$MORN · Morningstar, Inc.
Morningstar reported Q3 2026 results with revenue of $672.1M (+8.9% YoY), operating income of $167.4M (+31.0%), and adjusted diluted EPS of $3.48 (+36.5%). Organic revenue growth was 6.8%, or 7.8% excluding product sunsets. The company repurchased $100M in shares during the quarter and highlighted the launch of Direct AI with agentic workflows.
- Revenue of $672.1M, up 8.9% reported / 6.8% organic; excluding product sunsets, organic growth was 7.8%.
- Operating income surged 31.0% to $167.4M; operating margin expanded 420 bps to 24.9%.
- Adjusted diluted EPS of $3.48, up 36.5% YoY; GAAP diluted EPS of $3.06, up 41.0%.
- Morningstar Credit led with 18.3% revenue growth ($107.8M); adjusted operating margin hit 37.7%, up 690 bps.
- Share repurchases totaled $100M in Q3 and $500M YTD, reducing shares outstanding by 6.6% since year-end 2025.
Markets closed — no regular-session reaction yet; extended-hours move not captured here. At $214.86, MORN trades near filing-time levels with an $8.06B market cap.
Morningstar's 420 bps margin expansion and $500M YTD buyback program signal strong capital discipline, but PitchBook slowdown and rising interest costs ($17.6M vs. $7.0M) warrant monitoring.
Morningstar's 420 bps operating margin expansion and 36.5% adjusted EPS growth outpace typical financial-data peers, driven by disciplined cost control (compensation costs down $7.9M) and strong credit-ratings issuance tailwinds.
PitchBook platform growth slowed with higher churn in corporate and VC client segments; adjusted operating income declined 1.1%. Morningstar Wealth AUMA dropped 8.5% to $64.8B due to a client loss in Japan. Interest expense nearly doubled YoY to $17.6M from $7.0M, reflecting increased debt load.