Morningstar Sees Opportunities in Wide Moat, Value Stocks

Moat stocks rose in June driven by strong tech stock performance, easing trade tensions, and solid earnings.

The Moat Index’s June rebalance featured tech and consumer goods additions, demonstrating how market turbulence can uncover attractively priced, high quality companies.

Moat stocks gained ground in May as strong earnings, signs of easing inflation, and a tech rally lifted markets.

Despite April’s market volatility, the Moat Index found support from strong performers in defense and tech, showcasing the resilience of wide moat stocks amid trade tensions and recession fears.

Market turbulence in March weighed on stocks, but moat strategies held up better—thanks in part to defensive sector resilience and underweight exposure to mega-caps.