Market Vectors® Mstar Wide Moat ETF
Why Did the Moat Index Increase Its IT Exposure?
The IT sector was the most underweighted sector in the Morningstar Wide Moat Index last year. The sector reported a loss of 3.08% in 2018.
Moat Index: Dramatic Sector Allocation Shift in 2018
The healthcare sector dominated the sector weighting for the Morningstar Wide Moat Index in 2018. The sector returned ~5% in 2018.
What Did 2018 Bring for Moat Stocks?
Moat companies (MOAT) (FB) (INTC) or moat stocks are companies that have an advantage over their competitors in the industry.
Moat Stocks Continue to Outperform Broader Markets
The Morningstar US Wide Moat Focus Index continued to perform better than the US market in November.
How Moat Indexes Have Performed Recently
The S&P 500 Index has gained 38.1% in the last five years, while the Morningstar US Wide Moat Focus Index has jumped 42% during the same period.
Eli Lilly’s Earnings Quality and Dividend Performance
Eli Lilly’s dividend yield is 2.11%. Its dividend yield last year was 2.46%, and its five-year average is 2.77%.
Interested in a Moat for Your Castle?
Morningstar provides investors a choice to include moat stocks in their portfolios with the Morningstar Wide Moat Focus Index or the U.S. Moat Index (MOAT).
Why Consider Moat Stocks?
At VanEck we are big fans of Morningstar’s Equity Research—not only because their analysis informs moat-oriented indices that underlie the moat mutual fund and ETFs that we offer globally.
Pharma Stocks: Allergan’s Revenue Trend and 2018 Estimates
Allergan (AGN) reported revenue of $4.1 billion in the second quarter, a 2.9% YoY (year-over-year) rise in revenue.
US Moat Index Outperforms S&P 500 despite IT Underweight
The U.S. Moat Index posted strong performance again in July, and by the end of the month, its year-to-date results overtook the S&P 500 Index despite being underweight to the information technology sector.
Why the US Moat Index Beat the S&P 500 Index in July
Domestic moat companies, as represented by the Morningstar® Wide Moat Focus IndexSM (MWMFTR, or “U.S. Moat Index”), once again posted strong results in July.
Eli Lilly: 9% Revenue Growth in Q2 2018 Exceeded Estimates
Eli Lilly (LLY) reported 9% YoY revenue growth to ~$6.4 billion in Q2 2018. LLY beat Wall Street analysts’ EPS and revenue estimates.
L Brands Stock Fell in After-Hours Trading
L Brands (LB) stock fell more than 5% in the after-hours trading session on May 23. The company missed analysts’ earnings expectations.
Merck’s 4Q17 Estimates: Vaccines
Merck’s revenues from vaccines are expected to decrease in 4Q17 due to lower sales of Gardasil, offset by increased sales of Zostavax, Pneumovax 23, RotaTeq, and ProQuad/Varivax.
Merck & Co.’s Quarterly Revenue Trend
Merck & Co. (MRK) reported revenues of $10.3 billion in 3Q17, a decrease of 2% compared to 3Q16.
Opdivo: Blockbuster Oncology Drug in 3Q17
Opdivo Bristol Myers Squibb’s (BMY) Opdivo is approved for the treatment of non-small cell lung cancer, classical Hodgkin’s lymphoma, renal cell carcinoma, metastatic melanoma, squamous cell carcinoma of the head and neck, urothelial carcinoma, hepatocellular carcinoma, and certain types of colorectal cancer. Recent Opdivo developments The above chart shows Opdivo’s revenue trends over the last […]
Expanding Investors’ Reach to Global Markets
Building on the success and popularity of VanEck Vectors® Morningstar Wide Moat ETF (MOAT®) and its underlying index’s approach to investing in the U.S., VanEck launched MOTI in 2015 to expand investor access to Morningstar’s core equity research in the international arena.
Understanding the Moat Investing Philosophy
The performance of VanEck Vectors® Morningstar International Moat ETF (MOTI®) tells an impressive story about the importance of not only identifying quality companies with sustainable competitive advantages but also factoring in valuation to determine the right entry points.
Understanding Eli Lilly’s Valuation This November
In 3Q17, Eli Lilly surpassed the analysts’ estimates for EPS (earnings per share) and revenues, reporting EPS of $1.05 on revenues of ~$5.7 billion.
