Zacks Investment Research Upgrades TransUnion (TRU) to “Buy”
TransUnion (NYSE:TRU) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Wednesday. The firm presently has a $56.00 target price on the business services provider’s stock. Zacks Investment Research‘s price objective would indicate a potential upside of 12.31% from the stock’s current price.
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 high consumer awareness about the usage of credit information are propelling the demand for its consumer solutions. As emerging market economies continue to develop and mature, the company is well-positioned to gain from the associated favorable socio-economic trends. TransUnion has also outperformed the industry year to date. Management further increased its guidance on healthy growth dynamics and sustained investments. However, the company is vulnerable to the overall macroeconomic conditions, industry trends and stiff competitive pressures, which limit its profitability to some extent.”
Other analysts have also issued research reports about the company. Cowen and Company reaffirmed a “buy” rating and set a $48.00 price target on shares of TransUnion in a research report on Friday, July 28th. Barclays PLC reaffirmed 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 reaffirmed 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 raised TransUnion from a “buy” rating to a “strong-buy” rating in a research report on Monday, August 14th. Finally, TheStreet raised TransUnion from a “c” rating to a “b-” rating in a research report on Monday, June 26th. One investment analyst has rated the stock with a hold rating, eight have given a buy rating and one has given a strong buy rating to the company’s stock. TransUnion has a consensus rating of “Buy” and an average price target of $48.33.
TransUnion (TRU) traded down 0.22% during midday trading on Wednesday, reaching $49.75. The company had a trading volume of 857,062 shares. The firm has a market capitalization of $9.05 billion, a price-to-earnings ratio of 42.89 and a beta of 0.58. The stock’s 50 day moving average is $46.31 and its 200 day moving average is $46.31. TransUnion has a 12-month low of $28.92 and a 12-month high of $50.15.
TransUnion (NYSE:TRU) last announced its quarterly earnings results on Tuesday, July 25th. The business services provider reported $0.47 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.44 by $0.03. The firm had revenue of $474.80 million during the quarter, compared to analyst estimates of $464.77 million. TransUnion had a return on equity of 20.32% and a net margin of 12.08%. TransUnion’s quarterly revenue was up 11.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.37 earnings per share. Equities research analysts expect that TransUnion will post $1.83 earnings per share for the current year.
In other TransUnion news, EVP Samuel A. Hamood sold 21,341 shares of the stock in a transaction dated Thursday, September 14th. The shares were sold at an average price of $42.95, for a total value of $916,595.95. Following the completion of the sale, the executive vice president now owns 20,243 shares in the company, valued at approximately $869,436.85. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Christopher Egan sold 201,753 shares of the stock in a transaction dated Friday, August 4th. The shares were sold at an average price of $45.60, for a total transaction of $9,199,936.80. The disclosure for this sale can be found here. Over the last three months, insiders have sold 14,108,242 shares of company stock worth $643,363,096. Corporate insiders own 2.10% of the company’s stock.
Hedge funds and other institutional investors have recently made changes to their positions in the company. State of Wisconsin Investment Board increased its holdings in TransUnion by 141.8% in the 2nd quarter. State of Wisconsin Investment Board now owns 25,408 shares of the business services provider’s stock valued at $1,100,000 after purchasing an additional 14,900 shares during the last quarter. Morgan Stanley boosted its position in TransUnion by 1,433.7% in the 1st quarter. Morgan Stanley now owns 769,615 shares of the business services provider’s stock valued at $29,514,000 after buying an additional 719,436 shares during the period. Eagle Asset Management Inc. purchased a new position in TransUnion in the 2nd quarter valued at approximately $41,015,000. Sumitomo Mitsui Trust Holdings Inc. boosted its position in TransUnion by 1,297.5% in the 2nd quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 164,900 shares of the business services provider’s stock valued at $7,142,000 after buying an additional 153,100 shares during the period. Finally, Caldera Capital LLC boosted its position in TransUnion by 78.1% in the 1st quarter. Caldera Capital LLC now owns 283,399 shares of the business services provider’s stock valued at $10,868,000 after buying an additional 124,291 shares during the period.
TransUnion Company Profile
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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