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Moody's (Moody's) Cyclically Adjusted PS Ratio : 13.20 (As of Apr. 27, 2024)


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What is Moody's Cyclically Adjusted PS Ratio?

As of today (2024-04-27), Moody's's current share price is $376.13. Moody's's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2023 was $28.50. Moody's's Cyclically Adjusted PS Ratio for today is 13.20.

The historical rank and industry rank for Moody's's Cyclically Adjusted PS Ratio or its related term are showing as below:

MCO' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 6.96   Med: 11.13   Max: 18.09
Current: 13.2

During the past years, Moody's's highest Cyclically Adjusted PS Ratio was 18.09. The lowest was 6.96. And the median was 11.13.

MCO's Cyclically Adjusted PS Ratio is ranked worse than
87.67% of 576 companies
in the Capital Markets industry
Industry Median: 2.985 vs MCO: 13.20

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Moody's's adjusted revenue per share data for the three months ended in Dec. 2023 was $8.057. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is $28.50 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Moody's Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Moody's's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Moody's Cyclically Adjusted PS Ratio Chart

Moody's Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.49 14.76 16.83 10.66 13.70

Moody's Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.66 11.35 12.58 11.19 13.70

Competitive Comparison of Moody's's Cyclically Adjusted PS Ratio

For the Financial Data & Stock Exchanges subindustry, Moody's's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Moody's's Cyclically Adjusted PS Ratio Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Moody's's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Moody's's Cyclically Adjusted PS Ratio falls into.



Moody's Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Moody's's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=376.13/28.5
=13.20

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Moody's's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Moody's's adjusted Revenue per Share data for the three months ended in Dec. 2023 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=8.057/129.4194*129.4194
=8.057

Current CPI (Dec. 2023) = 129.4194.

Moody's Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201403 3.511 99.695 4.558
201406 4.050 100.560 5.212
201409 3.810 100.428 4.910
201412 4.169 99.070 5.446
201503 4.192 99.621 5.446
201506 4.492 100.684 5.774
201509 4.123 100.392 5.315
201512 4.327 99.792 5.612
201603 4.124 100.470 5.312
201606 4.744 101.688 6.038
201609 4.720 101.861 5.997
201612 4.866 101.863 6.182
201703 5.019 102.862 6.315
201706 5.163 103.349 6.465
201709 5.476 104.136 6.806
201712 5.992 104.011 7.456
201803 5.793 105.290 7.121
201806 6.045 106.317 7.359
201809 5.557 106.507 6.752
201812 5.455 105.998 6.660
201903 5.923 107.251 7.147
201906 6.346 108.070 7.600
201909 6.489 108.329 7.752
201912 6.455 108.420 7.705
202003 6.804 108.902 8.086
202006 7.593 108.767 9.035
202009 7.163 109.815 8.442
202012 6.815 109.897 8.026
202103 8.484 111.754 9.825
202106 8.265 114.631 9.331
202109 8.147 115.734 9.110
202112 8.204 117.630 9.026
202203 8.178 121.301 8.725
202206 7.469 125.017 7.732
202209 6.933 125.227 7.165
202212 7.007 125.222 7.242
202303 7.985 127.348 8.115
202306 8.115 128.729 8.159
202309 8.000 129.860 7.973
202312 8.057 129.419 8.057

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Moody's  (NYSE:MCO) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Moody's Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Moody's's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Moody's (Moody's) Business Description

Traded in Other Exchanges
Address
7 World Trade Center at 250 Greenwich Street, New York, NY, USA, 10007
Moody's, along with S&P Ratings, is a leading provider of credit ratings on fixed-income securities. The ratings segment, Moody's Investors Service, includes corporates, structured finance, financial institutions, and public finance ratings. MIS represents a majority of the firm's revenue and profits. The other segment, Moody's Analytics, consists of research, data, and analytics as well as enterprise risk solutions. RD&A's products include credit research, quantitative credit scores, economic research, business intelligence, know-your-customer tools, commercial real estate data and analytical tools, and training services. ERS includes risk-management software solutions for financial institutions.
Executives
Robert Fauber director, officer: President and CEO 7 WORLD TRADE CENTER, 250 GREENWICH STREET, NEW YORK NY 10007
Michael L West officer: President, Moody's Investors 7 WORLD TRADE CENTER, 250 GREENWICH ST, NEW YORK NY 10007
Richard G Steele officer: SVP - General Counsel C/O MOODY'S CORPORATION, 7 WORLD TRADE CENTER AT 250 GREENWICH ST, NEW YORK NY 10007
Kathryn Hill director 7 WORLD TRADE CENTER, 250 GREENWICH STREET, NEW YORK NY 10007
Lloyd Jr Howell director 8283 GREENSBORO DRIVE, MCLEAN VA 22102
Vincent A Forlenza director C/O BECTON DICKERSON & CO, 1 BECTON DR, FRANKLIN LAKES NJ 07417
Jorge A. Bermudez director CORPORATE LAW DEPT., CITIGROUP INC., 425 PARK AVENUE, NEW YORK NY 10043
Jose Minaya director 7 WORLD TRADE CENTER, 250 GREENWICH STREET, NEW YORK NY 10007
Saun Bruce Van director CITIZENS FINANCIAL GROUP, INC., 600 WASHINGTON BLVD, STAMFORD CT 06901
Leslie Seidman director 7 WORLD TRADE CENTER, 250 GREENWICH STREET, NEW YORK NY 10007
Therese Esperdy director 7 WORLD TRADE CENTER, 250 GREENWICH ST, NEW YORK NY 10007
Caroline Sullivan officer: SVP - Corporate Controller 7 WORLD TRADE CENTER, 250 GREENWICH STREET, NEW YORK NY 10007
Mark Kaye officer: EVP & Chief Financial Officer 7 WORLD TRADE CENTER, 250 GREENWICH ST, NEW YORK NY 10007
Raymond W Mcdaniel director, officer: Executive Vice President 7 WORLD TRADE CENTER, 250 GREENWICH STREET, NEW YORK NY 10007
Stephen T Tulenko officer: President, Moody's Analytics 7 WORLD TRADE CENTER, 250 GREENWICH ST, NEW YORK NY 10007

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