Healthcare Was September Loser for US Domestic Moats
The healthcare sector has been the most challenged sector since the presidential elections in November 2016.
September Winners in US Domestic Moats: Discretionary, Financials
Moat company Polaris Industries (PII) has been doing well this year, returning ~30.0% year-to-date as of October 23, 2017.
September Global Moat Winners: Asia Holds the Trophy
SINA (SINA), a China-based online media company, benefited the International Moat Index the most in September.
How Moat Indexes Performed in September
The US Moat Index has been performing fairly well this year. As of September 30, 2017, it has outperformed, rising 20.5% over the S&P 500 Index’s (SPY) (SPX-INDEX) rise of 18.6% YTD.
VFC: Wrangler Sales Improve, Lee Sales Slide
VFC’s Jeanswear segment, which includes the Lee and Wrangler brands, recorded a 0.5% year-over-year decline in 3Q17 sales.
3Q17 Overview: VF Corporation Beats on Earnings, Revenues
VF Corporation (VFC) reported its 3Q17 results on October 23. VFC’s adjusted earnings per share rose 6% year-over-year to $1.23 versus consensus expectations of $1.12.
How CSX’s Intermodal Volumes Compared to Industry Average
In the week ended March 4, 2017, CSX’s (CSX) total intermodal traffic dropped 3.2%.
Quarterly Performance of Eli Lilly’s Neuroscience Products
Strattera, a drug for attention-deficit/hyperactivity disorder, reported a 17.0% fall in revenues to $186.6 million in 2Q17 compared to $224.6 million in 2Q16.
Why Most of Wall Street Recommends Holding VF Corporation
VF Corporation (VFC) is covered by 23 Wall Street analysts with a mostly neutral view on the company. It has received a rating of 2.6 on a scale of 1 (strong buy) to 5 (sell).
How TransDigm Group Reinforces Switching Costs
TransDigm Group Inc. (TDG US) is a leading designer and manufacturer of engineered aircraft components for commercial and military aircraft.
How Microsoft Earned a Wide Economic Moat Rating
The technology industry is the most competitive industry, making it crucial for companies in this industry to have a competitive edge for survival.
Why Switching Costs Help Build Powerful Moats
Many successful companies build customer loyalty by offering high-quality products and/or services. Some also have the unique advantage of integrating their products….
The Idea behind Economic Moats
“How Moats Translate into Sustainable Competitive Advantages” is a five-part moat investing education series that explores the primary sources of economic moats. she
CSX: Intermodal Pushed Volumes despite Fall in Railcars in Week 33
In the week ended August 19, 2017, CSX hauled nearly 69,000 railcars compared with ~70,500 units in the week ended August 20, 2016.
CSX’s Intermodal Volumes Rose as Railcar Volumes Fell in Week 32
CSX moved ~67,000 railcars during the week compared with slightly over 69,000 railcars in the week ended August 13, 2016.
How Did Allergan’s US General Medicines Segment Perform in 2Q17?
The US General Medicines segment reported revenues of $1.43 billion in 2Q17, a 1.5% decline as compared to $1.45 billion in 2Q16.
How Starbucks Obtained a Wide Economic Moat Rating
Cost Advantage in Action: Four Case Studies of Moat Companies To demonstrate the power of cost advantages in creating economic moats, we highlight four moat companies: U.S. based Starbucks and Compass Mineral, and international moat companies: Kao (Japan) and Ramsay Health Care (Australia). Starbucks Corp (SBUX US) boasts a “wide economic moat” rating from Morningstar from […]
How Ramsay Health Care Became a Cost Leader
Ramsay Health Care is a market leader in private healthcare in Australia, treating almost 3 million patients each year.
CSX’s Railcars Fell but Intermodal Rose in Week 30
In the week ended July 29, 2017, CSX (CSX) witnessed a contraction in railcar traffic.
Canadian National Railway: Alberta Ups Petroleum Revenues
In 2Q17, Canadian National Railway’s petroleum and chemicals revenues were $549.0 million Canadian, a fall of 12.0% from $492.0 million Canadian in 2Q16.
Analysts Keep Recommendations after VF Corporation’s 2Q17 Results
VF Corporation’s (VFC) 2Q17 results were followed by a host of upward revisions in the company’s target price by Wall Street analysts.
