Morgan Stanley Sees Issuance Momentum Supporting Moody’s (MCO) Results

Moody’s Corporation (NYSE:MCO) is included among the 12 Most Profitable Dividend Stocks to Buy in 2026.

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On January 22, Morgan Stanley analyst Toni Kaplan raised her price target on Moody’s Corporation (NYSE:MCO) to $526 from $520 and kept an Equal Weight rating. The move followed a stronger-than-expected finish to the quarter. Kaplan said solid issuance in December capped off what she described as “a strong issuance quarter,” coming in well ahead of earlier expectations.

Moody’s runs a business built largely on data, analytics, and other intangible assets. That structure drives high profitability. Governments and companies are almost always in the market to borrow, which gives the revenue stream a steady feel, even when conditions shift.

The company has also built a consistent track record on shareholder returns. Moody’s has paid and increased its dividend for 15 straight years. The payout remains conservative, sitting at roughly 25% of the estimated 2025 earnings, which leaves plenty of room for future growth.

On the strategy side, the company has continued to add capabilities through acquisitions. In 2024, Moody’s bought Numerated Growth Technologies to expand its lending technology tools across the credit lifecycle. Earlier this year, it followed up with the acquisition of CAPE Analytics, which provides geospatial AI for residential and commercial properties. That deal adds property risk intelligence to Moody’s insurance risk modeling platform.

Moody’s Corporation (NYSE:MCO) operates as a global risk assessment company, providing research, data, analytics, and decision tools that help organizations assess risk and make informed decisions.

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Disclosure: None.