TransUnion (TRU) Downgraded by Zacks Investment Research to Hold
TransUnion (NYSE:TRU) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report issued on Wednesday.
According to Zacks, “TransUnion is poised for impressive growth in several of its end markets, especially the burgeoning Big Data and analytics market, with an attractive business model, significant operating leverage, low capital requirements and strong and stable cash flows. Increased risk of identity theft due to data breaches and higher consumer awareness about the usage of credit information are propelling the demand for its consumer solutions. TransUnion has outperformed the industry year to date and has increased its guidance on healthy growth dynamics and sustained investments to retain competitive edge. However, the company is vulnerable to the overall macroeconomic conditions, industry trends and stiff competitive pressures, which limit its profitability to some extent. The continuing strength of the U.S. dollar against major currencies and seasonality issues also remain potential headwinds.”
Other analysts also recently issued reports about the stock. Cowen and Company restated a “buy” rating and set a $48.00 price target on shares of TransUnion in a research report on Friday, July 28th. Barclays PLC restated an “overweight” rating and set a $48.00 price target (up from $45.00) on shares of TransUnion in a research report on Friday, June 16th. Morgan Stanley restated an “overweight” rating and set a $47.00 price target (up from $45.00) on shares of TransUnion in a research report on Tuesday, July 18th. BidaskClub upgraded shares of TransUnion from a “buy” rating to a “strong-buy” rating in a research report on Monday, August 14th. Finally, SunTrust Banks, Inc. assumed coverage on shares of TransUnion in a research report on Tuesday, September 5th. They set a “buy” rating and a $54.00 price target on the stock. Two research analysts have rated the stock with a hold rating, seven have given a buy rating and one has given a strong buy rating to the company’s stock. The stock presently has a consensus rating of “Buy” and an average target price of $47.89.
Shares of TransUnion (NYSE:TRU) traded down 5.24% on Wednesday, reaching $45.22. 1,993,927 shares of the company’s stock were exchanged. TransUnion has a 1-year low of $28.92 and a 1-year high of $48.65. The company has a market capitalization of $8.23 billion, a P/E ratio of 38.92 and a beta of 0.60. The stock’s 50-day moving average price is $47.86 and its 200-day moving average price is $38.84.
TransUnion (NYSE:TRU) last released its quarterly earnings results on Tuesday, July 25th. The business services provider reported $0.47 EPS for the quarter, topping analysts’ consensus estimates of $0.44 by $0.03. TransUnion had a net margin of 12.08% and a return on equity of 20.32%. The company had revenue of $474.80 million for the quarter, compared to the consensus estimate of $464.77 million. During the same period in the previous year, the firm earned $0.37 EPS. TransUnion’s revenue was up 11.5% on a year-over-year basis. Analysts anticipate that TransUnion will post $1.83 EPS for the current fiscal year.
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In related news, insider James M. Peck sold 39,229 shares of the business’s stock in a transaction that occurred on Friday, September 1st. The shares were sold at an average price of $47.83, for a total value of $1,876,323.07. Following the sale, the insider now directly owns 202,343 shares in the company, valued at approximately $9,678,065.69. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP John W. Blenke sold 10,000 shares of the business’s stock in a transaction that occurred on Tuesday, August 15th. The stock was sold at an average price of $46.24, for a total transaction of $462,400.00. Following the completion of the sale, the executive vice president now owns 79,717 shares in the company, valued at $3,686,114.08. The disclosure for this sale can be found here. Insiders sold a total of 14,086,719 shares of company stock worth $642,437,522 over the last quarter. Insiders own 2.10% of the company’s stock.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Aperio Group LLC raised its holdings in shares of TransUnion by 2.7% in the 2nd quarter. Aperio Group LLC now owns 12,220 shares of the business services provider’s stock worth $529,000 after purchasing an additional 321 shares in the last quarter. The Manufacturers Life Insurance Company raised its holdings in shares of TransUnion by 8.0% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 5,482 shares of the business services provider’s stock worth $238,000 after purchasing an additional 404 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank raised its holdings in shares of TransUnion by 17.0% in the 2nd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 4,780 shares of the business services provider’s stock worth $207,000 after purchasing an additional 694 shares in the last quarter. Teacher Retirement System of Texas raised its holdings in shares of TransUnion by 14.7% in the 1st quarter. Teacher Retirement System of Texas now owns 8,515 shares of the business services provider’s stock worth $327,000 after purchasing an additional 1,094 shares in the last quarter. Finally, Prudential Financial Inc. raised its holdings in shares of TransUnion by 12.5% in the 2nd quarter. Prudential Financial Inc. now owns 10,690 shares of the business services provider’s stock worth $463,000 after purchasing an additional 1,190 shares in the last quarter.
TransUnion is a risk and information solutions provider to businesses and consumers. The Company provides consumer reports, risk scores, analytical services and decision capabilities to businesses. The Company operates through three segments: U.S. Information Services (USIS), International and Consumer Interactive.
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