Thomson Reuters (TRI) Competitors

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

Is TRI or MORN more profitable?

Thomson Reuters has a net margin of 30.45% compared to Morningstar's net margin of 17.22%. Morningstar's return on equity of 23.54% beat Thomson Reuters' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Thomson Reuters	30.45%	14.62%	9.19%
Morningstar	17.22%	23.54%	10.52%

Which has more volatility & risk, TRI or MORN?

Thomson Reuters has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500. Comparatively, Morningstar has a beta of 0.96, meaning that its stock price is 4% less volatile than the S&P 500.

Do analysts prefer TRI or MORN?

Thomson Reuters presently has a consensus target price of $194.20, suggesting a potential upside of 6.96%. Morningstar has a consensus target price of $361.67, suggesting a potential upside of 39.08%. Given Morningstar's stronger consensus rating and higher probable upside, analysts plainly believe Morningstar is more favorable than Thomson Reuters.

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

Which has higher valuation and earnings, TRI or MORN?

Thomson Reuters has higher revenue and earnings than Morningstar. Morningstar is trading at a lower price-to-earnings ratio than Thomson Reuters, 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
Thomson Reuters	$7.27B	11.25	$2.21B	$4.79	37.90
Morningstar	$2.35B	4.67	$369.90M	$9.39	27.69

Is TRI or MORN a better dividend stock?

Thomson Reuters pays an annual dividend of $2.38 per share and has a dividend yield of 1.3%. Morningstar pays an annual dividend of $1.82 per share and has a dividend yield of 0.7%. Thomson Reuters pays out 49.7% of its earnings in the form of a dividend. Morningstar pays out 19.4% 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.

Does the media prefer TRI or MORN?

In the previous week, Morningstar had 3 more articles in the media than Thomson Reuters. MarketBeat recorded 30 mentions for Morningstar and 27 mentions for Thomson Reuters. Thomson Reuters' average media sentiment score of 1.02 beat Morningstar's score of 0.61 indicating that Thomson Reuters is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Thomson Reuters	14 Very Positive mention(s)	1 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Morningstar	15 Very Positive mention(s)	4 Positive mention(s)	6 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Positive

Do institutionals and insiders hold more shares of TRI or MORN?

17.3% of Thomson Reuters shares are held by institutional investors. Comparatively, 57.0% of Morningstar shares are held by institutional investors. 36.2% of Morningstar shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Morningstar beats Thomson Reuters on 11 of the 19 factors compared between the two stocks.