📊 MC Key Takeaways
Is MC a Good Investment? Thesis Analysis
Moelis & Co demonstrates strong fundamental performance with exceptional profitability metrics (15.4% net margin, 41% ROE) and robust revenue growth of 27% YoY, driven by its investment advisory business model. The company exhibits excellent financial health with zero leverage, substantial free cash flow generation ($540M FCF at 35.6% margin), and strong cash reserves relative to assets, providing operational flexibility.
Why Buy MC? Key Strengths
- Strong revenue growth of 27% YoY indicating robust market demand for advisory services
- Exceptional profitability metrics with 18.1% operating margin and 15.4% net margin typical of high-quality advisory firms
- Outstanding return on equity of 41% and ROA of 13.4% demonstrating efficient capital deployment
- Zero debt-to-equity ratio providing financial stability and strategic flexibility with no leverage risk
- Exceptional free cash flow generation of $540M with 35.6% FCF margin, enabling shareholder distributions and investments
- Strong cash position of $508.6M representing 30% of total assets, providing liquidity buffer
MC Investment Risks to Consider
- Significant net income decline of 10.2% YoY despite 27% revenue growth suggests rising costs or one-time charges pressuring profitability
- Investment advisory industry is cyclical and highly dependent on M&A activity, IPO markets, and capital markets volatility
- Concentrated business model as advisory services revenue stream is vulnerable to economic downturns and market disruptions
- High insider trading activity (21 Form 4 filings in 90 days) may indicate opportunistic selling or confidence signals requiring monitoring
- Asset-light business model means future growth highly dependent on talent retention and market conditions
Key Metrics to Watch
- Operating margin trends and cost control to reconcile revenue growth with net income decline
- Free cash flow sustainability and capital allocation decisions between distributions and growth investments
- M&A transaction volume and advisory fee rates as leading indicators of revenue momentum
- Client concentration and advisory pipeline health as indicators of future revenue visibility
- Compensation ratios as percentage of revenue to monitor profitability sustainability
MC Financial Metrics
💡 AI Analyst Insight
The 35.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
MC Profitability Ratios
MC vs Default Sector
How Moelis & Co compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is MC Overvalued or Undervalued?
Based on fundamental analysis, Moelis & Co appears fundamentally strong relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
MC Balance Sheet & Liquidity
MC 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Moelis & Co's revenue has remained relatively flat over the 5-year period, with a 0% decline.
MC Growth Metrics (YoY)
MC Capital Allocation
MC SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Moelis & Co (CIK: 0001596967)
📋 Recent SEC Filings
❓ Frequently Asked Questions about MC
What is the AI rating for MC?
Moelis & Co (MC) has an AI rating of BUY with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are MC's key strengths?
Claude: Strong revenue growth of 27% YoY indicating robust market demand for advisory services. Exceptional profitability metrics with 18.1% operating margin and 15.4% net margin typical of high-quality advisory firms.
What are the risks of investing in MC?
Claude: Significant net income decline of 10.2% YoY despite 27% revenue growth suggests rising costs or one-time charges pressuring profitability. Investment advisory industry is cyclical and highly dependent on M&A activity, IPO markets, and capital markets volatility.
What is MC's revenue and growth?
Moelis & Co reported revenue of $1.5B.
Does MC pay dividends?
Moelis & Co pays dividends, with $104.2M distributed to shareholders in the trailing twelve months.
Where can I find MC SEC filings?
Official SEC filings for Moelis & Co (CIK: 0001596967) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is MC's EPS?
Moelis & Co has a diluted EPS of $0.75.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is MC a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Moelis & Co has a BUY rating with 78% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is MC stock overvalued or undervalued?
Valuation metrics for MC: ROE of 41.0% (sector avg: 15%), net margin of 15.4% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.
Should I buy MC stock in 2026?
Our dual AI analysis gives Moelis & Co a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is MC's free cash flow?
Moelis & Co's operating cash flow is $576.3M, with capital expenditures of $36.3M. FCF margin is 35.6%.
How does MC compare to other Default stocks?
Vs Default sector averages: Net margin 15.4% (avg: 12%), ROE 41.0% (avg: 15%), current ratio N/A (avg: 1.8).