What Is MCO Fair Value?
Moody's Corporation (MCO) fair value estimate using multiple valuation models, updated daily.
As of August 29, 2026, Moody's Corporation (MCO) has a composite fair value estimate of $197.74 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $514.95, suggesting the stock is overvalued by 61.6%.
Data as of August 29, 2026 (today)
Composite Fair Value
Overvalued4 of 4 models$197.74
vs. current price of $514.95(-61.6%)
How Is MCO Fair Value Calculated?
Four independent models estimate what MCO is worth. Each uses different inputs and assumptions. The composite blends them by weight.
MCO Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$272.98
-47.0%Overvalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$78.77
-84.7%Overvalued
Inputs used
MCO Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$81.67
-84.1%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$212.41
-58.8%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $514.95 is 47.0% above this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $2.90B | $2.61B |
| Year 2 | $3.27B | $2.64B |
| Year 3 | $3.67B | $2.67B |
| Year 4 | $4.13B | $2.70B |
| Year 5 | $4.65B | $2.74B |
| Year 6 | $5.23B | $2.77B |
| Year 7 | $5.89B | $2.80B |
| Year 8 | $6.62B | $2.83B |
| Year 9 | $7.45B | $2.87B |
| Year 10 | $8.39B | $2.90B |
| Terminal Value | $98.85B | $34.21B |
What Are MCO's Key Financial Metrics?
Earnings & Growth
Current Price
$514.95
EPS (TTM)
$15.96
Forward P/E
27.2
Profit Margin
34.3%
Cash & Balance Sheet
Free Cash Flow
2.6B
EBITDA
4.1B
Book Value
$17.47
Total Debt
7.6B
What Do Analysts Say About MCO?
Low
$505.00
Average
$560.48
High
$610.00
Upside
+8.8%
MCO Fair Value FAQ
What is the fair value of MCO?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), MCO's estimated fair value is $197.74. The stock is currently trading at $514.95, which makes it overvalued by our analysis.
How is MCO's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is MCO overvalued or undervalued?
Based on our analysis, MCO is overvalued. The current price of $514.95 is 61.6% above our estimated fair value of $197.74.
What do Wall Street analysts say about MCO?
21 analysts cover Moody's Corporation with a consensus rating of "Buy." The average price target is $560.48, ranging from $505.00 to $610.00. This implies 8.8% upside from the current price.