Morningstar, Inc. - August 25, 2025
This Classic Investment Strategy Is Still Alive in 2025
Plus, the latest outlook for interest rates and the best tech...
 Morning DigestAugust 25, 2025 Amy Arnott, Ivanna Hampton A look at the 60/40 portfolio performance this year and whether another strategy is better. 
ADVERTISEMENT  Editor's Picks  “Upside risks to inflation have diminished,” says the Fed chair. Gabe Alpert  These 12 undervalued technology stocks look attractive today. Margaret Giles  Here are the key investing steps for all of life’s stages and some portfolios to get you started. Margaret Giles, Lauren Hammett Investing Insights We highlight the details of his legendary investment strategy. Emelia Fredlick, Tori Brovet Offerings from American Funds and PIMCO stand out. Gabe Alpert New Stock Analyst Reports Zoom (ZM) reported fiscal 2026 second-quarter results that surpassed management guidance. Revenue grew 5% year over year to $1.217 billion, and non-GAAP operating margin was 41.3%. Artificial intelligence demand, coupled with Zoom's land-and-expand strategy, continues to drive revenue growth and profitability. Enterprise sales remained healthy, growing 7% year over year. Third-quarter guidance was in line with our model, with revenue at $1.210 billion to $1.215 billion and non-GAAP operating margin of 38.6%. Intuit's (INTU) 20% fourth-quarter and 16% fiscal 2025 revenue growth both beat management's guidance. Full-year GAAP and non-GAAP operating margins expanded 380 and 90 basis points, respectively, thanks to the strong performance of TurboTax's and QuickBooks' premium offerings. Artificial intelligence is empowering both virtual agents and human experts across Intuit's product line, leading to productivity gains for business customers and a more streamlined experience for retail customers. For fiscal 2026, Intuit expects companywide revenue growth of 12%-13% and non-GAAP operating margin growth of 14%-15%, in line with our expectations. Workday's (WDAY) fiscal 2026 second-quarter revenue grew 13% year over year. Non-GAAP operating margin of 29% was 120 basis points lower sequentially but in line with our expectations. The gross retention rate was stable at 97%. The penetration of Workday's artificial intelligence-based products was faster than we expected, with over 70% of core customers now using the company's AI suite. Management raised its full-year outlook for revenue growth by 20 basis points to 14.2% and for non-GAAP operating margin by 50 basis points to 29.0%, both in line with our forecast. New Fund Analyst Reports T. Rowe Price Spectrum Income (RPSIX): T. Rowe Price’s strong multi-asset capabilities benefit Spectrum Conservative, Moderate, and Moderate Growth portfolios through solid implementation and robust oversight. The series benefits from the firm’s strong multi-asset structure, including a steering committee that oversees strategic exposures and an asset-allocation committee (co-chaired by Shriver) that evaluates tactical decisions. The Tools You Need to Invest Like an Analyst Stay connected:
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