AlTi Global (NASDAQ:ALTI) vs. Morningstar (NASDAQ:MORN) Financial Contrast

Morningstar (NASDAQ:MORN) and AlTi Global (NASDAQ:ALTI) are both business services companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Insider and Institutional Ownership

57.0% of Morningstar shares are held by institutional investors. Comparatively, 3.6% of AlTi Global shares are held by institutional investors. 39.9% of Morningstar shares are held by company insiders. Comparatively, 22.1% of AlTi Global shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Morningstar and AlTi Global”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Morningstar	$2.22 billion	6.46	$141.10 million	$7.57	44.22
AlTi Global	$250.88 million	2.45	-$162.61 million	($1.75)	-2.51

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

Analyst Recommendations

This is a summary of current ratings for Morningstar and AlTi Global, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Morningstar	0	1	2	0	2.67
AlTi Global	0	0	0	1	4.00

Morningstar presently has a consensus target price of $360.67, suggesting a potential upside of 7.75%. AlTi Global has a consensus target price of $9.00, suggesting a potential upside of 104.55%. Given AlTi Global’s stronger consensus rating and higher probable upside, analysts plainly believe AlTi Global is more favorable than Morningstar.

Profitability

This table compares Morningstar and AlTi Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Morningstar	14.69%	23.28%	9.66%
AlTi Global	-41.51%	2.31%	1.35%

Risk & Volatility

Morningstar has a beta of 1.19, suggesting that its stock price is 19% more volatile than the S&P 500. Comparatively, AlTi Global has a beta of 0.72, suggesting that its stock price is 28% less volatile than the S&P 500.

Summary

Morningstar beats AlTi Global on 12 of the 15 factors compared between the two stocks.

About Morningstar

Morningstar, Inc. provides independent investment insights in the United States, Asia. Australia, Continental Europe, the United Kingdom, and internationally. The company operates in five segments: Morningstar Data and Analytics; PitchBook; Morningstar Wealth; Morningstar Credit; and Morningstar Retirement. The company offers managing investments, including mutual funds, ETFs, separate accounts, collective investment trusts, model portfolios, equities, and fixed income securities; Morningstar Direct is an investment-analysis and reporting platform; Morningstar Advisor Workstation, a suite of tool to provide help and advice. The PitchBook segment provides data and research covering the private capital markets comprising venture capital, private equity, private credit and bank loans, and merger and acquisition activities; and pitchbook platform. It provides model portfolios and wealth platforms; Morningstar Managed Portfolios, an advisor service with model portfolios designed for fee-based independent financial advisors; and Morningstar.com that discovers, evaluates, and monitors stocks, ETFs, and mutual funds; build and monitor portfolios and markets. In addition, the company provides credit ratings, research, data, and credit analytics solutions; Morningstar DBRS which offers securitizations and other structured finance instruments, such as asset-backed securities, residential mortgage-backed securities, commercial mortgage-backed securities, and collateralized loan obligations. Further, it offers managed retirement accounts, fiduciary services, Morningstar Lifetime Allocation funds, and custom models; Morningstar Indexes offers market indexes used for performance benchmarks and as the basis for investment products and other portfolio strategies; and Morningstar Sustainalytics provides environmental, social and governance data, research, analysis, and insights. Morningstar, Inc. was incorporated in 1984 and is headquartered in Chicago, Illinois.

About AlTi Global

AlTi Global, Inc. provides wealth and asset management services individuals, families, foundations, and institutions in the United States, the United Kingdom, and internationally. It operates through two segments, Wealth Management and Strategic Alternatives. The company offers discretionary investment management, non-discretionary investment advisory, and investment management and advisory services. It also provides trust and administration services, such as entity formation and management; creating or modifying trust instruments and administrative practices to meet beneficiary needs; corporate, trustee-executor, and fiduciary services; provision of directors and company secretarial services; administering entity ownership of intellectual property rights; advisory and administration services in connection with investments in marine and aviation assets; and administering entity ownership of fine art and collectibles. In addition, the company offers family office services comprising bookkeeping and back office services, private foundation management and grant making, oversight of trust administration, financial tracking and reporting, cash flow management and bill pay, and other financial services, as well as clients estate and wealth planning, family governance and education, and philanthropic and strategic services. It also provides ancillary fund management services, including investments, financial planning and strategy, sales and marketing, and back and middle office infrastructure and administration. The company offers strategic advisory, corporate advisory, brokerage, and placement agency services; structures, arranges, and provides investors with co-investment opportunities in various alternative assets; manages and advises public and private investment funds, as well as alternatives platform. The company was formerly known as Alvarium Tiedemann Holdings, Inc. and changed its name to AlTi Global, Inc. in April 2023. The company is based in New York, New York.