Overview

* Morningstar Q2 rev grows 5.8%, beating analyst expectations, per LSEG data

* Adjusted EPS for Q2 beats consensus

* Co repurchased 398,442 shares for $112.0 mln, indicating strategic capital allocation

Result Drivers

* PITCHBOOK GROWTH - PitchBook platform revenue rose 9.8%, driven by increased licensed users, particularly in investor and advisor client segments

* MORNINGSTAR DIRECT - Morningstar Direct Platform revenue increased 6.2%, supported by higher managed investment data revenue and geographic growth

* MORNINGSTAR CREDIT - Revenue from Morningstar Credit grew 9.5%, fueled by higher securities ratings revenue and licensed data revenue

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $605.10 $604.60

Revenue mln mln (2

Analysts

)

Q2 Beat $2.4 $2.19 (2

Adjusted Analysts

EPS )

Q2 EPS $2.09

Q2 Net $89 mln

Income

Q2 $125.10

Operatin mln

g Income

Q2 20.7%

Operatin

g Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the professional information services peer group is "buy"

* Wall Street's median 12-month price target for Morningstar Inc ( MORN ) is $350.00, about 18.1% above its July 29 closing price of $286.81

* The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 32 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)