Thomson Reuters (TRI) Competitors

Morningstar (NASDAQ:MORN) and Thomson Reuters (NYSE:TRI) are both large-cap business services companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, dividends, community ranking, institutional ownership, profitability, earnings, media sentiment, analyst recommendations and risk.

Is MORN or TRI more profitable?

Thomson Reuters has a net margin of 32.12% compared to Morningstar's net margin of 14.69%. Morningstar's return on equity of 23.28% beat Thomson Reuters' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Morningstar	14.69%	23.28%	9.66%
Thomson Reuters	32.12%	14.85%	9.11%

Does the MarketBeat Community favor MORN or TRI?

Thomson Reuters received 168 more outperform votes than Morningstar when rated by MarketBeat users. However, 56.52% of users gave Morningstar an outperform vote while only 48.39% of users gave Thomson Reuters an outperform vote.

Company	Underperform	Outperform
Morningstar	Outperform Votes 312 56.52%	Underperform Votes 240 43.48%
Thomson Reuters	Outperform Votes 480 48.39%	Underperform Votes 512 51.61%

Is MORN or TRI a better dividend stock?

Morningstar pays an annual dividend of $1.82 per share and has a dividend yield of 0.6%. Thomson Reuters pays an annual dividend of $2.16 per share and has a dividend yield of 1.4%. Morningstar pays out 24.0% of its earnings in the form of a dividend. Thomson Reuters pays out 42.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Morningstar has raised its dividend for 16 consecutive years.

Do analysts recommend MORN or TRI?

Morningstar currently has a consensus target price of $360.67, suggesting a potential upside of 10.24%. Thomson Reuters has a consensus target price of $176.10, suggesting a potential upside of 10.49%. Given Thomson Reuters' higher possible upside, analysts clearly believe Thomson Reuters is more favorable than Morningstar.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Morningstar	0 Sell rating(s)	1 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.67
Thomson Reuters	0 Sell rating(s)	7 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.36

Does the media prefer MORN or TRI?

In the previous week, Morningstar had 7 more articles in the media than Thomson Reuters. MarketBeat recorded 14 mentions for Morningstar and 7 mentions for Thomson Reuters. Thomson Reuters' average media sentiment score of 0.94 beat Morningstar's score of 0.26 indicating that Thomson Reuters is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Morningstar	2 Very Positive mention(s)	2 Positive mention(s)	8 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Neutral
Thomson Reuters	5 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has stronger earnings and valuation, MORN or TRI?

Thomson Reuters has higher revenue and earnings than Morningstar. Thomson Reuters is trading at a lower price-to-earnings ratio than Morningstar, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Morningstar	$2.04B	6.88	$141.10M	$7.57	43.22
Thomson Reuters	$7.16B	10.01	$2.70B	$5.08	31.37

Do institutionals & insiders believe in MORN or TRI?

57.0% of Morningstar shares are owned by institutional investors. Comparatively, 17.3% of Thomson Reuters shares are owned by institutional investors. 37.7% of Morningstar shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Which has more volatility & risk, MORN or TRI?

Morningstar has a beta of 1.2, indicating that its share price is 20% more volatile than the S&P 500. Comparatively, Thomson Reuters has a beta of 0.72, indicating that its share price is 28% less volatile than the S&P 500.

Summary

Morningstar beats Thomson Reuters on 12 of the 21 factors compared between the two stocks.