The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.

Rising instability in corporate ratings, says Moody’s

An increasing number of corporate upgrades has affected the stability of Moody's corporate bond ratings, according to the rating agency. Three-hundred and twenty corporates experienced a rating action in the third quarter of 2004, compared to 248 in the same period last year ? on an annualized basis that's an increase from 18.2% to 22.6% in the share of corporates experiencing a rating action. The number of firms with excessive rating actions ? more than two rating notches ? has increased to 92 from 80 in the third quarter of last year.

Of the 341 rating actions undertaken by Moody's (some corporates experienced more than one action), 205 were preceded by rating reviews (60%) and 47 were preceded by negative or positive outlooks (14%).

Figures for the third quarter show Moody's ?accuracy rating' standing at 93.1%: this rating measures the link between Moody's ratings and any subsequent changes.

For more information on the ratings process at corporates see CF's October cover story by Simon Crompton.

Please forward any thoughts/comments on the story to:

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree