📊 MORN Key Takeaways
Is Morningstar, Inc. (MORN) a Good Investment?
Morningstar demonstrates strong operational profitability with 24.2% operating margins and robust interest coverage (683.8x), but zero revenue growth and elevated leverage (1.66x D/E) with tight liquidity (1.03x current ratio) constrain near-term upside. Financial fundamentals remain sound with $53.6M FCF generation, but the company shows stagnation requiring catalysts for growth.
Morningstar exhibits strong, durable profitability and cash generation, with high ROE/ROA and exceptional interest coverage underpinning financial resilience. However, top-line growth is flat and near-term liquidity is tight, suggesting fundamentals are solid but not accelerating. Continued margin discipline and cash conversion are strengths, but a reacceleration in revenue would be needed to improve the outlook.
Why Buy Morningstar, Inc. Stock? MORN Key Strengths
- Exceptional operating margins (24.2%) and net margins (16.6%) indicate strong pricing power and cost control
- Outstanding interest coverage (683.8x) demonstrates financial strength and minimal default risk
- Solid free cash flow generation ($53.6M) with healthy 8.3% FCF margin provides financial flexibility
- Strong operating and net margins (21.5%/15.3%)
- High returns on equity and assets
- Robust free cash flow and exceptional interest coverage
MORN Stock Risks: Morningstar, Inc. Investment Risks
- Zero revenue growth (0.0% YoY) signals market stagnation or competitive pressures in investment advisory sector
- Elevated debt-to-equity ratio (1.66x) combined with tight current ratio (1.03x) limits financial flexibility for growth investments
- Minimal net income growth (+1.2% YoY) despite profitability suggests operational headwinds and limited earnings momentum
- Flat revenue growth limiting compounding potential
- Sub-1.0 current ratio indicating tight liquidity
- Potential margin compression if costs rise or mix shifts
Key Metrics to Watch
- Revenue growth trajectory - critical to assess whether stagnation is cyclical or structural
- Current ratio and liquidity position - tight 1.03x ratio vulnerable to operational disruptions
- Debt reduction progress - leverage must decline to support strategic investments and weather market volatility
- Revenue growth (YoY)
- FCF margin
Morningstar, Inc. (MORN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Morningstar, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
MORN Profit Margin, ROE & Profitability Analysis
MORN vs Market Sector: How Morningstar, Inc. Compares
How Morningstar, Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Morningstar, Inc. Stock Overvalued? MORN Valuation Analysis 2026
Based on fundamental analysis, Morningstar, Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Morningstar, Inc. Balance Sheet: MORN Debt, Cash & Liquidity
MORN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Morningstar, Inc.'s revenue has grown significantly by 44% over the 5-year period, indicating strong business expansion. The most recent EPS of $3.29 reflects profitable operations.
MORN Revenue Growth, EPS Growth & YoY Performance
MORN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $581.9M | $78.5M | $1.82 |
| Q3 2025 | $569.4M | $64.2M | $2.17 |
| Q2 2025 | $571.9M | $64.2M | $1.60 |
| Q1 2025 | $542.8M | $64.2M | $1.49 |
| Q3 2024 | $515.5M | -$7.6M | $0.91 |
| Q2 2024 | $504.7M | -$7.6M | $0.67 |
| Q1 2024 | $479.7M | -$7.6M | $-0.18 |
| Q3 2023 | $468.2M | -$7.6M | $-0.21 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Morningstar, Inc. Dividends, Buybacks & Capital Allocation
MORN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Morningstar, Inc. (CIK: 0001289419)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| May 20, 2026 | 4 | xslF345X06/wk-form4_1779311183.xml | View → |
| May 19, 2026 | 4 | xslF345X06/wk-form4_1779234308.xml | View → |
| May 19, 2026 | 4 | xslF345X06/wk-form4_1779234286.xml | View → |
| May 19, 2026 | 4 | xslF345X06/wk-form4_1779234263.xml | View → |
| May 19, 2026 | 4 | xslF345X06/wk-form4_1779234218.xml | View → |
❓ Frequently Asked Questions about MORN
What is the AI rating for MORN?
Morningstar, Inc. (MORN) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 72% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are MORN's key strengths?
Claude: Exceptional operating margins (24.2%) and net margins (16.6%) indicate strong pricing power and cost control. Outstanding interest coverage (683.8x) demonstrates financial strength and minimal default risk. ChatGPT: Strong operating and net margins (21.5%/15.3%). High returns on equity and assets.
What are the risks of investing in MORN?
Claude: Zero revenue growth (0.0% YoY) signals market stagnation or competitive pressures in investment advisory sector. Elevated debt-to-equity ratio (1.66x) combined with tight current ratio (1.03x) limits financial flexibility for growth investments. ChatGPT: Flat revenue growth limiting compounding potential. Sub-1.0 current ratio indicating tight liquidity.
What is MORN's revenue and growth?
Morningstar, Inc. reported revenue of $644.8M.
Does MORN pay dividends?
Morningstar, Inc. pays dividends, with $19.9M distributed to shareholders in the trailing twelve months.
Where can I find MORN SEC filings?
Official SEC filings for Morningstar, Inc. (CIK: 0001289419) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is MORN's EPS?
Morningstar, Inc. has a diluted EPS of $2.73.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is MORN a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Morningstar, Inc. has a HOLD rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is MORN stock overvalued or undervalued?
Valuation metrics for MORN: ROE of 10.5% (sector avg: 15%), net margin of 16.6% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy MORN stock in 2026?
Our dual AI analysis gives Morningstar, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is MORN's free cash flow?
Morningstar, Inc.'s operating cash flow is $91.5M, with capital expenditures of $37.9M. FCF margin is 8.3%.
How does MORN compare to other Market stocks?
Vs Default sector averages: Net margin 16.6% (avg: 12%), ROE 10.5% (avg: 15%), current ratio 1.03 (avg: 1.8).
Is Morningstar, Inc. carrying too much debt?
MORN has a debt-to-equity ratio of 1.66x, which is above the Market sector average of 0.7x. However, the current ratio of 1.03 suggests adequate short-term liquidity.