Morningstar Partners with Houlihan Lokey to Launch CLO Indexes
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 24 2026
0mins
Source: Newsfilter
- Growing Market Demand: Morningstar's strategic collaboration with Houlihan Lokey aims to launch a new suite of CLO indexes to meet the urgent need for transparency and consistent benchmarks in the global CLO market, which exceeds $1.5 trillion and is projected to surpass $3 trillion by 2030, thereby providing investors with more reliable investment tools.
- Index Design and Governance: The new indexes will combine Morningstar's design and governance capabilities with Houlihan Lokey's valuation framework and credit market expertise, addressing the current lack of consistent benchmarks in the market, thus enabling investors to more effectively assess performance and risk.
- Investor Tool Gap: As the CLO market rapidly expands, the demand for high-quality investor tools is increasing, and Morningstar's head of innovation stated that this collaboration will fill the market gap and enhance investor competitiveness in this complex asset class.
- Enhanced Transparency: The introduction of the new indexes will not only establish a new benchmark standard for the CLO market but also help investors better manage risk by providing frequent transparent pricing, thereby promoting further development in the private credit sector.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy MORN?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on MORN
Wall Street analysts forecast MORN stock price to rise
2 Analyst Rating
2 Buy
0 Hold
0 Sell
Moderate Buy
Current: 161.970
Low
250.00
Averages
285.00
High
320.00
Current: 161.970
Low
250.00
Averages
285.00
High
320.00
About MORN
Morningstar, Inc. is a provider of independent investment insights. The Company's segments include Morningstar Direct Platform, PitchBook, Morningstar Credit, Morningstar Wealth, and Morningstar Retirement. The Morningstar Direct Platform provides investors with data, research and insights, and investment analysis to empower investment decision-making. The PitchBook provides investors with access to data, research, analytics, and artificial intelligence (AI) enabled software across private capital markets, including venture capital, private equity, private credit, bank loans, and mergers & acquisitions (M&A). Morningstar Credit provides investors with credit ratings, research, data, and credit analytics solutions. Morningstar Wealth provides investment products, investor tools, and an advisor platform powered by research and data. The Morningstar Retirement offers products designed to help individuals reach retirement goals.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Analysis of SpaceX Stock Prospects
- IPO Performance Review: SpaceX's IPO became the largest in history, yet the stock has since pulled back, leading to significant losses for investors and reflecting market divergence on its long-term value.
- Market Prediction Discrepancies: Arete Research's Andrew Beale projects SpaceX stock could reach $401 in the next 12 months, implying an upside of about 148%, while Morningstar estimates a fair value of $63 per share, showcasing differing market views on SpaceX's future.
- Growth Drivers Analysis: SpaceX's revenue is expected to grow robustly driven by its Starlink satellite internet service and AI infrastructure, although insider selling may negatively impact stock prices and investor confidence.
- Long-term Investment Outlook: Despite analysts' cautious stance predicting a stock price around $160 by 2030, many investors may seek more attractive opportunities in the current market environment, given the potential for SpaceX to tread water in the coming years.
See More
Analysis of SpaceX's Stock Fluctuations Post-IPO
- Historic IPO: SpaceX's IPO marked the largest in history, with the stock initially soaring, yet investors are now facing significant losses, highlighting the dual nature of high market interest and inherent risks in the space technology sector.
- Divergent Future Predictions: Arete Research projects a price target of $401 for SpaceX within the next 12 months, suggesting an upside of approximately 148%, while Morningstar estimates a fair value of $63, indicating stark differences in market sentiment regarding SpaceX's future performance.
- Revenue Growth Potential: SpaceX's revenue is expected to be driven by Starlink, AI infrastructure, and launch services, although insider selling may exert downward pressure on the stock, illustrating the complex interplay between rapid growth and market volatility.
- Long-term Price Outlook: The forecast suggests SpaceX's stock will hover around $160 by 2030, implying that a $1,000 investment could yield only about $987, reflecting expectations of limited growth over the next few years.
See More
Over 6 Million Families Sign Up for Trump Accounts Ahead of Launch
- Registration Milestone: More than 6 million families have signed up for Trump Accounts ahead of their official launch on July 4, aimed at helping U.S. children build wealth, particularly for those born between 2025 and 2028 who will receive a $1,000 seed contribution.
- Diverse Funding Sources: In addition to the federal government's initial contribution, certain children may receive a $250 donation from tech CEO Michael Dell and his wife Susan, along with potential contributions from their parents' employers, showcasing a diversified funding support mechanism.
- Wealth Growth Potential: Projections on the Trump Accounts website suggest that without additional contributions, a child's account could grow to $243,000 by age 55, although research by Morningstar indicates a more conservative estimate of $38,000, reflecting the impact of investor behavior and family income.
