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MCO vs. SOFI: A Head-to-Head Stock Comparison

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Here’s a clear look at MCO and SOFI, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolMCOSOFI
Company NameMoody's CorporationSoFi Technologies, Inc.
CountryUnited StatesUnited States
GICS SectorFinancialsFinancials
GICS IndustryCapital MarketsConsumer Finance
Market Capitalization92.55 billion USD29.96 billion USD
ExchangeNYSENasdaqGS
Listing DateOctober 31, 1994January 4, 2021
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of MCO and SOFI by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

MCO vs. SOFI: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolMCOSOFI
5-Day Price Return1.33%3.26%
13-Week Price Return9.14%95.47%
26-Week Price Return-0.69%48.66%
52-Week Price Return8.53%242.74%
Month-to-Date Return0.05%10.81%
Year-to-Date Return9.01%62.47%
10-Day Avg. Volume0.56M65.21M
3-Month Avg. Volume0.70M69.26M
3-Month Volatility19.13%47.66%
Beta1.441.97

Profitability

Return on Equity (TTM)

MCO

56.41%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

MCO’s Return on Equity of 56.41% is exceptionally high, placing it well beyond the typical range for the Capital Markets industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

SOFI

8.58%

Consumer Finance Industry

Max
32.87%
Q3
20.39%
Median
14.14%
Q1
7.64%
Min
-10.63%

SOFI’s Return on Equity of 8.58% is on par with the norm for the Consumer Finance industry, indicating its profitability relative to shareholder equity is typical for the sector.

MCO vs. SOFI: A comparison of their Return on Equity (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Net Profit Margin (TTM)

MCO

29.18%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

MCO’s Net Profit Margin of 29.18% is aligned with the median group of its peers in the Capital Markets industry. This indicates its ability to convert revenue into profit is typical for the sector.

SOFI

-19.79%

Consumer Finance Industry

Max
19.68%
Q3
15.94%
Median
13.37%
Q1
9.73%
Min
3.66%

SOFI has a negative Net Profit Margin of -19.79%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

MCO vs. SOFI: A comparison of their Net Profit Margin (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Operating Profit Margin (TTM)

MCO

40.55%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

MCO’s Operating Profit Margin of 40.55% is around the midpoint for the Capital Markets industry, indicating that its efficiency in managing core business operations is typical for the sector.

SOFI

-19.92%

Consumer Finance Industry

Max
50.11%
Q3
29.38%
Median
18.31%
Q1
14.26%
Min
-5.45%

SOFI has a negative Operating Profit Margin of -19.92%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

MCO vs. SOFI: A comparison of their Operating Profit Margin (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Profitability at a Glance

SymbolMCOSOFI
Return on Equity (TTM)56.41%8.58%
Return on Assets (TTM)13.79%1.50%
Net Profit Margin (TTM)29.18%-19.79%
Operating Profit Margin (TTM)40.55%-19.92%
Gross Profit Margin (TTM)72.78%--

Financial Strength

Current Ratio (MRQ)

MCO

1.75

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

SOFI

--

Consumer Finance Industry

Max
5.34
Q3
4.21
Median
2.67
Q1
0.71
Min
0.20

For the Consumer Finance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

MCO vs. SOFI: A comparison of their Current Ratio (MRQ) against their respective Capital Markets and Consumer Finance industry benchmarks.

Debt-to-Equity Ratio (MRQ)

MCO

1.76

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

SOFI

0.57

Consumer Finance Industry

Max
6.63
Q3
3.39
Median
2.21
Q1
0.94
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Consumer Finance industry.

MCO vs. SOFI: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Capital Markets and Consumer Finance industry benchmarks.

Interest Coverage Ratio (TTM)

MCO

17.56

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

SOFI

--

Consumer Finance Industry

Max
49.63
Q3
39.33
Median
4.56
Q1
2.97
Min
-15.69

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Consumer Finance industry.

MCO vs. SOFI: A comparison of their Interest Coverage Ratio (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Financial Strength at a Glance

SymbolMCOSOFI
Current Ratio (MRQ)1.75--
Quick Ratio (MRQ)1.75--
Debt-to-Equity Ratio (MRQ)1.760.57
Interest Coverage Ratio (TTM)17.56--

Growth

Revenue Growth

MCO vs. SOFI: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

MCO vs. SOFI: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

MCO

0.73%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

MCO’s Dividend Yield of 0.73% is in the lower quartile for the Capital Markets industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

SOFI

0.00%

Consumer Finance Industry

Max
8.31%
Q3
3.93%
Median
2.51%
Q1
0.84%
Min
0.00%

SOFI currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

MCO vs. SOFI: A comparison of their Dividend Yield (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Dividend Payout Ratio (TTM)

MCO

31.75%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

MCO’s Dividend Payout Ratio of 31.75% is in the lower quartile for the Capital Markets industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

SOFI

0.00%

Consumer Finance Industry

Max
145.89%
Q3
88.53%
Median
23.79%
Q1
0.00%
Min
0.00%

SOFI has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

MCO vs. SOFI: A comparison of their Dividend Payout Ratio (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Dividend at a Glance

SymbolMCOSOFI
Dividend Yield (TTM)0.73%0.00%
Dividend Payout Ratio (TTM)31.75%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

MCO

43.26

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

A P/E Ratio of 43.26 places MCO in the upper quartile for the Capital Markets industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

SOFI

47.53

Consumer Finance Industry

Max
34.39
Q3
20.36
Median
13.05
Q1
9.29
Min
4.74

At 47.53, SOFI’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Consumer Finance industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

MCO vs. SOFI: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Price-to-Sales Ratio (TTM)

MCO

12.62

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

MCO’s P/S Ratio of 12.62 is in the upper echelon for the Capital Markets industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

SOFI

3.35

Consumer Finance Industry

Max
4.28
Q3
2.67
Median
1.88
Q1
1.15
Min
0.55

SOFI’s P/S Ratio of 3.35 is in the upper echelon for the Consumer Finance industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

MCO vs. SOFI: A comparison of their Price-to-Sales Ratio (TTM) against their respective Capital Markets and Consumer Finance industry benchmarks.

Price-to-Book Ratio (MRQ)

MCO

22.85

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

At 22.85, MCO’s P/B Ratio is at an extreme premium to the Capital Markets industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

SOFI

2.93

Consumer Finance Industry

Max
3.63
Q3
2.40
Median
1.96
Q1
1.16
Min
0.26

SOFI’s P/B Ratio of 2.93 is in the upper tier for the Consumer Finance industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

MCO vs. SOFI: A comparison of their Price-to-Book Ratio (MRQ) against their respective Capital Markets and Consumer Finance industry benchmarks.

Valuation at a Glance

SymbolMCOSOFI
Price-to-Earnings Ratio (TTM)43.2647.53
Price-to-Sales Ratio (TTM)12.623.35
Price-to-Book Ratio (MRQ)22.852.93
Price-to-Free Cash Flow Ratio (TTM)38.9037.91