A financial Valuation Study for Moody’s Corporation
Resource type
Authors/contributors
- Sio, Lai Teng (Author)
- Chen, Kuang Chung (Contributor)
- University of Saint Joseph (Contributor)
Title
A financial Valuation Study for Moody’s Corporation
Abstract
This study presents the intrinsic value of Moody’s Corporation, a leading credit rating
agency in the U.S. The results of the valuation were compared to the market value of
Moody’s Corporation of the same date. The aim of the research is to provide a
perspective to the investors on whether the actual value of the Company was
overvalued or undervalued in the market, and how much the volatility of the stock
price by the change of some factors.
Both qualitative and quantitative analyses were applied in the research. The historical
data, economic outlook, and the Company’s strategies were collected to be the metrics
to determine the intrinsic value and provide an analysis of the prospects of Moody’s
Corporation. Three valuation models were applied in the research to estimate the
intrinsic value of the Company’s common stock. The cost of debt, cost of equity, the
weighted average cost of capital, and the market risk premium were introduced and
calculated in the research as they were the critical components in the valuation
process.
Since the valuation was based on assumptions and historical data to determine future
growth, which indicates that the results could be changed due to uncertain factors.
This study demonstrates that there was some discrepancy between the stock’s market
price and the intrinsic value per share of Moody’s Corporation as of December 31,
2021
University
University of Saint Joseph
Place
Macau
Date
2023
# of Pages
96
Language
eng
Library Catalog
Library Catalog (Koha)
Call Number
M-BA 2023 SIO,LAI
Notes
In Partial Fulfillment of the Requirements for the Degree of Master in Business Administration in the Faculty of Business and Law, University of Saint Joseph, Macau, July 2023Supervisor : K.C. Chen
Citation
Sio, L. T. (2023). A financial Valuation Study for Moody’s Corporation [University of Saint Joseph]. https://library-opac.usj.edu.mo/cgi-bin/koha/opac-detail.pl?biblionumber=216203
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