Key Points
- Director William Lyons sold 1,000 Morningstar shares for approximately $199,000, reducing his direct stake by 7.19% to 12,904 shares.
- Morningstar beat quarterly expectations, reporting $3.10 in earnings per share versus the $2.83 consensus and revenue of $663.2 million versus $649.7 million expected.
- Analyst sentiment remains mixed: Morningstar has a consensus “Hold” rating and a $227.33 target price, while recent research cited potential upside and one firm downgraded the stock to “Sell.”
Morningstar, Inc. (NASDAQ:MORN - Get Free Report) Director William Lyons sold 1,000 shares of Morningstar stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $199.00, for a total value of $199,000.00. Following the sale, the director directly owned 12,904 shares of the company's stock, valued at approximately $2,567,896. This trade represents a 7.19% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink.
Morningstar Price Performance
MORN opened at $198.93 on Tuesday. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 1.66. The stock has a market capitalization of $7.46 billion, a P/E ratio of 18.84 and a beta of 0.99. The stock has a 50-day moving average price of $172.65 and a 200-day moving average price of $176.93. Morningstar, Inc. has a 12-month low of $141.49 and a 12-month high of $276.43.
Morningstar (NASDAQ:MORN - Get Free Report) last announced its quarterly earnings data on Wednesday, July 29th. The business services provider reported $3.10 earnings per share for the quarter, beating analysts' consensus estimates of $2.83 by $0.27. The company had revenue of $663.20 million for the quarter, compared to analysts' expectations of $649.72 million. Morningstar had a return on equity of 38.57% and a net margin of 16.43%.
More Morningstar News
Here are the key news stories impacting Morningstar this week:
- Positive Sentiment: Strong Q2 results support the bullish case. Morningstar reportedly exceeded consensus estimates, with revenue of $663.2 million versus expectations of $649.7 million and EPS of $3.10 versus $2.83. Another analysis cited 9.6% year-over-year revenue growth and 29.2% non-GAAP EPS growth. Morningstar: Undervalued With A Differentiated Business Model
- Positive Sentiment: Analyst sees substantial valuation upside. Morningstar was characterized as undervalued, trading at roughly 15.6 times estimated 2026 earnings compared with its historical 35–40 times range. The analysis assigned a fair-value estimate of $246.40, above the current trading level, while highlighting strong cash flow, a conservative payout ratio and a 15-year dividend-growth streak. Morningstar: Undervalued With A Differentiated Business Model
- Neutral Sentiment: Morningstar’s industry commentary provides modest brand support. The company said artificial-intelligence-related power demand, rather than renewed ESG enthusiasm, is driving a recovery in sustainable ETF inflows. This may reinforce Morningstar’s visibility as a provider of investment research, but it does not represent a direct earnings forecast. AI, Not ESG, Is Driving the Revival in Sustainable ETFs
- Negative Sentiment: Director selling creates a minor overhang. Director William M. Lyons sold 1,000 shares for approximately $199,000, reducing his direct ownership by 7.19%. The transaction is relatively small compared with Morningstar’s market value and does not by itself indicate a change in business fundamentals. Morningstar Director Form 4 Filing
Analyst Ratings Changes
A number of brokerages have recently weighed in on MORN. Wall Street Zen upgraded shares of Morningstar from a "hold" rating to a "buy" rating in a report on Sunday, June 21st. UBS Group reduced their target price on shares of Morningstar from $280.00 to $260.00 and set a "buy" rating on the stock in a report on Tuesday, July 7th. Rothschild & Co Redburn set a $210.00 target price on shares of Morningstar in a research report on Thursday, June 18th. BMO Capital Markets reissued an "outperform" rating and issued a $212.00 price target on shares of Morningstar in a research note on Friday, June 26th. Finally, Weiss Ratings lowered Morningstar from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Thursday. Two analysts have rated the stock with a Buy rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Morningstar has a consensus rating of "Hold" and a consensus target price of $227.33.
View Our Latest Analysis on MORN
Institutional Investors Weigh In On Morningstar
A number of large investors have recently made changes to their positions in MORN. Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of Morningstar during the fourth quarter valued at approximately $25,000. Grove Bank & Trust purchased a new stake in Morningstar in the second quarter worth $25,000. Cassaday & Co Wealth Management LLC purchased a new stake in Morningstar in the first quarter worth $26,000. Measured Wealth Private Client Group LLC bought a new stake in Morningstar in the third quarter valued at $26,000. Finally, Osterweis Capital Management Inc. bought a new stake in Morningstar in the second quarter valued at $29,000. 57.02% of the stock is currently owned by institutional investors.
Morningstar Company Profile
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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.
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