Morningstar vs MSCI
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KIRA’s take AI analyst
I put Morningstar and MSCI side by side, using each one’s latest annual report. Here is what stands out:
- MSCI is the larger business, with $3.1B of revenue in fiscal 2025 against $2.4B for Morningstar.
- MSCI grew revenue faster (9.8%, against 7.5%).
- MSCI kept more of each dollar of sales as operating profit (54.7% operating margin, against 21.5%).
- MSCI turned more of its sales into free cash flow (49.4% FCF margin, against 18.1%).
- MSCI earned a higher return on the capital invested in it (44.5%, against 22.5%).
- Investors pay more for each dollar of MSCI’s earnings: a P/E of 32.7x against 21.4x for Morningstar.
Who comes out ahead
Of the 9 measures where higher (or lower) is clearly better, how many each company leads.
Morningstar
MORN
1/9
Net debt / EBITDA
MSCI
MSCI
8/9
Revenue growth5-year growthOperating marginNet marginFCF marginReturn on capitalPiotroski F-scoreShare count change
Side by side
Best in the row
| Latest fiscal year | MORN FY25 | MSCI FY25 |
|---|---|---|
| Size | ||
| Market cap | $8.6B | $44.7B |
| Revenue | $2.4B | $3.1B |
| Free cash flow | $443M | $1.5B |
| Net income | $374M | $1.2B |
| Growth | ||
| Revenue growth | 7.5% | 9.8% |
| 5-year growth | 12.0% | 13.1% |
| Share count change | −2.1% | −2.9% |
| Profitability | ||
| Gross margin | 61.0% | — |
| Operating margin | 21.5% | 54.7% |
| Net margin | 15.3% | 38.4% |
| FCF margin | 18.1% | 49.4% |
| Return on capital | 22.5% | 44.5% |
| Return on equity | 26.4% | — |
| Balance sheet | ||
| Net debt | $544M | $5.7B |
| Net debt / EBITDA | 0.8x | 3.3x |
| Dividends and buybacks | $864M | $3.0B |
| Valuation & quality | ||
| P/E | 21.4x | 32.7x |
| Piotroski F-score | 6 | 7 |
Ten years
Revenue
Operating margin
Free cash flow
Return on capital
Each company's latest fiscal year; fiscal years end in different months. The best value in each row is highlighted where higher (or lower) is clearly better. Not investment advice.