Sifting through countless of stocks in the Capital Markets industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Morningstar, Inc. or FactSet Research Systems Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Morningstar, Inc. and FactSet Research Systems Inc. compare based on key financial metrics to determine which better meets your investment needs.

About Morningstar, Inc. and FactSet Research Systems Inc.

Morningstar, Inc. provides independent investment insights for investors in the United States, Asia, Australia, Canada, Continental Europe, the United Kingdom, and internationally. It operates through five segments: Morningstar Direct Platform, PitchBook, Morningstar Credit, Morningstar Wealth, and Morningstar Retirement. The company offers managed investments, including mutual funds, exchanged traded funds, separate accounts, collective investment trusts, model portfolios, equities, and fixed-income securities; Morningstar Direct, an investment analysis and reporting application; and Morningstar Advisor Workstation, a suite of tools to provide advice to clients. It also provides PitchBook that offers data and research covering the private capital markets comprising venture capital, private equity and credit, bank loans, and merger and acquisition activities through the PitchBook platform; Morningstar Model Portfolios, an advisor service with model portfolios for fee-based financial advisors; Morningstar International Wealth Platform, which offers discretionary asset management services; and Morningstar Investor/Morningstar.com, an individual investor platform and media site. In addition, the company offers credit ratings, research, data, and credit analytics solutions through Morningstar DBRS and Morningstar Credit Analytics agencies. Further, it provides managed retirement accounts, fiduciary services, and custom models; Morningstar Sustainalytics that provides environmental, social and governance data, research, and ratings; and Morningstar Indexes that offers market indexes used for performance benchmarks and as the basis for investment products and other portfolio strategies. The company was incorporated in 1984 and is headquartered in Chicago, Illinois.

FactSet Research Systems Inc., together with its subsidiaries, operates as a financial digital platform and enterprise solutions provider for the investment community. It offers data, products, and analytical applications; and workstations, portfolio analytics, and enterprise data solutions, as well as managed services for supporting data, performance, risk, and reporting workflows. The company also provides subscription-based financial data and market intelligence on securities, companies, industries, and people that enable clients to research investment ideas, as well as analyze, monitor, and manage portfolios; and solutions covering investment lifecycle of investment research, portfolio construction and analysis, trade execution, performance measurement, risk management, and reporting. In addition, it offers services through configurable desktop and mobile platform, data feeds, cloud-based digital solutions, and application programming interfaces. It operates in Europe, the Middle East, Africa, the Americas, the Asia Pacific, and internationally. The company serves investment professionals, including institutional asset managers, bankers, wealth managers, asset owners, partners, hedge funds, corporate users, and private equity and venture capital professionals. It has a strategic partnership with Google Cloud to create a new generation of AI-powered solutions for the financial industry. FactSet Research Systems Inc. was founded in 1978 and is headquartered in Norwalk, Connecticut.

Latest Capital Markets and Morningstar, Inc., FactSet Research Systems Inc. Stock News

As of July 2, 2026, Morningstar, Inc. had a $6.3 billion market capitalization, compared to the Capital Markets median of $3.1 million. Morningstar, Inc.’s stock is down 22.9% in 2026, up 8.3% in the previous five trading days and down 46.8% in the past year.

Currently, Morningstar, Inc.’s price-earnings ratio is 17.0. Morningstar, Inc.’s trailing 12-month revenue is $2.5 billion with a 16.1% net profit margin. Year-over-year quarterly sales growth most recently was 10.8%. Analysts expect adjusted earnings to reach $11.923 per share for the current fiscal year. Morningstar, Inc. currently has a 1.2% dividend yield.

As of July 2, 2026, FactSet Research Systems Inc. had a $8.9 billion market cap, putting it in the 76th percentile of all stocks. FactSet Research Systems Inc.’s stock is down 13.1% in 2026, up 8.8% in the previous five trading days and down 44.46% in the past year.

Currently, FactSet Research Systems Inc.’s price-earnings ratio is 16.5. FactSet Research Systems Inc.’s trailing 12-month revenue is $2.4 billion with a 23.2% net profit margin. Year-over-year quarterly sales growth most recently was 6.4%. Analysts expect adjusted earnings to reach $17.794 per share for the current fiscal year. FactSet Research Systems Inc. currently has a 1.9% dividend yield.

How We Compare Morningstar, Inc. and FactSet Research Systems Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Morningstar, Inc. and FactSet Research Systems Inc.’s stock grades to see how they measure up against one another.

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Morningstar, Inc. and FactSet Research Systems Inc. Stock Value Grades

Company	Ticker	Value
Morningstar, Inc.	MORN	C
FactSet Research Systems Inc.	FDS	C

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

Morningstar, Inc. has a Value Score of 47, which is Average. FactSet Research Systems Inc. has a Value Score of 45, which is Average.

The Value Stock Winner: No Clear Winner

Neither Morningstar, Inc. or FactSet Research Systems Inc. has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if Morningstar, Inc. or FactSet Research Systems Inc. is the better investment when it comes to value.

Morningstar, Inc. and FactSet Research Systems Inc.’s Quality Grades

Company	Ticker	Quality
Morningstar, Inc.	MORN	A
FactSet Research Systems Inc.	FDS	A

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

Morningstar, Inc. has a Quality Score of 86, which is Very Strong. FactSet Research Systems Inc. has a Quality Score of 86, which is Very Strong.

The Quality Grade Winner: It’s a Tie!

Looking at the Quality Grade breakdown above, both Morningstar, Inc. and FactSet Research Systems Inc. have a grade of A. For investors who focus solely on a company’s overall quality, you will need to conduct further research into both companies to see if they are a good fit for your portfolio. As a good rule of thumb, you should always analyze multiple factors based on a wide range of metrics before choosing a company to invest in.

Morningstar, Inc. and FactSet Research Systems Inc.’s Momentum Grades

Company	Ticker	Momentum
Morningstar, Inc.	MORN	F
FactSet Research Systems Inc.	FDS	F

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

Morningstar, Inc. has a Momentum Score of 13, which is Very Weak. FactSet Research Systems Inc. has a Momentum Score of 18, which is Very Weak.

The Momentum Stock Winner: No Clear Winner

Neither Morningstar, Inc. or FactSet Research Systems Inc. has a strong enough Momentum Grade to be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Morningstar, Inc. or FactSet Research Systems Inc. is the better investment when it comes to momentum.

Other Morningstar, Inc. and FactSet Research Systems Inc. Grades

In addition to Quality, Momentum and Value, A+ Investor also provides grades for Growth and Estimate Revisions.

Earnings estimate revisions scores take into account the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, surprises beget further surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Growth investing builds on the idea that stocks of companies exhibiting strong, consistent and prolonged growth outperform those of slower-growth companies. AAII measures growth through consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Morningstar, Inc. and FactSet Research Systems Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Morningstar, Inc. or FactSet Research Systems Inc. Stock?

Overall, Morningstar, Inc. stock has a Value Score of 47, Momentum Score of 13 and Quality Score of 86.

FactSet Research Systems Inc. stock has a Value Score of 45, Momentum Score of 18 and Quality Score of 86.

Comparing Morningstar, Inc. and FactSet Research Systems Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.