(MORN) Morningstar - Overview
Sector: Financial Services | Industry: Financial Data & Stock Exchanges | Exchange: NASDAQ (USA) | Market Cap: 6.922m USD | Total Return: -39% in 12m
Avg Turnover: 88.5M
EPS Trend: 94.1%
Qual. Beats: 2
Rev. Trend: 99.4%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Shakeout
Morningstar, Inc. is a global provider of independent investment research and data services, operating across five primary segments: Morningstar Direct, PitchBook, Morningstar Credit, Morningstar Wealth, and Morningstar Retirement. The company serves a diverse client base including individual investors, financial advisors, asset managers, and retirement plan providers.
The business model relies heavily on recurring subscription revenue and asset-based fees, a common characteristic of the Financial Exchanges & Data sub-industry. By integrating proprietary data with software platforms like PitchBook and Sustainalytics, Morningstar maintains high switching costs for professional users who depend on its benchmarks and private market analytics.
For a deeper look into the companys valuation metrics and historical performance, consider checking ValueRay. Morningstar’s expansion into ESG ratings and credit analytics reflects a broader industry trend toward diversifying revenue streams beyond traditional mutual fund data.
- PitchBook platform revenue growth sustains high double-digit subscription expansion
- Asset-based fees fluctuate with global equity market performance and AUM levels
- Expense management and margin expansion initiatives drive increased operational leverage
- Demand for independent ESG research and credit ratings influences recurring revenue
- Private market data adoption offsets volatility in traditional retail investment research
| Net Income: 402.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA -1.52 > 1.0 |
| NWC/Revenue: 1.30% < 20% (prev 4.32%; Δ -3.02% < -1%) |
| CFO/TA 0.15 > 3% & CFO 590.2m > Net Income 402.8m |
| Net Debt (1.57b) to EBITDA (773.3m): 2.03 < 3 |
| Current Ratio: 1.03 > 1.5 & < 3 |
| Outstanding Shares: last quarter (39.3m) vs 12m ago -8.82% < -2% |
| Gross Margin: 61.71% > 18% (prev 60.72%; Δ 0.99% > 0.5%) |
| Asset Turnover: 66.25% > 50% (prev 64.53%; Δ 1.72% > 0%) |
| Interest Coverage Ratio: 12.40 > 6 (EBIT TTM 579.0m / Interest Expense TTM 46.7m) |
| A: 0.01 (Total Current Assets 1.06b - Total Current Liabilities 1.03b) / Total Assets 3.99b |
| B: 0.58 (Retained Earnings 2.29b / Total Assets 3.99b) |
| C: 0.15 (EBIT TTM 579.0m / Avg Total Assets 3.79b) |
| D: 0.34 (Book Value of Equity 1.02b / Total Liabilities 2.97b) |
| Altman-Z'' = 3.32 = A |
| DSRI: 1.10 (Receivables 418.0m/351.5m, Revenue 2.51b/2.31b) |
| GMI: 0.98 (GM 60.72% / 61.71%) |
| AQI: 1.04 (AQ_t 0.63 / AQ_t-1 0.61) |
| SGI: 1.08 (Revenue 2.51b / 2.31b) |
| TATA: -0.05 (NI 402.8m - CFO 590.2m) / TA 3.99b) |
| Beneish M = -2.88 (Cap -4..+1) = A |
As of June 08, 2026, the stock is trading at USD 185.76 with a total of 418,791 shares traded.
Over the past week, the price has changed by +2.05%,
over one month by +4.41%,
over three months by -2.47% and
over the past year by -38.98%.
Morningstar has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy MORN.