Weakness in Wholesale Continues to Pressure VF’s Lee and Wrangler
VF’s Jeanswear segment, which includes the famous Lee and Wrangler brands, recorded a 4.5% YoY (year-over-year) fall in 2Q17 sales.
VF Corporation Beats Top-Line Expectations after 7 Weak Quarters
In 2Q17, VF Corporation (VFC) reported sales of $2.4 billion. Sales from continuing operations rose 2.0% on a reported basis.
Inside Norfolk Southern’s Freight in Week 28
CSX’s (CSX) overall railcar traffic rose 3.1% in the 28th week of 2017 (ended July 15).
How to Take Exposure to Moat Stocks
The VanEck Vectors Morningstar Wide Moat ETF (MOAT) tracks the price and yield performance of the Morningstar Wide Moat Focus Index.
How to Identify Economic Moats
In this series, we’ll discuss how intangible assets can create long-term competitive advantages for companies.
Why CSX’s Intermodal Volumes Rose in Week 27
CSX’s (CSX) intermodal traffic registered a 3.7% YoY (year-over-year) gain in the week ended July 8, 2017.
What Will Drive VFC’s Top Line in Fiscal 2017?
VF Corporation (VFC) posted strong results in its Outdoor segment during the first quarter of 2017.
VFC’s Earnings Likely to Drop 20% in 2Q17
VFC’s (VFC) earnings per share (or EPS) could contract a whopping 20% YoY in 2Q17.
What Happened to CSX’s Trailers and Containers in Week 26
For the week ended July 1, 2017, CSX (CSX) registered a ~6% rise in overall intermodal traffic.
CSX’s Containers Rose, Trailers Fell in Week 25
CSX Corporation (CSX) reported a 4.8% rise in intermodal volumes in the week ended June 24, 2017.
Comparing CSX’s Week 24 Intermodal Growth with the Industry’s
CSX Corporation’s (CSX) intermodal volumes trended in contrast with other freight volumes in week 24. In the week, the company’s intermodal volumes rose 2.1%.
Comparing CSX’s Intermodal Volumes with NSC in Week 23
In the week ended June 10, 2017, CSX’s (CSX) intermodal volumes rose 3.9%.
Why LSE Stock Has Outperformed over the Years
The London Stock Exchange’s high market share in growth areas such as client clearing, along with its good asset quality, suggest that the stock exchange is on solid ground.
How Visa Created a Network Effect
Visa (V) boasts a significant advantage in terms of its worldwide acceptance. This availability lent to the network effect’s being the source of the company’s moat.
How Microsoft Earned Its Moat
Microsoft operates globally with successful products such as Windows, Office, and Azure. A strong brand, network effect, and economies of scale are Microsoft’s sources of moat.
How Salesforce Gained Its Moat
Salesforce.com is a leader in the customer relationship management industry. The company has built its moat on the back of its network effect and strong brand.
Performance of Eli Lilly’s Cardiovascular Products in 1Q17
Effient reported a 3% decline in its 1Q17 revenues to $127.8 million, compared to $131.5 million in 1Q16.
Primary Detractor in the U.S. Moat Index’s Performance in April
For April, the top three detractors in MOAT were healthcare companies like AmerisourceBergen (ABC), Express Scripts (ESRX), and McKesson (MCK).
U.S. Moat Index: Analyzing Its Performance in April
TransDigm Group (TDG) rose 12% in April. Two other additions, Cerner and Guidewire Software, added to the U.S. Moat Index’s performance in April.
How Does Moat Investing Provide a Competitive Advantage?
Morningstar helps investors choose companies with economic moats. “Economic moats” refers to companies’ ability to obtain an advantage over competitors.
Inside CSX’s Intermodal Traffic in Week 19
In recent weeks, CSX Corporation’s (CSX) intermodal traffic has been almost flat. In the week ended May 13, 2017, its intermodal volumes rose 2.8%.
CSX: Comparing Its Intermodal Traffic with the Industry in Week 18
In recent weeks, CSX’s (CSX) intermodal traffic has been almost flat. In the week ended May 6, 2017, its intermodal volumes fell 2%.
