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1. Company Snapshot

1.a. Company Description

S&P Global Inc., together with its subsidiaries, provides credit ratings, benchmarks, analytics, and workflow solutions in the global capital, commodity, and automotive markets.It operates in six divisions: S&P Global Ratings, S&P Dow Jones Indices, S&P Global Commodity Insights, S&P Global Market Intelligence, S&P Global Mobility, and S&P Global Engineering Solutions.The S&P Global Ratings division operates as an independent provider of credit ratings, research, and analytics, offering investors and other market participants information, ratings, and benchmarks.


The S&P Dow Jones Indices division is an index provider that maintains various valuation and index benchmarks for investment advisors, wealth managers, and institutional investors.The S&P Global Commodity Insights division offers data and insights for global energy and commodity markets and enable its customers to make decisions.The S&P Global Market Intelligence division delivers data and technology solutions for customers to provide insights for making decisions.


It offers data and services that bring end-to-end workflow solutions, including capital formation, data and distribution, ESG and sustainability, leveraged loans, private markets, sector coverage, supply chain, and issuer solutions, as well as credit, risk, and regulatory solutions.The S&P Global Mobility division provides insights derived from unmatched automotive data, enabling its customers to anticipate change and make decisions.The S&P Global Engineering Solutions division offers engineering expertise and solutions in industries, such as aerospace and defense, energy, architecture, construction, and transportation.


Its solutions empower business and technical leaders to transform workflows and make decisions.S&P Global Inc.was founded in 1860 and is headquartered in New York, New York.

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1.b. Last Insights on SPGI

S&P Global's recent performance was negatively impacted by its Q4 earnings miss, with EPS of $4.3 per share falling short of the Zacks Consensus Estimate of $4.32 per share. Despite a 9% revenue growth, operating expenses increased, pressuring margins. Additionally, several institutional investors, including BlueSpruce Investments LP and Calamos Advisors LLC, reduced their stakes in the company, contributing to the stock's downward pressure. However, some analysts view the sell-off as overblown, citing a strong balance sheet and growth prospects.

1.c. Company Highlights

2. S&P Global's Strong 2025 Results and Optimistic 2026 Outlook

S&P Global reported a strong financial performance in 2025, with revenue growth of 9% and organic constant currency revenue growth of 8% in the fourth quarter. The company's adjusted diluted EPS grew by 14%, resulting in full-year EPS at the higher end of its guidance range. The revenue growth was driven by strong performance in Private Markets, Energy, and Market Intelligence, with adjusted expenses increasing by 8%, resulting in 60 basis points of year-on-year margin expansion to 47.3%. According to Martina Cheung, "We delivered exceptional results in private markets, expanding in private credit ratings, significantly enhancing our private market tools, and launching private equity benchmarks and indices."

Publication Date: Feb -11

📋 Highlights
  • Revenue Growth & Margin Expansion:: 9% total revenue growth (8% organic), 60bps margin expansion to 47.3% (130bps excluding OSTTRA), and 14% EPS growth in Q4 2025.
  • Private Markets & Energy Performance:: Private Markets revenue up 16% YoY, driven by Ratings (12% growth); Energy revenue grew 6%, with Energy Resources & Price Assessments up 9% and 8% respectively.
  • 2026 Financial Guidance:: 6–8% organic revenue growth, 50–75bps margin expansion, and adjusted EPS of $19.40–$19.65 (9–10% YoY growth). Buybacks targeted at $1B in Q1 2026.
  • AI & Strategic Investments:: $1B invested in AI since 2018 (3–4% of expense base), with AI embedded in products like iLEVEL and Copilot to drive productivity and innovation.
  • Market Intelligence & Subscription Momentum:: 7% revenue growth (85% subscription-based), with 2026 guidance at 5.5–7% organic growth, supported by cross-sell momentum and AI integrations.

Segment Performance

The company's segment performance was robust, with Private Markets revenue growing 16% year-over-year, driven primarily by the Ratings and Market Intelligence divisions. Energy revenue grew 6% in the fourth quarter, driven by continued strength in energy resources, data, and insights, and price assessments. Market Intelligence reported revenue grew 7%, and organic constant currency revenue grew 5% in the fourth quarter.

Guidance and Outlook

S&P Global's guidance for 2026 assumes organic constant currency revenue growth of 6% to 8%. The company expects to expand margins in 2026 by 50 to 75 basis points, with adjusted diluted EPS expected to be in the range of $19.40 to $19.65, representing growth of 9% to 10% year-over-year. Analysts estimate next year's revenue growth at 7.2%, which is within the company's guidance range. The actual EPS for the quarter came out at $4.3, slightly below estimates at $4.33.

Valuation Metrics

Using the current valuation metrics, S&P Global's P/E Ratio is 27.07, P/B Ratio is 3.88, and P/S Ratio is 7.92. The EV/EBITDA is 18.05, and the ROE is 13.62%. These metrics indicate that the company's stock is fairly valued, with a reasonable price-to-earnings ratio and a relatively high return on equity.

AI and Growth Opportunities

S&P Global is investing heavily in AI capabilities and products, with a continued pattern of 3-4% of expense base. The company is seeing traction and momentum with its customers, with examples like automated data ingestion on iLEVEL and energy clients adding on the ability to pull in energy research into Copilot and Copilot Studio. The company expects AI to be a net tailwind for its business, delivering additional value for customers through more ways to use its data, add-ons, and new data set sales opportunities.

