10 Best Stocks to Buy for the Long-Term According to Charles Akre

2. Moody’s Corporation (NYSE:MCO)

Akre Capital Management’s First Major Purchase: 2012

Akre Capital Management’s stake value: $1.60 Billion

Number of Hedge fund holders as of Q3: 67

Moody’s Corporation (NYSE:MCO) is one of the best stocks to buy for the long term to diversify an investment portfolio in the financial services sector. The company develops and offers products and services supporting institutional clients’ risk management activities. It is one of Charles Akre’s biggest holdings that’s outperforming, going by a 30.74% year-to-date gain.

Its outperformance has to do with its near monopoly position in the credit rating business. Moody’s Corporation (NYSE:MCO) delivered solid third-quarter results on October 22, 2204, affirming strong demand for rating services to assess and manage credit and economic risks. Revenue in the quarter was up 23% to $1.8 billion as earnings per share increased 32%. Transactional revenue spiking 70% and outpacing global issuance underscores the resilience of Moody’s core business.

Moody’s Corporation (NYSE:MCO) has moved to strengthen its long-term prospects by acquiring Numerate Growth Technologies. The acquisition is poised to improve its Lending Suite by integrating a complete loan origination and monitoring solution. It should also integrate with its Numerated AI-driven platform and risk data segments.