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Benchmark Maintains a 'Hold' on Moody's Corp (MCO); Adjusting Numbers After Q4 and Guidance

February 9, 2012 9:36 AM EST
MCO Hot Sheet
Rating Summary:
    1 Buy, 5 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 19 | Down: 16 | New: 82
Benchmark maintains a 'Hold' on Moody's Corp (NYSE: MCO) price target raised from $34 to $37.

Benchmark analyst says, "Moody’s reported soft top-line results in 4Q11. Expenses increased resulting in an operating income decline of 13% y/y. However, 2012 guidance called for high-single to low-double digit percentage revenue growth and a mid-point of EPS growth at 9% y/y. Despite decent guidance, we remain cautious given growth is back half weighted."

"For 2012, we estimate total revenue of $2.5 billion, up 9% y/y. We estimate MIS revenue of $1.65 billion, up 6%, and MA revenue of $813 million, up 17%. Our 2011 EPS estimate is $2.65, up 8% y/y."

For an analyst ratings summary and ratings history on Moody's Corp click here. For more ratings news on Moody's Corp click here.

Shares of Moody's Corp closed at $38.31 yesterday, with a 52 week range of $26.79-$41.93.


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