MORN
Morningstar, Inc.
Financial - Data & Stock Exchanges
Market Cap$6.77B
5Y Perf.+16.0%
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Stock Comparison
MORN vs FDS
Revenue, margins, valuation, and 5-year total return — side by side.
FDS
FactSet Research Systems Inc.
Financial - Data & Stock Exchanges
Market Cap$9.63B
5Y Perf.-27.2%
MORN vs FDS — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | MORN | FDS |
|---|---|---|
| Industry | Financial - Data & Stock Exchanges | Financial - Data & Stock Exchanges |
| Market Cap | $6.77B | $9.63B |
| Revenue (TTM) | $2.45B | $2.32B |
| Net Income (TTM) | $403M | $600M |
| Gross Margin | 61.0% | 52.7% |
| Operating Margin | 21.5% | 32.2% |
| Forward P/E | 15.0x | 12.6x |
| Total Debt | $1.41B | $1.56B |
| Cash & Equiv. | $475M | $338M |
MORN vs FDS — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
MORN
FDS
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Morningstar, Inc. (MORN) | 100 | 116.0 | +16.0% |
| FactSet Research Sy… (FDS) | 100 | 72.8 | -27.2% |
Price return only. Dividends and distributions are not included.
Quick Verdict: MORN vs FDS
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: FDS leads in 5 of 7 categories, making it the strongest pick for valuation and capital efficiency and profitability and margin quality. Morningstar, Inc. is the stronger pick specifically for growth and revenue expansion and recent price momentum and sentiment. As sector peers, any of these can serve as alternatives in the same allocation.
MORN
Morningstar, Inc.
The Banking Pick
MORN is the clearest fit if your priority is growth exposure and long-term compounding.
- Rev growth 7.5%, EPS growth 3.4%
- 131.7% 10Y total return vs FDS's 68.6%
- 7.5% NII/revenue growth vs FDS's 5.4%
Best for: growth exposure and long-term compounding
FDS
FactSet Research Systems Inc.
The Banking Pick
FDS carries the broadest edge in this set and is the clearest fit for income & stability and sleep-well-at-night.
- Dividend streak 21 yrs, beta 0.43, yield 1.9%
- Lower volatility, beta 0.43, Low D/E 71.3%, current ratio 1.40x
- PEG 1.26 vs MORN's 1.32
Best for: income & stability and sleep-well-at-night
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | MORN | 7.5% NII/revenue growth vs FDS's 5.4% |
| Value | FDS | Lower P/E (12.6x vs 15.0x), PEG 1.26 vs 1.32 |
| Quality / Margins | FDS | Efficiency ratio 0.2% vs MORN's 0.4% (lower = leaner) |
| Stability / Safety | FDS | Beta 0.43 vs MORN's 0.52, lower leverage |
| Dividends | FDS | 1.9% yield, 21-year raise streak, vs MORN's 1.0% |
| Momentum (1Y) | MORN | -39.6% vs FDS's -48.1% |
| Efficiency (ROA) | FDS | Efficiency ratio 0.2% vs MORN's 0.4% |
MORN vs FDS — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2011
MORN vs FDS — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLFDSLAGGINGMORN
MORNMorningstar, Inc.
1leads
FDSFactSet Research Syst…
4leads
6 Total Categories
CATEGORYLEADERvs MORNMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
FDS3/5
Valuation MetricsMultiples, price ratios, and targets
FDS4/7
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
FDS6/9
Total Returns1Y, 3Y, 5Y total returns with dividends
MORN5/6
Risk & VolatilityBeta, volatility, and downside exposure
Tied
—
Analyst OutlookRatings, price targets, and dividends
FDS2/2
Income & Cash Flow (Last 12 Months)
FDS leads this category, winning 3 of 5 comparable metrics.
Income & Cash Flow (Last 12 Months)
MORN and FDS operate at a comparable scale, with $2.4B and $2.3B in trailing revenue. FDS is the more profitable business, keeping 25.7% of every revenue dollar as net income compared to MORN's 15.3%.
| Metric | MORNMorningstar, Inc. | FDSFactSet Research … |
|---|---|---|
| RevenueTrailing 12 months | $2.4B | $2.3B |
| EBITDAEarnings before interest/tax | $763M | $947M |
| Net IncomeAfter-tax profit | $403M | $600M |
| Free Cash FlowCash after capex | $437M | $647M |
| Gross MarginGross profit ÷ Revenue | +61.0% | +52.7% |
| Operating MarginEBIT ÷ Revenue | +21.5% | +32.2% |
| Net MarginNet income ÷ Revenue | +15.3% | +25.7% |
| FCF MarginFCF ÷ Revenue | +18.1% | +26.6% |
| Rev. Growth (YoY)Latest quarter vs prior year | — | — |
| EPS Growth (YoY)Latest quarter vs prior year | +50.0% | +4.4% |
FDS leads this category, winning 3 of 5 comparable metrics.
