Morningstar, Inc. $MORN Shares Sold by Geode Capital Management LLC

Key Points

• Geode Capital Management cut its Morningstar stake by 3.1% in the fourth quarter, selling 18,813 shares and leaving it with 596,982 shares worth about $129.75 million.
• Morningstar recently reported better-than-expected quarterly results, earning $3.18 per share versus the $2.41 estimate and generating $644.8 million in revenue, also topping forecasts.
• Insider selling has continued, including transactions by Chairman Joseph D. Mansueto and CFO Michael Holt; meanwhile, analysts currently rate the stock a mixed “Hold” with an average price target of $236.50.

Geode Capital Management LLC trimmed its holdings in Morningstar, Inc. (NASDAQ:MORN - Free Report) by 3.1% in the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 596,982 shares of the business services provider's stock after selling 18,813 shares during the quarter. Geode Capital Management LLC owned about 1.45% of Morningstar worth $129,750,000 as of its most recent SEC filing.

A number of other hedge funds have also recently added to or reduced their stakes in the company. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in 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 during the last quarter. WPG Advisers LLC grew its stake in Morningstar by 36.0% during the 4th quarter. WPG Advisers LLC now owns 185 shares of the business services provider's stock worth $40,000 after buying an additional 49 shares during the last quarter. Verdence Capital Advisors LLC grew its stake in Morningstar by 3.9% during the 4th quarter. Verdence Capital Advisors LLC now owns 1,423 shares of the business services provider's stock worth $309,000 after buying an additional 54 shares during the last quarter. Clearstead Advisors LLC grew its stake in Morningstar by 54.2% during the 3rd quarter. Clearstead Advisors LLC now owns 165 shares of the business services provider's stock worth $38,000 after buying an additional 58 shares during the last quarter. Finally, Diversify Advisory Services LLC grew its stake in Morningstar by 4.7% during the 3rd quarter. Diversify Advisory Services LLC now owns 1,641 shares of the business services provider's stock worth $350,000 after buying an additional 74 shares during the last quarter. Hedge funds and other institutional investors own 57.02% of the company's stock.

Morningstar Trading Up 1.8%

Shares of MORN stock opened at $183.91 on Friday. The business's 50 day moving average is $175.50 and its two-hundred day moving average is $189.93. Morningstar, Inc. has a twelve month low of $149.08 and a twelve month high of $316.71. The company has a market capitalization of $6.99 billion, a P/E ratio of 18.73 and a beta of 1.00. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 1.66.

Morningstar (NASDAQ:MORN - Get Free Report) last announced its earnings results on Wednesday, April 29th. The business services provider reported $3.18 earnings per share for the quarter, beating the consensus estimate of $2.41 by $0.77. Morningstar had a return on equity of 33.14% and a net margin of 16.06%.The company had revenue of $644.80 million for the quarter, compared to the consensus estimate of $626.91 million.

Morningstar News Roundup

Here are the key news stories impacting Morningstar this week:

• Positive Sentiment: Morningstar’s SpaceX valuation has put the company in the spotlight and reinforces its role as a closely watched independent research provider, which can boost brand visibility. Article: Here's how SpaceX is pitching its IPO to everyday investors
• Positive Sentiment: Several outlets amplified Morningstar’s “significantly overvalued” view on SpaceX, increasing the reach of its analysis and potentially highlighting the firm’s influence on market debate. Article: Morningstar says SpaceX is 'significantly overvalued'
• Neutral Sentiment: Morningstar also appeared in a broader market commentary on single-stock turbulence and downside risk, but this piece is more about the market than the company itself. Article: How single-stock turbulence presents 'asymmetric' downside risk for a rather calm S&P 500
• Neutral Sentiment: Morningstar-related commentary on technology stock value and IPO pricing adds to visibility, but it is unlikely to have a direct material impact on MORN shares by itself. Article: 10 Technology Stocks Offering More than 50% Upside
• Negative Sentiment: One recent report also noted Morningstar shares had fallen sharply earlier in the week, reflecting recent weakness even before the SpaceX coverage dominated headlines. Article: Morningstar Inc (MORN) Shares Fall 5.3% -- What GF Score of 82 Tells Investors

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the company. Wall Street Zen upgraded Morningstar from a "hold" rating to a "buy" rating in a research note on Saturday, May 2nd. UBS Group set a $280.00 price target on Morningstar in a research note on Friday, February 13th. BMO Capital Markets dropped their price target on Morningstar from $257.00 to $193.00 and set an "outperform" rating on the stock in a research note on Tuesday, February 17th. Finally, Weiss Ratings downgraded Morningstar from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Thursday, April 9th. Two investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Morningstar currently has an average rating of "Hold" and an average price target of $236.50.

Insider Activity

In other news, Chairman Joseph D. Mansueto sold 2,270 shares of the firm's stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $176.72, for a total value of $401,154.40. Following the completion of the sale, the chairman directly owned 8,043,492 shares of the company's stock, valued at $1,421,445,906.24. This trade represents a 0.03% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Michael Holt sold 270 shares of the firm's 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 sale, the chief financial officer directly owned 12,326 shares of the company's stock, valued at $2,046,732.30. This represents a 2.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 64,720 shares of company stock valued at $11,169,471 in the last three months. 38.80% of the stock is currently owned by company insiders.

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.

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