2024-07-16 02:08:43 ET
Summary
- Although the stock has not reached its former all-time high so far, Morningstar is still reporting solid quarterly results and growing top line with a solid pace.
- In the past, Morningstar's performance was similar to the performance of the stock market and with a recession on the horizon, we should be very cautious.
- Additionally, the stock is still trading for 50 to 60 times earnings and free cash flow, which is rather expensive and making the stock a hold at best.
I published my last article about Morningstar, Inc. ( MORN ) in February 2024, and I rated the stock as a “Hold” (as I rate many stocks at the moment). In my conclusion, I wrote:
Going into the earnings release on Thursday, I would be very cautious about Morningstar. I am not necessarily expecting a huge drop on Thursday following earnings, but I don't see much upside potential in the coming quarters either (and it is not my style of investing - or trading - to buy stocks for a 5-10% potential gain).
Read the full article on Seeking Alpha
For further details see:
Morningstar: Still Holding Up Well, But No Investment