Valuation Metrics
FDS leads this category, winning 4 of 7 comparable metrics.
Valuation Metrics
At 14.4x trailing earnings, FDS trades at a 28% valuation discount to MORN's 20.1x P/E. Adjusting for growth (PEG ratio), FDS offers better value at 1.44x vs MORN's 1.77x — a lower PEG means you pay less per unit of expected earnings growth.
| Metric | MORNMorningstar, Inc. | FDSFactSet Research … |
|---|---|---|
| Market CapShares × price | $6.8B | $9.6B |
| Enterprise ValueMkt cap + debt − cash | $7.7B | $10.9B |
| Trailing P/EPrice ÷ TTM EPS | 20.06x | 14.40x |
| Forward P/EPrice ÷ next-FY EPS est. | 14.95x | 12.62x |
| PEG RatioP/E ÷ EPS growth rate | 1.77x | 1.44x |
| EV / EBITDAEnterprise value multiple | 10.75x | 11.59x |
| Price / SalesMarket cap ÷ Revenue | 2.77x | 4.15x |
| Price / BookPrice ÷ Book value/share | 6.14x | 3.93x |
| Price / FCFMarket cap ÷ FCF | 15.29x | 15.60x |
FDS leads this category, winning 4 of 7 comparable metrics.
Profitability & Efficiency
FDS leads this category, winning 6 of 9 comparable metrics.
Profitability & Efficiency
MORN delivers a 30.0% return on equity — every $100 of shareholder capital generates $30 in annual profit, vs $28 for FDS. FDS carries lower financial leverage with a 0.71x debt-to-equity ratio, signaling a more conservative balance sheet compared to MORN's 1.15x. On the Piotroski fundamental quality scale (0–9), FDS scores 7/9 vs MORN's 6/9, reflecting strong financial health.
| Metric | MORNMorningstar, Inc. | FDSFactSet Research … |
|---|---|---|
| ROE (TTM)Return on equity | +30.0% | +27.7% |
| ROA (TTM)Return on assets | +10.9% | +14.2% |
| ROICReturn on invested capital | +15.3% | +15.5% |
| ROCEReturn on capital employed | +20.6% | +20.9% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 7 |
| Debt / EquityFinancial leverage | 1.15x | 0.71x |
| Net DebtTotal debt minus cash | $933M | $1.2B |
| Cash & Equiv.Liquid assets | $475M | $338M |
| Total DebtShort + long-term debt | $1.4B | $1.6B |
| Interest CoverageEBIT ÷ Interest expense | 12.40x | 14.22x |
FDS leads this category, winning 6 of 9 comparable metrics.
Total Returns (Dividends Reinvested)
MORN leads this category, winning 5 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in FDS five years ago would be worth $7,219 today (with dividends reinvested), compared to $7,093 for MORN. Over the past 12 months, MORN leads with a -39.6% total return vs FDS's -48.1%. The 3-year compound annual growth rate (CAGR) favors MORN at -0.7% vs FDS's -16.3% — a key indicator of consistent wealth creation.
| Metric | MORNMorningstar, Inc. | FDSFactSet Research … |
|---|---|---|
| YTD ReturnYear-to-date | -15.0% | -21.0% |
| 1-Year ReturnPast 12 months | -39.6% | -48.1% |
| 3-Year ReturnCumulative with dividends | -2.2% | -41.3% |
| 5-Year ReturnCumulative with dividends | -29.1% | -27.8% |
| 10-Year ReturnCumulative with dividends | +131.7% | +68.6% |
| CAGR (3Y)Annualised 3-year return | -0.7% | -16.3% |
MORN leads this category, winning 5 of 6 comparable metrics.
Risk & Volatility
Evenly matched — MORN and FDS each lead in 1 of 2 comparable metrics.
Risk & Volatility
FDS is the less volatile stock with a 0.43 beta — it tends to amplify market swings less than MORN's 0.52 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. MORN currently trades 56.2% from its 52-week high vs FDS's 47.2% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | MORNMorningstar, Inc. | FDSFactSet Research … |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.52x | 0.43x |
| 52-Week HighHighest price in past year | $316.71 | $474.79 |
| 52-Week LowLowest price in past year | $149.08 | $189.07 |
| % of 52W HighCurrent price vs 52-week peak | +56.2% | +47.2% |
| RSI (14)Momentum oscillator 0–100 | 42.1 | 39.7 |
| Avg Volume (50D)Average daily shares traded | 509K | 908K |
Evenly matched — MORN and FDS each lead in 1 of 2 comparable metrics.
