Key Points
- Morningstar chairman Joseph Mansueto sold 7,250 shares on May 14 at an average price of $167.99, for proceeds of about $1.22 million. The sale was made under a pre-arranged Rule 10b5-1 trading plan and reduced his holdings only slightly.
- Morningstar recently beat earnings expectations, reporting $3.18 EPS versus the $2.41 consensus estimate and revenue of $644.8 million, above forecasts. The company also posted strong profitability metrics, including a 33.14% return on equity.
- Analyst sentiment is mixed, with ratings ranging from Buy to Sell and a current consensus of Hold. The average price target stands at $236.50, though some firms have recently cut targets while others remain bullish.
Morningstar, Inc. (NASDAQ:MORN - Get Free Report) Chairman Joseph Mansueto sold 7,250 shares of the company's stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $167.99, for a total value of $1,217,927.50. Following the sale, the chairman owned 8,081,490 shares in the company, valued at $1,357,609,505.10. The trade was a 0.09% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Morningstar Price Performance
NASDAQ:MORN opened at $170.04 on Friday. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 1.66. The stock's 50 day moving average price is $176.20 and its two-hundred day moving average price is $193.44. The firm has a market capitalization of $6.47 billion, a price-to-earnings ratio of 17.32 and a beta of 0.99. Morningstar, Inc. has a 12-month low of $149.08 and a 12-month high of $316.71.
Morningstar (NASDAQ:MORN - Get Free Report) last announced its earnings results on Wednesday, April 29th. The business services provider reported $3.18 earnings per share for the quarter, topping analysts' consensus estimates of $2.41 by $0.77. The company had revenue of $644.80 million for the quarter, compared to analyst estimates of $626.91 million. Morningstar had a return on equity of 33.14% and a net margin of 16.06%.
Analysts Set New Price Targets
A number of equities research analysts have weighed in on MORN shares. Wall Street Zen raised Morningstar from a "hold" rating to a "buy" rating in a report on Saturday, May 2nd. BMO Capital Markets reduced their target price on Morningstar from $257.00 to $193.00 and set an "outperform" rating on the stock in a report on Tuesday, February 17th. UBS Group set a $280.00 target price on Morningstar in a report on Friday, February 13th. Finally, Weiss Ratings downgraded Morningstar from a "hold (c-)" rating to a "sell (d+)" rating in a report on Thursday, April 9th. Two investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $236.50.
Get Our Latest Analysis on Morningstar
Key Headlines Impacting Morningstar
Here are the key news stories impacting Morningstar this week:
- Positive Sentiment: Morningstar’s own media and research coverage highlighted attractive opportunities in blue-chip and dividend stocks, which can support visibility for its investment-research business and keep the Morningstar brand in front of investors. These 10 Blue-Chip Stocks Are on Sale Now: Morningstar
- Positive Sentiment: A separate article said Morningstar urges tailored diversification conversations to build client trust, which may be viewed as supportive of its advisor-focused business and client relationships. Morningstar urges tailored diversification talks to boost client trust
- Neutral Sentiment: CEO/Chairman Joseph D. Mansueto sold 7,250 shares under a pre-arranged 10b5-1 plan. Because the sale was small relative to his holdings and preplanned, it is unlikely to signal a major change in outlook. SEC Form 4 filing
- Neutral Sentiment: Several articles noted Morningstar Investment Management was buying more shares of Broadcom, Meta Platforms, Nvidia, and Walmart while trimming Taiwan Semiconductor. These are portfolio moves by a Morningstar-managed entity, not direct changes to Morningstar, Inc.’s fundamentals, so the impact on MORN is limited. Morningstar Investment Management boosts Broadcom stake by 17,039 shares
Institutional Inflows and Outflows
Several large investors have recently bought and sold shares of the stock. Morgan Stanley raised its position in Morningstar by 2.4% during the 4th quarter. Morgan Stanley now owns 2,006,325 shares of the business services provider's stock worth $435,995,000 after purchasing an additional 47,360 shares during the last quarter. Bamco Inc. NY raised its position in Morningstar by 9.2% during the 3rd quarter. Bamco Inc. NY now owns 1,414,305 shares of the business services provider's stock worth $328,133,000 after purchasing an additional 118,979 shares during the last quarter. Wellington Management Group LLP raised its position in Morningstar by 85.4% during the 4th quarter. Wellington Management Group LLP now owns 1,136,213 shares of the business services provider's stock worth $246,910,000 after purchasing an additional 523,387 shares during the last quarter. AQR Capital Management LLC raised its position in Morningstar by 48.0% during the 4th quarter. AQR Capital Management LLC now owns 900,297 shares of the business services provider's stock worth $195,644,000 after purchasing an additional 292,053 shares during the last quarter. Finally, Dimensional Fund Advisors LP raised its position in Morningstar by 9.7% during the 1st quarter. Dimensional Fund Advisors LP now owns 517,769 shares of the business services provider's stock worth $87,514,000 after purchasing an additional 45,798 shares during the last quarter. 57.02% of the stock is owned by institutional investors.
Morningstar Company Profile
(
Get Free Report)
Morningstar, Inc is a leading provider of independent investment research, data, and analytics, serving both individual investors and financial professionals. The company offers comprehensive coverage of financial products, including mutual funds, exchange-traded funds (ETFs), stocks, bonds and market indexes. Morningstar's proprietary rating systems and research methodologies help clients assess the risk and return profiles of investment opportunities and make informed decisions.
Its core products include Morningstar Direct, an institutional investment analysis platform; Morningstar Office Cloud, a portfolio management solution for advisors; and Morningstar Data, which delivers extensive datasets through APIs and data feeds.
Further Reading
This instant news alert was generated by narrative science technology and financial data from InsiderTrades.com in order to provide readers with the fastest and most accurate reporting. Please send any questions or comments about this story to [email protected].