CSX: Despite a Trailer Slump, Intermodal Volumes Rose in Week 17
CSX’s intermodal volumes In recent weeks, CSX’s (CSX) intermodal traffic has been almost flat. In the week ended April 29, 2017, its intermodal volumes rose 3%. Overall intermodal volumes reached 54,000, compared with 53,000 units in the week ended April 30, 2016. Trailer volumes stood at 1,900 units, 5.4% lower than last year. In the […]
Wall Street Maintains Recommendations after VFC’s 1Q17 Results
VF Corporation (VFC) is covered by 22 Wall Street analysts, who have given it a rating of 2.7 on a scale of 1 for “strong buy” and 5 for “sell.”
Stock Market Penalizes VF Corporation Stock for Weak 1Q17 Results
VF Corporation (VFC) stock fell after the company posted mixed 1Q17 results. It fell a huge 5.6% to close at $54.63 after the results on April 28, 2017.
VF Corporation’s Lee and Wrangler Struggle from Weak Wholesale
VFC’s Jeanswear segment, which includes the famous Lee and Wrangler brands, recorded a 9.0% YoY (year-over-year) fall in 1Q17 sales.
VF Corporation Misses Top-Line Expectations Again in 1Q17
VF Corporation’s (VFC) total revenue from continuing operations fell 2.0% YoY (year-over-year) to $2.6 billion in 1Q17.
Did CSX’s Intermodal Volumes Align with the Industry’s Last Week?
In recent weeks, CSX Corporation’s (CSX) intermodal traffic was almost flat. In the week ended April 22, 2017, its intermodal volumes fell 2.3%.
A Look at VF Corporation’s Key Revenue Drivers in Fiscal 2017
VFC management has predicted a low single-digit rise in its fiscal 2017 top line.
Currency Headwinds to Affect VF Corporation’s 2017 Bottom Line
VF Corporation’s (VFC) EPS (earnings per share) is expected to fall 9.8% YoY (year-over-year) to $0.55 in 1Q17.
CSX’s Intermodal Traffic Compared to the Industry in Week 15
In recent weeks, CSX’s (CSX) intermodal traffic was almost flat. In the week ended April 15, 2017, its intermodal volumes fell 0.20%.
Comparing CSX’s Intermodal Volumes in Week 14 of 2017
In recent weeks, CSX’s (CSX) intermodal traffic was almost flat. In the week ended April 8, 2017, its intermodal volumes rose to 0.50%.
How CSX’s Intermodal Volumes Compared in Week 13 of 2017
In the week ended April 1, 2017, CSX’s total intermodal traffic increased to 9.5%.
CSX’s Intermodal Volumes in Week 12
In recent weeks, CSX’s (CSX) intermodal traffic has been on an upward path. In the week ended March 25, 2017, its total intermodal traffic rose 7.3%.
Did CSX’s Intermodal Volumes Fall in Line in Week 11?
In recent weeks, CSX’s (CSX) intermodal traffic was on an upward path. However, in the week ended March 18, 2017, CSX’s total intermodal traffic fell 2.6%.
How Mergers & Acquisitions Could Boost Moat Indexes
VanEck U.S. Domestic Moats: Buy Buy Baby Infant formula company Mead Johnson Nutrition Co. (MJN US, +24.60%) benefited from corporate action news shortly after being added to the U.S. Moat Index in December. News of an intended acquisition of MJN US by narrow moat UK conglomerate Reckitt Benckiser Group (RB GB) boosted shares of the […]
Could International Laggards Come Out as Winners?
VanEck International Moats: Catch Me if You Can (Contd..) Otherwise strong performance from Indian constituents was muted by the struggles of automaker Tata Motors Ltd (TTMT IN, -11.41%), which were reflected in fiscal 2017 second-quarter earnings. Two Australian firms from different industries also struggled in February: mineral sands miner Iluka Resources Ltd. (ILU AU, -8.93%) […]
Why International Moats Are Getting Investors’ Attention
VanEck International Moats: Catch Me if You Can Mexican airport operator, Grupo Aeroportuario del Centro Norte (OMAB MM, +12.70%), and its efficient scale source of moat, had a strong month as central Mexico air traffic increased year-over-year despite political turmoil and a weakened peso. In Australia, casino operator Crown Resorts Ltd. (CWN AU, +12.47%) offered […]
Could It Be Time to Buy US Domestic Moats?
VanEck U.S. Domestic Moats: Buy Buy Baby (Contd..) It’s been a wild ride for pharmaceutical and biotech companies since last year’s U.S. presidential election, but Morningstar’s economic moat and valuation research within both industries benefited the U.S. Moat Index as several of the top drivers of performance came from within those industries. Materials firm Compass […]
Why Moat Indexes Outperformed Others in February
US stocks have performed well since Donald Trump’s inauguration. Recent economic indicators suggest that the economy is gradually gaining traction.