- Importance of Long-Term Investment: Morningstar emphasizes that ongoing contributions from families and employers are crucial for wealth accumulation, with average account holders expected to have $3,324 at age 18, which could rise to $15,154 with an annual contribution of $250, highlighting the necessity of regular investments.
See More
SpaceX's Historic IPO Sparks Market Enthusiasm
- Outstanding IPO Performance: SpaceX's IPO was priced at $135 per share, valuing the company at approximately $1.75 trillion, and the stock opened near $150, achieving a market cap of $2 trillion on its first trading day, quickly becoming one of the world's most valuable public companies.
- Revenue Growth Potential: SpaceX's revenue is primarily supported by reusable rocket technology, the expansion of the Starlink satellite network, and the development of AI infrastructure, with projections suggesting revenue could reach $474 billion by 2030, particularly as the AI division is expected to surge from $3 billion to $322 billion.
- Market Competition and Challenges: While SpaceX holds a leading position in the space exploration industry, its launch business growth is expected to stabilize amid increasing competition, and achieving a revenue target of $200 billion over the next decade will require sustained Starlink user growth and successful Starship commercialization.
- Valuation and Execution Risks: To reach a $10 trillion market cap, SpaceX must execute flawlessly across multiple fronts, and although current market enthusiasm is high, history shows that revolutionary tech platforms struggle to maintain such high valuations, making management's execution capabilities crucial.
See More
SpaceX IPO Sparks Market Enthusiasm
- IPO Valuation Breakthrough: SpaceX's initial public offering (IPO) priced at $135 per share valued the company at approximately $1.75 trillion, with its market cap soaring to $2 trillion on the first trading day, establishing it as one of the world's most valuable public companies and reflecting strong market confidence in its growth potential.
- Diversified Revenue Pillars: SpaceX is expected to achieve steady growth through its three business pillars: rocket launches, low-orbit satellites, and AI infrastructure, particularly benefiting from reusable rocket technology and the expansion of its Starlink satellite network, enhancing its competitiveness in the global market.
- AI Infrastructure Potential: SpaceX's recent partnerships worth $82 billion with companies like Google Cloud indicate strong growth potential in the AI infrastructure sector, with projections suggesting that the AI division could surge to $322 billion by 2030, significantly boosting future revenues.
- Market Expectation Discrepancies: While Goldman Sachs forecasts SpaceX's total revenue to reach $474 billion by 2030, Morningstar's conservative estimate is only $67 billion, highlighting divergent views on the company's growth trajectory and reflecting high uncertainty among investors regarding SpaceX's future performance.
See More
Chevron Stock Dips: Should Investors Buy Now or Wait?
- Stock Decline: Chevron's stock has plunged nearly 20% from its late March peak despite elevated oil prices, primarily impacted by the precarious peace negotiations between the U.S. and Israel, leading to investor concerns about future prospects and affecting the company's market performance.
- Attractive Valuation: Currently, Chevron's price-to-earnings ratio is below 11.5 times, significantly lower than its historical average of 23 times over the past decade, indicating an attractive investment opportunity despite the company's solid fundamentals and its leading position in the natural gas sector with superior capital efficiency compared to rivals.
- Growth Potential: Chevron's acquisition of Hess has significantly boosted its production capacity, and a recent 20-year agreement with Microsoft to power an AI data center in West Texas suggests strong growth prospects, with management expecting at least 10% annual growth in earnings per share and adjusted free cash flow.
- Dividend Advantage: With a forward dividend yield exceeding 4.2% and a remarkable track record of increasing dividends for 39 consecutive years, Chevron appeals to income-focused investors, although concerns about future oil price volatility remain prevalent.
See More
Analysis of SpaceX Stock Prospects
- IPO Performance Review: SpaceX's IPO became the largest in history, yet the stock has since pulled back, leading to significant losses for investors and reflecting market divergence on its long-term value.
- Market Prediction Discrepancies: Arete Research's Andrew Beale projects SpaceX stock could reach $401 in the next 12 months, implying an upside of about 148%, while Morningstar estimates a fair value of $63 per share, showcasing differing market views on SpaceX's future.
- Growth Drivers Analysis: SpaceX's revenue is expected to grow robustly driven by its Starlink satellite internet service and AI infrastructure, although insider selling may negatively impact stock prices and investor confidence.
- Long-term Investment Outlook: Despite analysts' cautious stance predicting a stock price around $160 by 2030, many investors may seek more attractive opportunities in the current market environment, given the potential for SpaceX to tread water in the coming years.
See More
Analysis of SpaceX's Stock Fluctuations Post-IPO
- Historic IPO: SpaceX's IPO marked the largest in history, with the stock initially soaring, yet investors are now facing significant losses, highlighting the dual nature of high market interest and inherent risks in the space technology sector.
- Divergent Future Predictions: Arete Research projects a price target of $401 for SpaceX within the next 12 months, suggesting an upside of approximately 148%, while Morningstar estimates a fair value of $63, indicating stark differences in market sentiment regarding SpaceX's future performance.