- StrongBuy: 1
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 252.3 | 35.8% |
P/E Trailing = 18.6305
P/E Forward = 16.2866
P/S = 2.7595
P/B = 6.7944
P/EG = 2.31
Revenue TTM = 2.51b USD
EBIT TTM = 579.0m USD
EBITDA TTM = 773.3m USD
Long Term Debt = 1.69b USD (from longTermDebt, last quarter)
Short Term Debt = 60.9m USD (from shortTermDebt, last quarter)
Debt = 2.10b USD (from shortLongTermDebtTotal, last quarter) + Leases 193.7m
Net Debt = 1.57b USD (calculated: Debt 2.10b - CCE 532.2m)
Enterprise Value = 8.49b USD (6.92b + Debt 2.10b - CCE 532.2m)
Interest Coverage Ratio = 12.40 (Ebit TTM 579.0m / Interest Expense TTM 46.7m)
EV/FCF = 19.41x (Enterprise Value 8.49b / FCF TTM 437.4m)
FCF Yield = 5.15% (FCF TTM 437.4m / Enterprise Value 8.49b)
FCF Margin = 17.44% (FCF TTM 437.4m / Revenue TTM 2.51b)
Net Margin = 16.06% (Net Income TTM 402.8m / Revenue TTM 2.51b)
Gross Margin = 61.71% ((Revenue TTM 2.51b - Cost of Revenue TTM 960.4m) / Revenue TTM)
Gross Margin QoQ = 62.95% (prev 61.13%)
Tobins Q-Ratio = 2.13 (Enterprise Value 8.49b / Total Assets 3.99b)
Interest Expense / Debt = 2.22% (Interest Expense 46.7m / Debt 2.10b)
Taxrate = 24.21% (128.7m / 531.5m)
NOPAT = 438.8m (EBIT 579.0m * (1 - 24.21%))
Current Ratio = 1.03 (Total Current Assets 1.06b / Total Current Liabilities 1.03b)
Debt / Equity = 2.06 (Debt 2.10b / totalStockholderEquity, last quarter 1.02b)
Debt / EBITDA = 2.03 (Net Debt 1.57b / EBITDA 773.3m)
Debt / FCF = 3.58 (Net Debt 1.57b / FCF TTM 437.4m)
Total Stockholder Equity = 1.34b (last 4 quarters mean from totalStockholderEquity)
RoA = 10.64% (Net Income 402.8m / Total Assets 3.99b)
RoE = 30.01% (Net Income TTM 402.8m / Total Stockholder Equity 1.34b)
RoCE = 19.07% (EBIT 579.0m / Capital Employed (Equity 1.34b + L.T.Debt 1.69b))
RoIC = 15.18% (NOPAT 438.8m / Invested Capital 2.89b)
WACC = 6.65% (E(6.92b)/V(9.02b) * Re(8.15%) + D(2.10b)/V(9.02b) * Rd(2.22%) * (1-Tc(0.24)))
Discount Rate = 8.15% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -53.55 | Cagr: -3.92%
[DCF] Terminal Value 75.11% ; FCFF base≈441.7m ; Y1≈434.6m ; Y5≈442.1m
[DCF] Fair Price = 140.4 (EV 6.91b - Net Debt 1.57b = Equity 5.34b / Shares 38.0m; r=8.35% [WACC [floored]]; 5y FCF grow -2.41% → 2.50% )
EPS Correlation: 94.07 | EPS CAGR: 68.40% | SUE: 1.71 | # QB: 2
Revenue Correlation: 99.38 | Revenue CAGR: 9.85% | SUE: 0.07 | # QB: 0
EPS current Quarter (2026-06-30): EPS=2.82 | Chg30d=+1.35% | Revisions=+33% | Analysts=2
EPS next Quarter (2026-09-30): EPS=2.91 | Chg30d=-0.39% | Revisions=+0% | Analysts=2
EPS current Year (2026-12-31): EPS=11.90 | Chg30d=+4.74% | Revisions=+20% | GrowthEPS=+20.7% | GrowthRev=+7.3%
EPS next Year (2027-12-31): EPS=13.23 | Chg30d=+2.04% | Revisions=+33% | GrowthEPS=+11.2% | GrowthRev=+6.9%
[Analyst] Revisions Ratio: +33%