Morningstar (NASDAQ:MORN) Issues Quarterly Earnings Results

Morningstar (NASDAQ:MORN) issued its earnings results on Thursday. The business services provider reported $2.71 EPS for the quarter, topping analysts’ consensus estimates of $2.34 by $0.37, FiscalAI reports. Morningstar had a net margin of 15.30% and a return on equity of 26.36%. The business had revenue of $641.10 million for the quarter, compared to the consensus estimate of $634.43 million.

Morningstar Price Performance

MORN opened at $160.03 on Friday. The business’s 50-day moving average is $204.60 and its two-hundred day moving average is $225.03. Morningstar has a 1 year low of $149.08 and a 1 year high of $330.55. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.04 and a quick ratio of 1.04. The firm has a market capitalization of $6.58 billion, a PE ratio of 17.96 and a beta of 1.08.

Morningstar Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 30th. Investors of record on Friday, October 2nd will be given a dividend of $0.50 per share. The ex-dividend date of this dividend is Friday, October 2nd. This represents a $2.00 dividend on an annualized basis and a yield of 1.2%. Morningstar’s dividend payout ratio (DPR) is presently 22.45%.

Insider Activity

In related news, Director Caroline J. Tsay sold 600 shares of the business’s stock in a transaction that occurred on Monday, December 29th. The shares were sold at an average price of $218.48, for a total transaction of $131,088.00. Following the completion of the transaction, the director owned 3,745 shares in the company, valued at $818,207.60. The trade was a 13.81% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, Chairman Joseph D. Mansueto sold 7,250 shares of the stock in a transaction that occurred on Friday, February 13th. The shares were sold at an average price of $156.21, for a total transaction of $1,132,522.50. Following the sale, the chairman directly owned 8,198,253 shares of the company’s stock, valued at $1,280,649,101.13. The trade was a 0.09% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 56,894 shares of company stock valued at $10,324,585. Insiders own 36.20% of the company’s stock.

Hedge Funds Weigh In On Morningstar

A number of large investors have recently made changes to their positions in MORN. Measured Wealth Private Client Group LLC acquired a new stake in shares of Morningstar in the 3rd quarter worth $26,000. Osterweis Capital Management Inc. acquired a new position in Morningstar during the 2nd quarter valued at about $29,000. Quarry LP raised its stake in Morningstar by 51.2% in the fourth quarter. Quarry LP now owns 189 shares of the business services provider’s stock valued at $41,000 after buying an additional 64 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Morningstar by 23.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 178 shares of the business services provider’s stock worth $53,000 after acquiring an additional 34 shares in the last quarter. Finally, Geneos Wealth Management Inc. grew its stake in shares of Morningstar by 278.2% during the first quarter. Geneos Wealth Management Inc. now owns 208 shares of the business services provider’s stock worth $62,000 after acquiring an additional 153 shares during the last quarter. 57.02% of the stock is owned by institutional investors and hedge funds.

Morningstar News Roundup

Here are the key news stories impacting Morningstar this week:

• Positive Sentiment: Q4 results beat estimates: Morningstar posted stronger-than-expected EPS and solid revenue with notably strong operating cash flow — a classic fundamental driver for investor buying (press release). Q4 press release
• Positive Sentiment: New index licensing deal: Morningstar partnered to launch Catholic-principles equity indexes with the Vatican Bank — a recurring-revenue product that can expand index/data licensing fees and distribution. Vatican bank teams with Morningstar on Catholic stock indexes
• Neutral Sentiment: Industry commentary: Coverage questioning semiliquid/private-market funds and Morningstar’s related analysis may influence advisor sentiment but is unlikely to move core revenue immediately. Article on semiliquid funds
• Neutral Sentiment: Portfolio rebalancing by Morningstar Investment Management (e.g., shifts in Berkshire, Meta, TSMC) signals client-level activity that informs asset-management revenues but doesn’t change corporate guidance. Portfolio moves
• Negative Sentiment: Insider selling: Chairman Joseph Mansueto has executed several small open‑market sales this week (multiple Form 4 filings). While tiny vs. his stake, visible insider sales can create short‑term caution among investors. SEC filing
• Negative Sentiment: Margin and profit headwinds: operating profit and net income were down year-over-year despite revenue growth — investors should watch margin trends and expense pacing in coming quarters. Earnings rundown

Wall Street Analyst Weigh In

Several research analysts have commented on MORN shares. UBS Group set a $280.00 price objective on Morningstar in a report on Friday. Wall Street Zen raised Morningstar from a “hold” rating to a “buy” rating in a research report on Friday, January 23rd. Weiss Ratings lowered Morningstar from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Thursday. Finally, BMO Capital Markets set a $250.00 price objective on Morningstar in a report on Thursday, October 30th. Two equities research analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat, Morningstar currently has an average rating of “Hold” and a consensus price target of $265.00.

Morningstar Company Profile

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.