S&P Global Inc. (SPGI) | Investment Case

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

Breaking News: S&P Global Inc announced the introduction of a new brand identity for its Mobility division, now known as Mobility Global Inc. This change reflects the business's position as a global standard for automotive intelligence. The rebranding will take effect upon the planned separation of Mobility Global from S&P Global into a standalone public company. The company provides critical intelligence across the vehicle lifecycle to suppliers, OEMs, dealers, and consumers worldwide. No earnings release was provided with this announcement. Analysts at Goldman Sachs recommend a buy, while those at Morgan Stanley advise to hold.

1.c. Company Highlights

Last Price	468.21
Change Percentage	-11.27%
Open	503
Previous Close	527.66
Market Cap ( Millions)	141774
Volume	6133552
Year High	579.05
Year Low	427.14
M A 50	516.94
M A 200	514.61

FCF Yield	3.85%
Dividend Yield	0.82%
ROE	12.39%
Debt / Equity	35.70%
Net Debt / EBIDTA	138.98%
Price To Book	4.29
Price Earnings Ratio	34.51
Price To FCF	25.96
Price To sales	9.44
EV / EBITDA	20.72

2. S&P Global's Q3 2025 Earnings: Strong Revenue and Margin Expansion

S&P Global reported record revenue, operating profit, and EPS in the third quarter, with revenue increasing 9% year-over-year to a significant figure, and subscription revenue up 6%. The company delivered 180 basis points of margin expansion and increased adjusted EPS by 22% to $4.73, beating estimates of $4.42. The adjusted operating margin was impressive, with a 3 percentage point tailwind from incentive compensation changes. The company's financial performance was strong, driven by continued momentum in the business, with nearly $1.5 billion returned to shareholders through dividends and buybacks.

Publication Date: Nov -01

                                    📋 Highlights
                                    Revenue & EPS Growth::
                                                Q3 revenue rose 9% YoY to $3.8B, with adjusted EPS up 22% to $4.45, driven by 180 bps margin expansion.
Shareholder Returns::
                                                $1.5B returned to shareholders via dividends and buybacks, with an additional $2.5B share repurchase planned in Q4 (85% of 2025 adjusted free cash flow).
Private Markets Momentum::
                                                Revenue surged 22% YoY to $164M, supported by With Intelligence acquisition ($1B debt + cash) and strong issuance in Ratings.
AI & Strategic Partnerships::
                                                Launched AI tools (iLEVEL, Document Intelligence 2.0) and partnered with Microsoft/Anthropic/Google, enhancing data accessibility and workflow integration.
Margin Expansion::
                                                Operating margin hit 52.1% (up 330 bps YoY), with adjusted operating margin guidance raised to 50-50.5% for the year.

                                

Revenue Breakdown and Growth

The company's revenue growth was driven by various divisions, including Market Intelligence, which accelerated revenue growth to 8% organic constant currency growth, driven by strength in subscription and double-digit growth in volume-driven products. Data, Analytics & Insights had 6% organic revenue growth, aided by strong demand for industry and company data. Ratings revenue increased 12% year-over-year, with growth balanced between transaction and non-transaction revenues.

AI Investments and Partnerships

Martina Cheung noted that AI has been a key area of investment, and the company is well-positioned to benefit from it, particularly in Market Intelligence. Eric Aboaf added that AI will help drive top-line growth and productivity, with examples including the consolidation of data operations and the use of AI-driven tools to reduce redundant activities. The company has made significant advancements in AI, including the launch of AI-powered document search within iLEVEL and Document Intelligence 2.0 within Capital IQ Pro.

Valuation and Outlook

With a P/E Ratio of 35.15 and an EV/EBITDA of 22.5, the company's valuation metrics indicate a premium for its strong growth prospects. Analysts estimate next year's revenue growth at 7.3%. The company raised its enterprise outlook for total revenue growth to 7% to 8% and adjusted margins to 50% to 50.5%. It expects adjusted diluted EPS in the range of $17.60 to $17.85, representing growth of 12% to 14% year-over-year.

Private Markets and With Intelligence Acquisition

The pending acquisition of With Intelligence is expected to accelerate growth in private markets, bringing a unique database and capabilities in deal sourcing, allocation, and performance benchmarking. The company's prior midterm guidance of 7% to 9% Market Intelligence revenue growth is still relevant, with the acquisition expected to contribute to growth.

3. NewsRoom

S&P Global Introduces New Brand Identity for Mobility Division as "Mobility Global"

13:00

Source: prnewswire.com

S&P Global: Standardizing Private Markets Unlocks Spin-Off Value

Jan -31

Source: seekingalpha.com

These 2 Financial Stocks Just Declared Dividend Raises

Jan -30

Source: fool.com

10 Highest Rated Dividend Kings For Generations Of Income

Jan -29

Source: seekingalpha.com

S&P Global Inc. $SPGI Shares Sold by Federated Hermes Inc.

Jan -29

Source: defenseworld.net

S&P Global Isn't Cheap - But It's Still A Buy If You Think Long Term

Jan -27

Source: seekingalpha.com

S&P Cotality Case-Shiller Index Reports Annual Gain In November 2025

Jan -27

Source: prnewswire.com

CM WEALTH ADVISORS LLC Buys 1,693 Shares of S&P Global Inc (SPGI)

Jan -27

Source: gurufocus.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

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

Strong Liquidity

Low Debt

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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

1-Year Total Return ->

Aflac

A-Score: 5.7/10

Value: 3.7

Growth: 4.2

Quality: 6.6

Yield: 4.0

Momentum: 6.0

Volatility: 10.0

1-Year Total Return ->

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 ->

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 ->

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 ->

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 ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

8.12%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

8.14%

S&P Global Inc. - US78409V1044

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on SPGI

1.c. Company Highlights

Expensive

Medium Volatility

Average Yield

Earnings Beats

Revenues Beats

Less Volatile

Lower Yield

Better Quality

2. S&P Global's Q3 2025 Earnings: Strong Revenue and Margin Expansion

Revenue Breakdown and Growth

AI Investments and Partnerships

Valuation and Outlook

Private Markets and With Intelligence Acquisition

3. NewsRoom

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%

Commodity Insights

Expected Growth: 4.5%

Mobility

Expected Growth: 10.2%

Ratings

Expected Growth: 10.5%

Indices

Expected Growth: 4.5%

Intersegment Elimination

Expected Growth: 6.3%

7. Detailed Products

S&P Global Ratings

S&P Global Market Intelligence

S&P Dow Jones Indices

S&P Global Platts

S&P Global Engineering Solutions

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

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

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

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

468.21$

Current Price

468.21$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA