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Moody's Current Ratio

: 2.31 (As of Jun. 2021)
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The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Moody's's current ratio for the quarter that ended in Jun. 2021 was 2.31.

Moody's has a current ratio of 2.31. It generally indicates good short-term financial strength.

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

NYSE:MCO' s Current Ratio Range Over the Past 10 Years
Min: 0.46   Med: 1.43   Max: 3.69
Current: 2.31

0.46
3.69

During the past 13 years, Moody's's highest Current Ratio was 3.69. The lowest was 0.46. And the median was 1.43.

NYSE:MCO's Current Ratio is ranked higher than
59% of the 34 Companies
in the Capital Markets industry.

( Industry Median: 2.15 vs. NYSE:MCO: 2.31 )

Moody's Current Ratio Historical Data

The historical data trend for Moody's's Current 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 Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Current Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.34 1.25 1.61 1.92 2.03

Moody's Quarterly Data
Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
Current Ratio 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 Premium Member Only Premium Member Only Premium Member Only 2.10 2.49 2.03 2.18 2.31

Competitive Comparison

For the Financial Data & Stock Exchanges subindustry, Moody's's Current Ratio, along with its competitors' market caps and Current 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 Current Ratio Distribution

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

* The bar in red indicates where Moody's's Current Ratio falls into.



Moody's Current Ratio Calculation

The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.

Moody's's Current Ratio for the fiscal year that ended in Dec. 2020

Current Ratio (A: Dec. 2020 )=Total Current Assets (A: Dec. 2020 )/Total Current Liabilities (A: Dec. 2020 )
=4509/2222
=2.03

Moody's's Current Ratio for the quarter that ended in Jun. 2021 is calculated as

Current Ratio (Q: Jun. 2021 )=Total Current Assets (Q: Jun. 2021 )/Total Current Liabilities (Q: Jun. 2021 )
=4734/2050
=2.31

* 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  (NYSE:MCO) Current Ratio Explanation

The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.

Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.

The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.

If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.


Moody's Current Ratio Related Terms

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


Moody's Business Description

Moody's logo
Industry
Financial Services » Capital Markets NAICS : 523210 SIC : 7323
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. Moody's ratings segment, known as Moody's Investors Service or MIS, includes corporates, structured finance, financial institutions, and public finance ratings. MIS represents a majority of the firm's revenue and profits. Moody's other segment is Moody's Analytics and consists of Research, Data, and Analytics or RD&A and Enterprise Risk Solutions or ERS. RD&A's products include credit research, quantitative credit scores, economic research, business intelligence, know your customer (KYC) tools, commercial real estate data and analytical tools, and training services. ERS includes risk management software solutions to financial institutions.
Executives
Bermudez Jorge A. director CORPORATE LAW DEPT., CITIGROUP INC. 425 PARK AVENUE NEW YORK NY 10043
Esperdy Therese director 7 WORLD TRADE CENTER, 250 GREENWICH ST NEW YORK NY 10007
Mckinnell Henry A director 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Seidman Leslie director 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Van Saun Bruce director CITIZENS FINANCIAL GROUP, INC. 600 WASHINGTON BLVD STAMFORD CT 06901
Forlenza Vincent A director C/O BECTON DICKERSON & CO 1 BECTON DR FRANKLIN LAKES NJ 07417
Anderson Basil director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: ANDERSON BASIL a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Mcdaniel Raymond W director, officer: President and CEO 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Goggins John J officer: EVP and General Counsel 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Kaye Mark officer: SVP & Chief Financial Officer 7 WORLD TRADE CENTER, 250 GREENWICH ST NEW YORK NY 10007
Fauber Robert officer: Chief Operating Officer 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Sullivan Caroline officer: SVP-Corporate Controller 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Hughes Melanie officer: SVP & Chief HR Officer 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Hill Kathryn director 7 WORLD TRADE CENTER 250 GREENWICH STREET NEW YORK NY 10007
Zalm Gerrit director 7 WORLD TRADE CENTER, 250 GREENWICH ST NEW YORK NY 10007

Moody's Headlines

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