MCO MCO

Name: MCO Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored March 19, 2026

Price at analysis: $432.60

Crucible Score

68.7

Quality × Value Composite

KQI — Quality

76.2

B+

Fundamental Quality Index

KVI — Value

59.4

Valuation Attractiveness Index

Crucible Verdict — MCO

MCO presents a quality-value disconnect with strong fundamentals but lackluster returns for shareholders. The company demonstrates exceptional financial quality (90) and consistent earnings execution (88% beat rate), yet trades at a 13% discount to fair value amid insider selling pressure. MCO's premium valuation multiple appears justified by operational excellence, making current levels attractive for patient investors.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

89.9

Growth Profile

68.3

Moat Durability⚠

68.6

Management Effectiveness⚠

70.7

Diversification & Resilience⚠

76.0

Market Position

72.0

Weakest dimension: Growth Profile (68.3)

◆ KVI Value Dimensions

DCF Margin of Safety

65.1

FCF Yield & Cash Returns

41.3

Relative Valuation

57.3

Growth-Adjusted Value

62.5

Historical Valuation

88.1

Macro Context

35.0

◆ DCF Valuation Scenarios

Bear Case

$338.52

Base Case

$487.15

Bull Case

$692.78

Price at Analysis

$432.60

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$338.52	6.0%	39.0%	12.1%
🟢 Base	$487.15	9.0%	43.0%	11.1%
🟢 Bull	$692.78	12.0%	47.0%	10.3%

Key Assumptions: WACC derived using CAPM with 4.39% risk-free rate, 1.44 beta, and 5.25% ERP (base), yielding ~11.1% base WACC; bear/bull scenarios shift ERP by +/-50bps and adjust beta sensitivity. Revenue growth anchored to 5-year CAGR of ~5.6% with base case assuming moderate acceleration from debt issuance cycle recovery. Tax rate normalized at 20.7% reflecting 5-year average, and D&A assumed at ~5.5% of revenue converging over projection period.

◆ Financial Snapshot

Profitability

Gross Margin68.2%

Operating Margin44.5%

Net Margin31.9%

ROIC20.4%

ROE60.6%

Balance Sheet

Balance SheetCR: 1.74

Cash ConversionFCF/EPS: 1.15x

Capital IntensityCapex/Rev: 4.2%

Altman Z-Score5.40 (Safe)

Piotroski F-Score8/9 (Strong)

Growth

Revenue CAGR5.6% CAGR

Earnings CAGR2.7% CAGR

Growth ConsistencyCV: 0.95

Segment Breadth2/2 growing (100%)

Quarterly TrendRev↑, Margin↑, WC↓

Earnings CredibilityConsistent Beater

◆ Analyst Consensus & Leadership

Leadership & Governance

CEO Ownership< 1%

Compensation89% performance-based

Insider ActivitySelling

Capital AllocationROIC 20.4% vs WACC 2.0%

Earnings Beat Rate88% (19/22)

◆ Related Companies in Our Universe

Other Unknown companies scored by the Crucible:

ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted March 19, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.