3. NewsRoom

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My Top 3 Dividend Stocks for March 2026

08:45

Source: fool.com

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The Vita Coco Company Set to Join S&P SmallCap 600

Mar -20

Source: prnewswire.com

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Why S&P Global's 'Lost Years' Could Set Up The Next Decade

Mar -20

Source: seekingalpha.com

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S&P Global: Era of Linear Energy Transition Has Ended as AI Demand and Geopolitics Reshape Markets

Mar -20

Source: prnewswire.com

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Confluence Investment Management LLC Reduces Stock Position in S&P Global Inc. $SPGI

Mar -20

Source: defenseworld.net

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S&P Global: I Believe Artificial Intelligence Is A Blessing Rather Than A Curse

Mar -20

Source: seekingalpha.com

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Nobel Prize Winner Maria Corina Machado to Address CERAWeek by S&P Global in Houston, March 23-27

Mar -19

Source: prnewswire.com

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S&P Global Inc. (SPGI) Presents at Reinventing AI Strategy for 2026 Transcript

Mar -19

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (7.20%)

6. Segments

Market Intelligence

Expected Growth: 5.2%

S&P Global's data and analytics provide actionable insights, driving informed business decisions and improvement, thereby fostering market performance enhancement.

Commodity Insights

Expected Growth: 4.5%

Increasing demand for energy, metals, and agriculture commodities drive growth, supported by rising population, urbanization, and emerging market infrastructure development.

Mobility

Expected Growth: 10.2%

The Mobility segment growth is driven by increasing demand for data analytics and insights in the automotive ecosystem, fueled by electrification, autonomous driving, and connectivity trends.

Ratings

Expected Growth: 10.5%

Increasing demand for credit ratings, driven by rising regulatory requirements, and growing appetite for investment in emerging markets, fuels growth in S&P Global's Ratings segment.

Indices

Expected Growth: 4.5%

S&P Global Inc. expects moderate growth driven by demand for financial analytics, increasing adoption of ESG metrics, and expansion into emerging markets.

Intersegment Elimination

Expected Growth: 6.3%

Consolidation of financials eliminates intercompany transactions, enhancing transparency and driving growth. S&P Global Inc.'s subsidiaries will benefit from streamlined operations, leading to improved financial performance and increased investor confidence.

7. Detailed Products

S&P Global Ratings

Provides credit ratings, research, and analytics to investors, corporations, and governments.

S&P Global Market Intelligence

Offers data, analytics, and insights on companies, markets, and economies.

S&P Dow Jones Indices

Provides indices, benchmarks, and ETFs that track various asset classes and markets.

S&P Global Platts

Delivers energy, petrochemicals, metals, and agriculture news, prices, and analytics.

S&P Global Engineering Solutions

Provides technical standards, specifications, and training for the engineering community.

8. S&P Global Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

S&P Global Inc. operates in a highly specialized industry, providing financial market data and analytics. While there are some substitutes available, they are not as comprehensive or widely used as S&P Global's offerings.

Bargaining Power Of Customers

S&P Global Inc.'s customers are largely institutional investors and financial institutions, which have limited bargaining power due to the specialized nature of the company's products and services.

Bargaining Power Of Suppliers

S&P Global Inc. has a diverse supplier base, and its suppliers have limited bargaining power due to the company's large scale and diversified operations.

Threat Of New Entrants

The financial data and analytics industry has high barriers to entry, including significant capital requirements and the need for specialized expertise, making it difficult for new entrants to compete with S&P Global Inc.

Intensity Of Rivalry

The financial data and analytics industry is highly competitive, with several established players competing for market share. S&P Global Inc. faces intense rivalry from companies such as Moody's, Fitch Ratings, and Bloomberg LP.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 25.97%
Debt Cost 3.95%
Equity Weight 74.03%
Equity Cost 9.62%
WACC 8.14%
Leverage 35.09%

11. Quality Control: S&P Global Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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CME Group

A-Score: 7.2/10

Value: 2.3

Growth: 5.9

Quality: 8.6

Yield: 8.0

Momentum: 8.5

Volatility: 10.0

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Aflac

A-Score: 5.7/10

Value: 3.7

Growth: 4.2

Quality: 6.6

Yield: 4.0

Momentum: 6.0

Volatility: 10.0

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Nasdaq

A-Score: 5.6/10

Value: 1.8

Growth: 5.7

Quality: 7.0

Yield: 3.0

Momentum: 7.0

Volatility: 9.3

1-Year Total Return ->

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ICE

A-Score: 5.6/10

Value: 2.5

Growth: 6.1

Quality: 6.9

Yield: 2.0

Momentum: 6.0

Volatility: 10.0

1-Year Total Return ->

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MSCI

A-Score: 5.5/10

Value: 2.8

Growth: 7.9

Quality: 7.5

Yield: 2.0

Momentum: 5.0

Volatility: 7.7

1-Year Total Return ->

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S&P Global

A-Score: 5.3/10

Value: 1.6

Growth: 6.7

Quality: 8.1

Yield: 1.0

Momentum: 5.0

Volatility: 9.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

424.43$

Current Price

424.43$

Potential

-0.00%

Expected Cash-Flows