Moody's (MCO) Competitors

Moody's (NYSE:MCO) and Interactive Brokers Group (NASDAQ:IBKR) are both large-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, community ranking, valuation, media sentiment, earnings and analyst recommendations.

Does the MarketBeat Community favor MCO or IBKR?

Moody's received 238 more outperform votes than Interactive Brokers Group when rated by MarketBeat users. Likewise, 59.07% of users gave Moody's an outperform vote while only 57.12% of users gave Interactive Brokers Group an outperform vote.

Company	Underperform	Outperform
Moody's	Outperform Votes 547 59.07%	Underperform Votes 379 40.93%
Interactive Brokers Group	Outperform Votes 309 57.12%	Underperform Votes 232 42.88%

Does the media prefer MCO or IBKR?

In the previous week, Moody's had 35 more articles in the media than Interactive Brokers Group. MarketBeat recorded 50 mentions for Moody's and 15 mentions for Interactive Brokers Group. Interactive Brokers Group's average media sentiment score of 1.26 beat Moody's' score of 1.03 indicating that Interactive Brokers Group is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Moody's	30 Very Positive mention(s)	4 Positive mention(s)	10 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive
Interactive Brokers Group	13 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is MCO or IBKR a better dividend stock?

Moody's pays an annual dividend of $3.40 per share and has a dividend yield of 0.7%. Interactive Brokers Group pays an annual dividend of $1.00 per share and has a dividend yield of 0.5%. Moody's pays out 30.2% of its earnings in the form of a dividend. Interactive Brokers Group pays out 14.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Moody's has raised its dividend for 15 consecutive years. Moody's is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has preferable valuation and earnings, MCO or IBKR?

Moody's has higher revenue and earnings than Interactive Brokers Group. Interactive Brokers Group is trading at a lower price-to-earnings ratio than Moody's, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Moody's	$7.09B	12.75	$2.06B	$11.27	44.55
Interactive Brokers Group	$5.19B	17.89	$755M	$7.06	31.09

Do analysts rate MCO or IBKR?

Moody's currently has a consensus target price of $528.77, suggesting a potential upside of 5.31%. Interactive Brokers Group has a consensus target price of $204.13, suggesting a potential downside of 7.00%. Given Moody's' higher possible upside, research analysts clearly believe Moody's is more favorable than Interactive Brokers Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Moody's	1 Sell rating(s)	5 Hold rating(s)	9 Buy rating(s)	0 Strong Buy rating(s)	2.53
Interactive Brokers Group	0 Sell rating(s)	1 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.88

Is MCO or IBKR more profitable?

Moody's has a net margin of 29.03% compared to Interactive Brokers Group's net margin of 9.25%. Moody's' return on equity of 58.94% beat Interactive Brokers Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Moody's	29.03%	58.94%	14.87%
Interactive Brokers Group	9.25%	5.00%	0.55%

Do insiders & institutionals believe in MCO or IBKR?

92.1% of Moody's shares are held by institutional investors. Comparatively, 23.8% of Interactive Brokers Group shares are held by institutional investors. 0.1% of Moody's shares are held by insiders. Comparatively, 3.2% of Interactive Brokers Group shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Which has more volatility and risk, MCO or IBKR?

Moody's has a beta of 1.31, indicating that its share price is 31% more volatile than the S&P 500. Comparatively, Interactive Brokers Group has a beta of 0.89, indicating that its share price is 11% less volatile than the S&P 500.

Summary

Moody's beats Interactive Brokers Group on 16 of the 21 factors compared between the two stocks.