Morningstar (MORN) Fell Due to a Pullback in the Information Services Sector

3 hours ago 2

Soumya Eswaran

Mon, November 17, 2025 astatine 8:42 AM CST 3 min read

Baron Funds, an concern absorption company, released its “Baron FinTech Fund” third-quarter 2025 capitalist letter. A transcript of the missive tin beryllium downloaded here. In the 3rd quarter, the money fell 4.29% (Institutional Shares) compared to a 1.90% diminution for the FactSet Global FinTech Index (Benchmark). Since its inception, the money has appreciated astatine an annualized complaint of 11.10%, compared to a 4.00% instrumentality for the Benchmark. The marketplace spot successful the 4th was chiefly driven by the resumption of Federal Reserve (the Fed) complaint cuts and AI optimism. In addition, delight cheque the fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its third-quarter 2025 capitalist letter, Baron FinTech Fund highlighted stocks specified arsenic Morningstar, Inc. (NASDAQ:MORN). Headquartered successful Chicago, Illinois, Morningstar, Inc. (NASDAQ:MORN) is simply a starring concern probe services provider. On November 15, 2025, Morningstar, Inc. (NASDAQ:MORN) banal closed astatine $211.95 per share. One-month instrumentality of Morningstar, Inc. (NASDAQ:MORN) was -2.86%, and its shares mislaid 36.61% of their worth implicit the past 52 weeks. Morningstar, Inc. (NASDAQ:MORN) has a marketplace capitalization of $8.801 billion.

Baron FinTech Fund stated the pursuing regarding Morningstar, Inc. (NASDAQ:MORN) successful its 3rd 4th 2025 capitalist letter:

"Morningstar, Inc. (NASDAQ:MORN) is simply a starring information supplier for the concern community. Shares declined alongside a broad-based pullback successful accusation services stocks owed to perceived threats from generative AI and a marketplace rotation distant from high-quality companies. AI concerns were apt amplified by a humble slowdown successful PitchBook, Morningstar’s backstage markets information and probe platform, which inactive grew gross by 10% successful the caller quarter. We judge these concerns are overdone and expect that Morningstar’s concern information and PitchBook’s proprietary insights volition stay highly invaluable to clients. We proceed to ain the banal and expect faster gross maturation with continued borderline enlargement implicit time."

Morningstar, Inc. (NASDAQ:MORN) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 44 hedge money portfolios held Morningstar, Inc. (NASDAQ:MORN) astatine the extremity of the 2nd quarter, up from 41 successful the erstwhile quarter. While we admit the imaginable of Morningstar, Inc. (NASDAQ:MORN) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.