S&P Global Inc. - SPGI STOCK NEWS

S&P Global (NYSE: SPGI) has announced its ongoing commitment to environmental transparency by completing its 11th annual disclosure through CDP. Since 2010, S&P has reported its environmental impact, achieving a 31% reduction in greenhouse gas emissions and a 37% decrease in energy use since 2013. The company’s second report on climate-related risks follows the TCFD recommendations, and it is exploring a net-zero carbon emissions target. These initiatives underscore S&P Global's strategy of integrating sustainability across its operations.

S&P Dow Jones Indices reported an increase in U.S. home prices, with the National Composite Index rising 5.7% year-over-year in August 2020, up from 4.8% in July. The 10-City Composite saw a 4.7% increase, while the 20-City Composite rose by 5.2%. Phoenix led the cities with a 9.9% annual gain, followed by Seattle's 8.5% and San Diego's 7.6%. Month-over-month, the National Index increased by 1.1%. Despite challenges in Detroit due to COVID-19 data delays, all other examined cities experienced price growth, indicating a robust housing market recovery.

S&P Global (NYSE: SPGI) reported third quarter 2020 results with a revenue increase of 9% to $1.846 billion. However, net income fell 26% to $455 million, driven by the debt tender premium and associated fees. Adjusted net income increased 14% to $689 million, and adjusted diluted earnings per share rose 16% to $2.85. The operating profit margin decreased to 51.1%, while adjusted operating profit margin improved to 52.9%. The company returned $172 million to shareholders in the quarter. Guidance for adjusted diluted EPS was raised to $11.30-$11.45.

S&P Global Ratings has completed its registration with the China Securities Regulatory Commission (CSRC), becoming the first wholly foreign-owned Credit Rating Agency able to issue ratings in China's exchange bond market. With this approval, S&P Global Ratings can now rate bonds and asset-backed securities traded in this market, thereby enhancing transparency and trust for global investors. This milestone follows previous achievements, including its first rating published in July 2019. The company aims to support the development of China's capital markets by providing independent and reliable credit ratings.

S&P Global Platts unveiled the finalists for the Leadership in Energy Transition Award, part of its annual Global Energy Awards, set for December 10. This award highlights companies focused on reducing greenhouse gas emissions. The announcement, made by CEO Richard Mattison, emphasized the need for the power sector to lead in emission reductions, as it generates about 25% of global emissions. The 2020 finalists include industry leaders like Dominion Energy and NextEra Energy. Previous winner Iberdrola was recognized for its low emissions and innovative financing.

S&P Dow Jones Indices and Experian released the S&P/Experian Consumer Credit Default Indices data for September 2020, showing a composite default rate of 0.63%, a decline of four basis points from August. The bank card default rate decreased to 3.00%, while the auto loan default rate rose slightly to 0.56%. Notably, the first mortgage default rate fell to 0.46%. All major metropolitan areas reported lower default rates, with Miami experiencing the largest drop to 1.80%. Data highlights indicate trends in consumer credit behavior and financial stability.

On October 19, 2020, S&P Global Market Intelligence released a study titled Sweet Spots in the C-Suite, outlining best practices for CEOs to enhance shareholder value. Key findings include that balancing profitability and growth is crucial, as rapid asset growth can harm performance. Insider stock purchases indicate management confidence, benefiting market sentiment. Additionally, smaller M&A deals are preferable to large ones, which can hinder returns. Finally, strategies emphasizing cash return to shareholders through buybacks and dividends yield positive excess returns.