Morningstar, Inc. - October 20, 2025
The Stock Market Is Ultraconcentrated, and It Could Get Worse. Here’s How to Manage the Risks
Plus: The Best Communication Services Stocks to Buy and Best...
 Morning DigestOctober 20, 2025 Sarah Hansen, Dominic Pappalardo As US mega-cap tech stocks soar, investors can look to small caps and international markets for diversification. 
ADVERTISEMENT  Editor's Picks  JB Hunt Transport Services stock jumps, while Klarna falls. Frank Lee  Chung followed internet stocks before their collapse. Here’s why he doesn’t think this is a repeat. Leslie Norton  A newlywed’s guide to retirement accounts and beneficiaries. Denise Appleby Investing Insights Watching sales growth and the potential for margin expansion, here’s what we think of Netflix stock. Matthew Dolgin We raise our fair value estimate for Oracle stock. Luke Yang We believe the First Brands exposure is relatively small, and solvency doesn’t appear to be a concern. Sean Dunlop Why investors may need to reposition their portfolio in a shifting economy, and how the US equity market has remained resilient in the face of Trump’s tariff policy. Jess Bebel Bond, gold, and inverse equity funds gain clout, while stock funds—especially leveraged ones—were out. Drew Carter, Joe Bullard These 12 undervalued communication services stocks look attractive today. Tori Brovet We believe these companies’ strong ESG management practices give them a long-term advantage. Margaret Giles, Leslie Norton New Stock Analyst Reports Zions Bancorp (ZION) announced on Oct. 15 that it had identified apparent misrepresentations and contractual defaults by two of its borrowers. The bank will take a provision of $60 million and a charge-off of $50 million related to this in the third quarter. We are maintaining our fair value estimate, since the higher provisioning and charge-offs are offset by the time value of money since our last model update. We see the market concern, exemplified by the share selloff, as being less about this one episode and more about the surprise factor and potential for future similar issues. New Fund Analyst Reports Calvert International Responsible Index (CDHAX) incorporates environmental, social, and governance criteria without straying too far from the broader foreign developed market. The Tools You Need to Invest Like an Analyst Stay connected:
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