Stock fact sheet · data as of
Morningstar, Inc. (MORN): fair value, margin of safety and Wheel Score
Ticker symbol MORN · Financial Services · Financial - Data & Stock Exchanges · United States · Growth Quality
Is MORN undervalued?
At 244.25 (close of 5 Nov 2026), MORN trades 17% under the GLS average fair value of 295.15. 5 of the 9 models that produced a value land above the price. A discount of this size counts as a positive margin of safety in every GLS scan; whether it is enough depends on the rest of the picture - the health score, the moat and the option premium below.
The 9 models disagree widely: DDM gives 29.43 while GLS Growth gives 729.24. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, MORN is clearly faster-growing than it is cheap, so the nightly engine files it under Growth (value score 31, growth score 68, out of 100). It also carries the Quality tag (Quality = moat 7.5+ out of 10 and Piotroski 7+).
Nine valuation models for MORN
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 247.56 | +1% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 85.73 | -65% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 393.43 | +61% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 150.56 | -38% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 729.24 | +199% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 366.27 | +50% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 521.76 | +114% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 29.43 | -88% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 132.35 | -46% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -35.85 | -115% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 227.33 | -7% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health MORN scores 8/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is 8.8 out of 10 - high returns on capital, steady margins and growth that held up through bad years point to a durable business.
Returns on capital are high - ROIC 14.2%, ROE 30.6%, ROA 10.4% - with debt at 1.15 times equity and a free-cash-flow yield of 5.4%.
The dividend yield is 0.82% with a payout ratio of 17% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Licensed Based 68%, Transaction Based 16%, Asset Based 15% (quarter Q3 FY2026).
Institutional ownership scores 8/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 8 / 9 | ROIC | 14.2% |
|---|---|---|---|
| GLS Moat | 8.8 / 10 | ROE | 30.6% |
| Debt / equity | 1.15 | ROA | 10.4% |
| Free-cash-flow yield | 5.4% | Payout ratio | 17% |
| Institutions | 8 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 50: Fair
MORN scores 50 out of 100 on the Wheel Score (Fair band, 50-69) because it fails filter 1, options that actually trade - options too quiet (252 open interest, 83 a day). A stock must pass all 9 Wheel Trade Filters to reach 70. Otherwise the parts read: value fair, premium strong, moat strong, health strong, red flags strong, option trading weak, stability good.
Implied volatility is 39% on the near-the-money contracts 20-60 days out - inside the 35-60% sweet spot the Wheel Score rewards most: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 252 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 254k shares a day on a market cap of $9.1B, with a beta of 1.02; the Stability part of the Wheel Score rates that good.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Fails | options too quiet (252 open interest, 83 a day) |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Fair | 17% below fair value | |
| Premium | Strong | implied volatility 39% | |
| Moat | Strong | moat 8.8/10 | |
| Health | Strong | Piotroski 8/9 | |
| Red Flags | Strong | Red Flags score 90/100 | |
| Option trading | Weak | 83 contracts a day, 252 open interest | |
| Stability | Good | beta 1.02, $9.1B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for MORN in the nightly calendar.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Financial - Data & Stock Exchanges
The 12 companies below are the closest to Morningstar, Inc. by market cap within the Financial - Data & Stock Exchanges industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| FDS FactSet Research Systems Inc. | 342.19 | 283.81 | -21% | 44Weak | $12.1B |
| TRU TransUnion | 82.13 | 92.99 | +12% | 78Good | $15.7B |
| CBOE Cboe Global Markets, Inc. | 345.21 | 234.08 | -47% | 45Weak | $36.0B |
| COIN Coinbase Global, Inc. | 151.50 | 148.21 | -2% | 33Weak | $40.1B |
| MSCI MSCI Inc. | 674.30 | 388.95 | -73% | 38Weak | $49.0B |
| NDAQ Nasdaq, Inc. | 109.70 | 62.37 | -76% | 44Weak | $61.3B |
| MCO Moody's Corporation | 528.34 | 363.95 | -45% | 41Weak | $91.1B |
| ICE Intercontinental Exchange, Inc. | 174.92 | 156.07 | -12% | 41Weak | $97.8B |
| CME CME Group Inc. | 308.27 | 224.77 | -37% | 40Weak | $110.3B |
| OTCM OTC Markets Group Inc. | 52.45 | 47.22 | -11% | 25No options | $629M |
| SPGI S&P Global Inc. | 481.69 | 308.18 | -56% | 45Weak | $139.6B |
| VALU Value Line, Inc. | 44.40 | 25.42 | -75% | 22No options | $417M |
⚖ Compare MORN with 7 of them All Financial Services stocks →
Scan the whole market the same way
A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about MORN
Is MORN undervalued right now?
By the GLS models, moderately: at 244.25 the stock trades 17% below the average fair value of 295.15 (data as of 5 Nov 2026).
What is the Wheel Score of MORN and what does it mean?
MORN scores 50 out of 100 (Fair) - it fails Wheel Trade Filter 1. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for MORN?
295.15 per share as of 5 Nov 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Morningstar, Inc. report earnings next?
No upcoming earnings date is recorded for MORN in our calendar as of 5 Nov 2026; the Calendars page is refreshed every morning.
Does MORN have listed options, and how liquid are they?
Yes. The nightly snapshot found 86 listed contracts with 252 open interest across all expiries and implied volatility of 39% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.