Morningstar (NASDAQ:MORN) Announces Quarterly Earnings Results, Beats Estimates By $0.27 EPS

Morningstar (NASDAQ:MORN) posted its quarterly earnings results on Wednesday. The business services provider reported $3.10 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.83 by $0.27, FiscalAI reports. Morningstar had a return on equity of 33.14% and a net margin of 16.06%.The company had revenue of $663.20 million for the quarter, compared to analyst estimates of $649.72 million.

Morningstar Stock Performance

Shares of MORN traded up $4.54 during mid-day trading on Wednesday, reaching $198.66. 1,035,246 shares of the company’s stock were exchanged, compared to its average volume of 529,482. The business’s fifty day simple moving average is $171.61 and its 200-day simple moving average is $177.40. The stock has a market capitalization of $7.56 billion, a PE ratio of 20.23 and a beta of 1.01. Morningstar has a 52-week low of $141.49 and a 52-week high of $289.63. The company has a debt-to-equity ratio of 1.66, a current ratio of 1.03 and a quick ratio of 1.03.

Insider Buying and Selling

In other news, Chairman Joseph D. Mansueto sold 2,270 shares of the stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $176.72, for a total transaction of $401,154.40. Following the completion of the sale, the chairman owned 8,043,492 shares in the company, valued at approximately $1,421,445,906.24. This represents a 0.03% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Michael Holt sold 270 shares of Morningstar stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $166.05, for a total value of $44,833.50. Following the completion of the transaction, the chief financial officer owned 12,326 shares in the company, valued at $2,046,732.30. This trade represents a 2.14% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 64,720 shares of company stock worth $11,169,471 in the last 90 days. Company insiders own 38.80% of the company’s stock.

Hedge Funds Weigh In On Morningstar

Several institutional investors have recently bought and sold shares of the company. Measured Wealth Private Client Group LLC purchased a new stake in shares of Morningstar in the third quarter valued at about $26,000. Osterweis Capital Management Inc. acquired a new position in Morningstar during the 2nd quarter worth approximately $29,000. Quarry LP raised its stake in shares of Morningstar by 51.2% during the 4th quarter. Quarry LP now owns 189 shares of the business services provider’s stock worth $41,000 after buying an additional 64 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in shares of Morningstar by 23.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 178 shares of the business services provider’s stock worth $53,000 after buying an additional 34 shares in the last quarter. Finally, Geneos Wealth Management Inc. grew its holdings in 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 period. 57.02% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several analysts recently weighed in on the stock. Weiss Ratings raised shares of Morningstar from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, July 15th. BMO Capital Markets reiterated an “outperform” rating and set a $212.00 target price on shares of Morningstar in a research note on Friday, June 26th. Wall Street Zen raised Morningstar from a “hold” rating to a “buy” rating in a report on Sunday, June 21st. Rothschild & Co Redburn set a $210.00 price objective on Morningstar in a research report on Thursday, June 18th. Finally, UBS Group decreased their target price on Morningstar from $280.00 to $260.00 and set a “buy” rating for the company in a research note on Tuesday, July 7th. Two investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $227.33.

About Morningstar

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.