Looking at CSX’s Intermodal Volumes in the 7th Week of 2017
CSX’s intermodal volumes In the week ended February 18, 2017, CSX’s (CSX) total intermodal traffic went up 7.9%. Overall intermodal volumes reached ~55,500 in the seventh week of 2017. However, trailer volumes fell 9.5%. The percentage fall in CSX’s trailer traffic contrasted with the rise reported by rival Norfolk Southern (NSC). In the same week of […]
VF Corporation Delivers a Flat Top Line in Fiscal 4Q16
VF Corporation’s (VFC) top line from continuing operations remained almost flat during fiscal 4Q16. Its total revenues stood at ~$3.3 billion, missing Wall Street estimates by $120 million.
VF Corporation’s International Operations
VF Corporation (VFC) has a strong international presence, deriving more than 40% of its revenues from international markets in fiscal 3Q16.
Comparing CSX’s Intermodal Volumes with US Railroads
In the week ended December 31, 2016, CSX’s (CSX) total intermodal traffic rose 4.7%.
Why the International Moat Index Is Inching Up
Global financials (IXG) (IPF) (PSP) recovered in November with Commonwealth Bank of Australia, National Bank of Canada, and Industrial and Commercial Bank of China gaining 7.2%, 5.1%, and 2%, respectively.
November Winners: Wide Moat Rated Banks and Railroad Stocks
The dawn of a Trump era in the United States has drastically changed the fortunes of domestic stock markets—unlike adverse predictions from many experts prior to the election.
Why Moat Indices Outperformed Benchmarks in November
Following the results of the US presidential election, the US stock market has followed an upward growth trajectory.
What’s the Latest News from Polaris Industries?
Polaris Industries (PII) has a market cap of $5.6 billion. It fell 2.2% to close at $85.84 per share on December 9, 2016.
The MOAT ETF Offers Exposure to ‘Moativated’ Stocks
The VanEck Vectors Morningstar Wide Moat ETF (MOAT) tracks the price and yield performance of the Morningstar Wide Moat Focus Index.
Moat Investing: Identifying the Winners
Morningstar’s research and investment philosophy is based on the concept of an economic moat (MOAT).
How Did CSX’s Intermodal Traffic Compare with the Industry Last Week?
In the week ended November 5, 2016, CSX Corporation’s (CSX) total intermodal traffic was up 1.7%.
Polaris Industries Acquired Transamerican Auto Parts for $665 Million
Polaris Industries (PII) reported 3Q16 sales of ~$1.2 billion, which represents a fall of 18.5% from its ~$1.5 billion in sales in 3Q15.
How to Take On Exposure to ‘Moativated’ Stocks
The VanEck Vectors Morningstar Wide Moat ETF tracks the price and yield performance of the Morningstar Wide Moat Focus Index.
Morningstar: Using Economic Moat to Assess Stocks
The concept of economic moat is the basis of Morningstar’s assessment of a company’s (KO)(ORCL) long-term investment potential.
Analyzing Morningstar’s Economic Moat Rating
Morningstar first began rating companies in 2002 according to the strength and longevity of their competitive advantages.
Moat Investing: Staying Ahead of the Competition
Moat companies offer long-term outperformance compared to benchmarks.
Where Does CSX’s Intermodal Traffic Stand among Industry Peers?
In the week ending October 22, 2016, CSX Corporation’s (CSX) total intermodal traffic fell 2% YoY. Overall intermodal volumes fell to ~57,000 units.
Polaris Industries Acquires Transamerican Auto Parts
Polaris Industries (PII) rose 2.4% and closed at $75.79 per share during the second week of October 2016. It reported 2Q16 sales of $1.13 billion.
How Does Longbow View Polaris Industries?
Polaris Industries (PII) has a market cap of $4.6 billion. It fell 4.4% to close at $74.07 per share on October 4, 2016. Longbow rated Polaris Industries as “underperform” and set the stock’s price target at $77.50 per share.
Polaris Defense Appoints John M. Olson as Vice President
Polaris Industries (PII) has a market cap of $5.5 billion. It fell by 0.50% to close at $83.52 per share on September 6, 2016.