Core Viewpoint - Moody's reported strong Q3 earnings with adjusted earnings per share of $3.92, exceeding estimates and reflecting a 22.1% year-over-year growth [2][3] Financial Performance - Revenues reached $2.01 billion, surpassing the consensus estimate of $1.96 billion, and increased by 10.7% year-over-year [4] - Total expenses were $1.09 billion, a 1.4% increase year-over-year, while adjusted operating income rose 22.5% to $1.06 billion, with an adjusted operating margin of 52.9% [4] - Net income attributable to Moody's was $646 million, or $3.60 per share, up from $534 million, or $2.93 per share, in the prior-year quarter [3] Segment Performance - Moody's Investors Service revenues increased by 11.8% year-over-year to $1.10 billion, driven by strong performance across various finance sectors [5] - Moody's Analytics revenues rose 9.4% year-over-year to $909 million, supported by growth in Decision Solutions, Research and Insights, and Data & Information [5] Balance Sheet and Cash Flow - As of September 30, 2025, Moody's had total cash and short-term investments of $2.26 billion, down from $2.97 billion at the end of 2024 [6] - The company reported $7 billion in outstanding debt and $1.25 billion in additional borrowing capacity [6] Share Repurchase and Guidance - Moody's repurchased 1 million shares at an average price of $503.66, with $398 million remaining in share repurchase authorization [7] - The company raised its guidance for adjusted earnings to $14.50-$14.75 per share and projected revenue growth in the high-single-digit percent range [8][9] Strategic Initiatives - Moody's is implementing a Strategic and Operational Efficiency Restructuring Program aimed at generating annual savings of $250–$300 million, with substantial completion expected by the end of 2026 [13] Market Outlook - Following the earnings release, there has been an upward trend in estimates, with a consensus estimate shift of 7.98% [14] - Moody's holds a Zacks Rank 2 (Buy), indicating expectations for above-average returns in the coming months [17]