Analyst Outlook
FDS leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Wall Street rates MORN as "Hold" and FDS as "Hold". Consensus price targets imply 32.9% upside for MORN (target: $237) vs 24.1% for FDS (target: $278). For income investors, FDS offers the higher dividend yield at 1.86% vs MORN's 1.02%.
| Metric | MORNMorningstar, Inc. | FDSFactSet Research … |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Hold |
| Price TargetConsensus 12-month target | $236.50 | $277.89 |
| # AnalystsCovering analysts | 6 | 28 |
| Dividend YieldAnnual dividend ÷ price | +1.0% | +1.9% |
| Dividend StreakConsecutive years of raises | 12 | 21 |
| Dividend / ShareAnnual DPS | $1.82 | $4.17 |
| Buyback YieldShare repurchases ÷ mkt cap | +11.6% | +3.1% |
FDS leads this category, winning 2 of 2 comparable metrics.
Key Takeaway
FDS leads in 4 of 6 categories (Income & Cash Flow, Valuation Metrics). MORN leads in 1 (Total Returns). 1 tied.
Best OverallFactSet Research Systems In… (FDS)Leads 4 of 6 categories
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MORN vs FDS: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is MORN or FDS a better buy right now?
For growth investors, Morningstar, Inc.
(MORN) is the stronger pick with 7. 5% revenue growth year-over-year, versus 5. 4% for FactSet Research Systems Inc. (FDS). FactSet Research Systems Inc. (FDS) offers the better valuation at 14. 4x trailing P/E (12. 6x forward), making it the more compelling value choice. Analysts rate Morningstar, Inc. (MORN) a "Hold" — based on 6 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — MORN or FDS?
On trailing P/E, FactSet Research Systems Inc.
(FDS) is the cheapest at 14. 4x versus Morningstar, Inc. at 20. 1x. On forward P/E, FactSet Research Systems Inc. is actually cheaper at 12. 6x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: FactSet Research Systems Inc. wins at 1. 26x versus Morningstar, Inc. 's 1. 32x — a reasonable growth-adjusted valuation.
03Which is the better long-term investment — MORN or FDS?
Over the past 5 years, FactSet Research Systems Inc.
(FDS) delivered a total return of -27. 8%, compared to -29. 1% for Morningstar, Inc. (MORN). Over 10 years, the gap is even starker: MORN returned +131. 7% versus FDS's +68. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — MORN or FDS?
By beta (market sensitivity over 5 years), FactSet Research Systems Inc.
(FDS) is the lower-risk stock at 0. 43β versus Morningstar, Inc. 's 0. 52β — meaning MORN is approximately 21% more volatile than FDS relative to the S&P 500. On balance sheet safety, FactSet Research Systems Inc. (FDS) carries a lower debt/equity ratio of 71% versus 115% for Morningstar, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — MORN or FDS?
By revenue growth (latest reported year), Morningstar, Inc.
(MORN) is pulling ahead at 7. 5% versus 5. 4% for FactSet Research Systems Inc. (FDS). On earnings-per-share growth, the picture is similar: FactSet Research Systems Inc. grew EPS 11. 8% year-over-year, compared to 3. 4% for Morningstar, Inc.. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — MORN or FDS?
FactSet Research Systems Inc.
(FDS) is the more profitable company, earning 25. 7% net margin versus 15. 3% for Morningstar, Inc. — meaning it keeps 25. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: FDS leads at 32. 2% versus 21. 5% for MORN. At the gross margin level — before operating expenses — MORN leads at 61. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is MORN or FDS more undervalued right now?
The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.
By this metric, FactSet Research Systems Inc. (FDS) is the more undervalued stock at a PEG of 1. 26x versus Morningstar, Inc. 's 1. 32x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, FactSet Research Systems Inc. (FDS) trades at 12. 6x forward P/E versus 15. 0x for Morningstar, Inc. — 2. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for MORN: 32. 9% to $236. 50.
08Which pays a better dividend — MORN or FDS?
All stocks in this comparison pay dividends.
FactSet Research Systems Inc. (FDS) offers the highest yield at 1. 9%, versus 1. 0% for Morningstar, Inc. (MORN).
09Is MORN or FDS better for a retirement portfolio?
For long-horizon retirement investors, FactSet Research Systems Inc.
(FDS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 43), 1. 9% yield). Both have compounded well over 10 years (FDS: +68. 6%, MORN: +131. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between MORN and FDS?
Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: MORN is a small-cap quality compounder stock; FDS is a small-cap deep-value stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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Revenue Growth>
%
(MORN: 7.5% · FDS: 5.4%)Net Margin>
%
(MORN: 15.3% · FDS: 25.7%)P/E Ratio<
x
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