Moody’s’s most recent trend suggests a bullish bias. One trading opportunity on Moody’s is a Bull Put Spread using a strike $310.00 short put and a strike $290.00 long put offers a potential 9.29% return on risk over the next 22 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $310.00 by expiration. The full premium credit of $1.70 would be kept by the premium seller. The risk of $18.30 would be incurred if the stock dropped below the $290.00 long put strike price.
The 5-day moving average is moving up which suggests that the short-term momentum for Moody’s is bullish and the probability of a rise in share price is higher if the stock starts trending.
The 20-day moving average is moving up which suggests that the medium-term momentum for Moody’s is bullish.
The RSI indicator is above 80 which suggests that the stock is in overbought territory.
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LATEST NEWS for Moody’s
Moody’s Corporation Reports Results for First Quarter 2021
Wed, 28 Apr 2021 11:00:00 +0000
Moody’s Corporation (NYSE: MCO) today announced results for the first quarter of 2021, as well as updated its outlook for full year 2021.
Moody’s Corp. to Host Earnings Call
Tue, 27 Apr 2021 20:17:00 +0000
NEW YORK, NY / ACCESSWIRE / April 28, 2021 / Moody’s Corp. (NYSE:MCO) will be discussing their earnings results in their 2021 First Quarter Earnings call to be held on April 28, 2021 at 11:30 AM Eastern Time.
Huarong Bonds Slump as Fitch Cut Overshadows April Repayments
Tue, 27 Apr 2021 07:34:05 +0000
(Bloomberg) — China Huarong Asset Management Co. bonds dropped after a three-level downgrade by Fitch Ratings overshadowed the embattled distressed-debt manager’s repayment of local and offshore notes due on Tuesday.Fitch cut Huarong to BBB from A, becoming the first of the big three international ratings firms to downgrade the state-owned company after it missed a deadline to release 2020 results by March 31. The firm’s financial leasing unit rating was also reduced three notches, to BBB-. Speculation that Huarong may restructure its debt has jolted credit markets across Asia, with Chinese officials and Huarong itself offering little guidance about the company’s fate.The downgrade added to selling pressure on Huarong’s bonds even as the company has continued to meet near-term liabilities. Huarong units repaid 960 million yuan of bonds and S$600 million of offshore debt maturing Tuesday, according to company statements. Huarong’s 3.75% dollar bond due 2022 fell 2.3 cents on the dollar to 79.5 cents as of 3:30 p.m. in Hong Kong while its 4.5% perpetual bond dropped 8.9 cents to 61.8 cents, according to Bloomberg-compiled prices.The lack of transparency over government support for Huarong may hamper the company’s ability to refinance its debt in offshore markets, Fitch said. The firm lowered its rating on Huarong’s senior unsecured perpetual notes to BB+ from A-, and retained a negative outlook on both the perpetual notes and Huarong as a whole.The cut to junk territory for the perpetuals underscores how quickly perceptions of Huarong have changed. After trading near par for much of the past few years, the company’s dollar bonds have plunged this month as investors questioned assumptions about Chinese government backing that have underpinned the creditworthiness of state-owned borrowers for decades. Huarong, which is controlled by China’s finance ministry, is among the nation’s most systemically important companies outside its state-owned banks.“The government may continue to have a high incentive to provide extraordinary support, considering China Huarong’s policy role and the potential contagion risk for the refinancing of similar policy-driven GREs, but Fitch believes timely indication of support has not yet materialized,” the ratings firm said in a statement on Monday. There is “increasing uncertainty over the company’s liquidity, particularly its offshore funding,” Fitch added.Huarong has some $23.3 billion in outstanding offshore debt, $4.2 billion of which matures through the end of this year, Bloomberg-compiled data show. The drama surrounding the company has effectively shut it out from overseas public debt markets and prompted scrutiny over the issuer’s maturity schedule as investors search for any possible signs of tightening liquidity at the firm.On Sunday, Huarong announced it wouldn’t publish its 2020 results by the end of this month — missing another deadline from Hong Kong’s stock exchange and prompting a fresh selloff in the company’s bonds. The firm released a brief statement in Chinese, mostly reiterating previous statements. There was no indication of when results would be published or if anything has changed since its April 1 filing to the stock exchange, where Huarong shares had been trading before their start-of-month suspension.Huarong is also under review for a potential downgrade at Moody’s Investors Service and S&P Global Ratings.(Adds Huarong’s financial leasing unit downgrade in second paragraph, updates bond prices in third paragraph. An earlier version of this story was corrected to remove a reference to lowest investment grade in first paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Reorg and Moody’s Analytics Collaborate on Resources for CLO and Loan Investors
Mon, 26 Apr 2021 13:30:00 +0000
Reorg, a global provider of credit intelligence, data and analytics, and Moody’s Analytics, a global provider of analytic tools and risk assessment capabilities, announced today that they have entered into a data-sharing agreement. Reorg will supply subscribers of Moody’s Analytics structured finance solutions with real-time notifications of credit events from Reorg’s intelligence platform in exchange for Moody’s Analytics data on CLO portfolio holdings and collateral.
Abu Dhabi Is Said to Weigh Sale of $4 Billion Taqa Stake
Wed, 21 Apr 2021 10:55:51 +0000
(Bloomberg) — Abu Dhabi is weighing the sale of a stake in its biggest utility as the oil-rich emirate seeks more international investment in its marquee assets, people familiar with the matter said.The government is working with an adviser as it considers selling about 10% of Abu Dhabi National Energy Co., according to the people, who asked not to be identified because the information is private. The stake in the company, known as Taqa, could be worth more than $4 billion based on its current market price.Shares of Taqa were up 1.5% to 1.39 dirhams at 2:35 p.m. in Abu Dhabi on Wednesday, giving it a market value of about $43 billion. The sale could attract interest from large global utility companies and other financial investors, the people said. Initial non-binding bids are expected to be submitted in May, according to the people.Investors may be attracted to Taqa’s plans to cut exposure to oil and natural gas assets and focus on renewables. The company wants to boost the portion of its power produced from solar and wind to 30% over the next decade. Taqa already owns one of the world’s biggest solar plants in Abu Dhabi and is in the process of building an even larger one.The size of the Taqa stake being sold could change depending on investor interest, the people said. Deliberations are ongoing, and there’s no certainty they will lead to a transaction, according to the people.A representative for Taqa declined to comment.Regional ChampionThe Abu Dhabi government has been pushing to turn Taqa, which has a monopoly on power and water distribution in the emirate, into a regional utility champion. Last year, Abu Dhabi orchestrated a plan for Taqa to receive assets from state-owned holding company Abu Dhabi Power Corp., known as ADPower, in return for stock.Taqa Chief Executive Officer Jasim Husain Thabet reiterated last month the company intended to increase its free float through a follow on public offering. Taqa last year said it would permit foreign investors, which had previously been banned from buying its stock, to own almost half the company.Abu Dhabi, the capital of the United Arab Emirates, has been seeking to attract foreign capital by selling stakes in some of its largest companies. In recent years, international and local funds have invested more than $20 billion in the operations of state-owned oil producer Adnoc. Taqa is also considering options for its oil and gas assets, including a potential sale, people familiar with the matter said in March.Taqa issued $1.5 billion of bonds with seven and 30-year maturities on Tuesday. The company, rated Aa3 by Moody’s Investors Service, sold the longer notes with a yield of 3.4%.(Updates with details of Taqa renewables push from fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
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