Moody's Corporation (MCO) Soars 2.72% in Three Days, Hits 2025 High

Moody's Corporation (MCO) shares rose 0.65% today, marking the third consecutive day of gains, with a total increase of 2.72% over the past three days. The stock price reached its highest level since March 2025, despite an intraday decline.

The strategy of buying MCO shares after they reached a recent high and holding for 1 week yielded moderate returns over the past 5 years, with a 5-year CAGR of 3.41% as of May 19, 2025. This indicates a steady, if not spectacular, growth trajectory. The recent downgrade of the U.S. government's credit rating by Moody's to Aa1 may present a buying opportunity, as suggested by Tom Lee, given the stable outlook and potential for economic recovery.

Bank of America recently increased its price target for Moody's from $530 to $540, while maintaining a Buy recommendation. This move is expected to positively influence MCO's stock price, as it reflects a bullish outlook on the company's future performance.

Moody's reported record revenue of $1.9 billion in the first quarter of 2025, representing an 8% year-over-year increase. This strong financial performance has contributed to a positive sentiment around MCO's stock, as investors are encouraged by the company's ability to generate consistent revenue growth.