MCONEUTRAL

MCO Debt-to-Equity Ratio Analysis

2.30x

Updated 201h ago·SEC filings & market data

Key Takeaway

The debt-to-equity ratio measures how much debt a company uses to finance its assets relative to shareholders' equity; at 2.30x, MCO has $2.30 in debt for every $1 of equity.

Sector Performance

87th percentile

MCO

2.30x

Sector Median

0.74x

Sector Avg

2.51x

Prior Period

2.33x(Jul 2026)

↑ Improving

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Deep Analysis

The debt-to-equity ratio measures how much debt a company uses to finance its assets relative to shareholders' equity; at 2.30x, MCO has $2.30 in debt for every $1 of equity.

This is far above the sector median of 0.73x, placing MCO in the 88th percentile among peers, meaning only 12% of comparable companies carry more debt. The year-over-year change is not available, but quarter-over-quarter the ratio fell 1.3%, from 2.33x to 2.30x. The combination of a high leverage level with a slight quarterly decline suggests ongoing debt pressure, but the modest reduction may ease near-term risk. This high debt load is a negative factor that works against a bullish case, yet the early downward move prevents it from being a clear red flag. Overall, this metric supports the NEUTRAL verdict, as the elevated leverage is balanced by the recent small improvement.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about MCO?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

Who are MCO's closest peers by Debt-to-Equity Ratio?

The closest peers by Debt-to-Equity Ratio include: TAP (0.76x), PCAR (0.72x), O (0.78x), PRU (0.78x), KIM (0.85x).

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Learn More About Debt-to-Equity Ratio

How to Spot a Debt Problem Before It Hits the Stock Price

Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.

Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.