- Revenue Growth Potential: SpaceX's revenue is expected to be driven by Starlink, AI infrastructure, and launch services, although insider selling may exert downward pressure on the stock, illustrating the complex interplay between rapid growth and market volatility.
- Long-term Price Outlook: The forecast suggests SpaceX's stock will hover around $160 by 2030, implying that a $1,000 investment could yield only about $987, reflecting expectations of limited growth over the next few years.
See More
Over 6 Million Families Sign Up for Trump Accounts Ahead of Launch
- Registration Milestone: More than 6 million families have signed up for Trump Accounts ahead of their official launch on July 4, aimed at helping U.S. children build wealth, particularly for those born between 2025 and 2028 who will receive a $1,000 seed contribution.
- Diverse Funding Sources: In addition to the federal government's initial contribution, certain children may receive a $250 donation from tech CEO Michael Dell and his wife Susan, along with potential contributions from their parents' employers, showcasing a diversified funding support mechanism.
- Wealth Growth Potential: Projections on the Trump Accounts website suggest that without additional contributions, a child's account could grow to $243,000 by age 55, although research by Morningstar indicates a more conservative estimate of $38,000, reflecting the impact of investor behavior and family income.
- Importance of Long-Term Investment: Morningstar emphasizes that ongoing contributions from families and employers are crucial for wealth accumulation, with average account holders expected to have $3,324 at age 18, which could rise to $15,154 with an annual contribution of $250, highlighting the necessity of regular investments.
See More
SpaceX's Historic IPO Sparks Market Enthusiasm
- Outstanding IPO Performance: SpaceX's IPO was priced at $135 per share, valuing the company at approximately $1.75 trillion, and the stock opened near $150, achieving a market cap of $2 trillion on its first trading day, quickly becoming one of the world's most valuable public companies.
- Revenue Growth Potential: SpaceX's revenue is primarily supported by reusable rocket technology, the expansion of the Starlink satellite network, and the development of AI infrastructure, with projections suggesting revenue could reach $474 billion by 2030, particularly as the AI division is expected to surge from $3 billion to $322 billion.
- Market Competition and Challenges: While SpaceX holds a leading position in the space exploration industry, its launch business growth is expected to stabilize amid increasing competition, and achieving a revenue target of $200 billion over the next decade will require sustained Starlink user growth and successful Starship commercialization.
- Valuation and Execution Risks: To reach a $10 trillion market cap, SpaceX must execute flawlessly across multiple fronts, and although current market enthusiasm is high, history shows that revolutionary tech platforms struggle to maintain such high valuations, making management's execution capabilities crucial.
See More
SpaceX IPO Sparks Market Enthusiasm
- IPO Valuation Breakthrough: SpaceX's initial public offering (IPO) priced at $135 per share valued the company at approximately $1.75 trillion, with its market cap soaring to $2 trillion on the first trading day, establishing it as one of the world's most valuable public companies and reflecting strong market confidence in its growth potential.
- Diversified Revenue Pillars: SpaceX is expected to achieve steady growth through its three business pillars: rocket launches, low-orbit satellites, and AI infrastructure, particularly benefiting from reusable rocket technology and the expansion of its Starlink satellite network, enhancing its competitiveness in the global market.
- AI Infrastructure Potential: SpaceX's recent partnerships worth $82 billion with companies like Google Cloud indicate strong growth potential in the AI infrastructure sector, with projections suggesting that the AI division could surge to $322 billion by 2030, significantly boosting future revenues.
- Market Expectation Discrepancies: While Goldman Sachs forecasts SpaceX's total revenue to reach $474 billion by 2030, Morningstar's conservative estimate is only $67 billion, highlighting divergent views on the company's growth trajectory and reflecting high uncertainty among investors regarding SpaceX's future performance.
See More
Chevron Stock Dips: Should Investors Buy Now or Wait?
- Stock Decline: Chevron's stock has plunged nearly 20% from its late March peak despite elevated oil prices, primarily impacted by the precarious peace negotiations between the U.S. and Israel, leading to investor concerns about future prospects and affecting the company's market performance.
- Attractive Valuation: Currently, Chevron's price-to-earnings ratio is below 11.5 times, significantly lower than its historical average of 23 times over the past decade, indicating an attractive investment opportunity despite the company's solid fundamentals and its leading position in the natural gas sector with superior capital efficiency compared to rivals.
- Growth Potential: Chevron's acquisition of Hess has significantly boosted its production capacity, and a recent 20-year agreement with Microsoft to power an AI data center in West Texas suggests strong growth prospects, with management expecting at least 10% annual growth in earnings per share and adjusted free cash flow.
- Dividend Advantage: With a forward dividend yield exceeding 4.2% and a remarkable track record of increasing dividends for 39 consecutive years, Chevron appeals to income-focused investors, although concerns about future oil price volatility remain prevalent.
See More
