Morningstar (NASDAQ:MORN) Shares Down 7.6% – What’s Next?

Shares of Morningstar, Inc. (NASDAQ:MORN) dropped 7.6% during trading on Tuesday . The stock traded as low as $184.28 and last traded at $183.2290. Approximately 72,755 shares changed hands during mid-day trading, a decline of 81% from the average daily volume of 380,878 shares. The stock had previously closed at $198.29.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on MORN shares. Wall Street Zen upgraded shares of Morningstar from a “hold” rating to a “buy” rating in a report on Friday, January 23rd. BMO Capital Markets set a $250.00 target price on Morningstar in a research note on Thursday, October 30th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Morningstar in a report on Monday, December 29th. Finally, UBS Group dropped their price target on Morningstar from $350.00 to $320.00 and set a “buy” rating on the stock in a report on Thursday, October 30th. Two equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $285.00.

Morningstar Stock Down 6.2%

The firm has a market capitalization of $6.96 billion, a PE ratio of 19.26 and a beta of 1.08. The stock has a 50-day simple moving average of $211.43 and a 200-day simple moving average of $230.00. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.56.

Morningstar Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Friday, October 2nd will be given a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date is Friday, October 2nd. Morningstar’s dividend payout ratio (DPR) is currently 22.75%.

Insider Activity

In related news, Director Caroline J. Tsay sold 600 shares of the company’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 sale, the director directly owned 3,745 shares in the company, valued at approximately $818,207.60. This represents a 13.81% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Chairman Joseph D. Mansueto sold 7,250 shares of Morningstar stock in a transaction that occurred on Wednesday, November 12th. The shares were sold at an average price of $215.03, for a total transaction of $1,558,967.50. Following the completion of the transaction, the chairman owned 8,646,304 shares of the company’s stock, valued at $1,859,214,749.12. This represents a 0.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 38,839 shares of company stock valued at $8,257,072 in the last quarter. Corporate insiders own 36.20% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. AlphaCore Capital LLC bought a new stake in Morningstar during the fourth quarter valued at $334,000. Thrivent Financial for Lutherans raised its holdings in shares of Morningstar by 176.5% in the 4th quarter. Thrivent Financial for Lutherans now owns 35,185 shares of the business services provider’s stock valued at $7,629,000 after acquiring an additional 22,459 shares in the last quarter. New York Life Investment Management LLC bought a new stake in shares of Morningstar during the 4th quarter valued at about $480,000. Allworth Financial LP grew its holdings in shares of Morningstar by 173.1% during the fourth quarter. Allworth Financial LP now owns 732 shares of the business services provider’s stock worth $159,000 after purchasing an additional 464 shares in the last quarter. Finally, Diversify Wealth Management LLC increased its position in shares of Morningstar by 2.0% in the fourth quarter. Diversify Wealth Management LLC now owns 4,168 shares of the business services provider’s stock worth $900,000 after purchasing an additional 82 shares during the last quarter. Institutional investors own 57.02% of the company’s stock.

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.