 3.1% increase [3] - Public, Project, and Infrastructure Finance revenues are expected to be around 141.2million,suggestingaslightincrease[3]StructuredFinancerevenuesareanticipatedtoreach141.2 million, suggesting a slight increase [3] - Structured Finance revenues are anticipated to reach 116.8 million, indicating a 2.5% rise [4] - Overall revenues for the Moody's Investors Service division are estimated at 1.1billion,implyinga7.31.1 billion, implying a 7.3% year-over-year increase [5] Group 2: Moody's Analytics Division - Revenues from the Moody's Analytics division are expected to rise to 868.4 million, representing an 8.7% increase from the prior year [7] - The division's growth is supported by rising demand for analytics and strategic inorganic growth efforts [6] Group 3: Earnings Expectations - The consensus estimate for earnings is 3.57,reflectinga5.93.57, reflecting a 5.9% increase from the year-ago figure [9] - Sales are projected to be 1.89 billion, suggesting a growth of 5.7% [9] - The likelihood of Moody's beating the earnings estimate is low, with an Earnings ESP of -0.38% and a Zacks Rank of 3 [8]