Moodys (MCO)

With the current turmoil in the stock market, right now is a great time to pick up some great stocks trading at below intrinsic value. Lets talk about some stocks I have picked up in the past month… The stock that has the highest risk/reward ratio is Moodys (MCO).. Currently Moodys is in some hot water over the ratings it had provided for some sub prime lenders… This will be a temporary problem as the service that it provides is necessary… Although it’s trading at 20 times earnings, this company is a cash flow machine that also buys back a ton of its shares… And Moodys and S&P are the two dominant players in the rating agency game and it is impossible to get into this market… I bought the stock at $46, $44, and $43… it has moved up nicely recently (above $50)… but the potential for higher returns is still there..