Zacks Investment Research lowered shares of TransUnion (NYSE:TRU) from a buy rating to a hold rating in a report released on Tuesday morning.
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. However, TransUnion operates in a highly competitive market, which restricts its pricing power and limits profitability to some extent. The company is vulnerable to the overall macroeconomic conditions. Also, TransUnion’s performance is affected by seasonality issues. Stiff competition further restricts its pricing power and puts a strain on the bottom line.”
A number of other analysts have also recently weighed in on TRU. SunTrust Banks started coverage on shares of TransUnion in a research report on Tuesday, September 5th. They set a buy rating and a $54.00 price target for the company. Deutsche Bank reaffirmed a buy rating on shares of TransUnion in a research report on Friday, September 8th. Cowen reaffirmed a buy rating and set a $48.00 price target on shares of TransUnion in a research report on Thursday, September 7th. Barclays reissued an overweight rating and issued a $50.00 price objective (up from $48.00) on shares of TransUnion in a research report on Thursday, September 14th. Finally, Morgan Stanley upped their price objective on shares of TransUnion from $50.00 to $51.00 and gave the company an overweight rating in a research report on Monday, October 23rd. One research analyst has rated the stock with a hold rating, nine have assigned a buy rating and one has issued a strong buy rating to the company’s stock. TransUnion has an average rating of Buy and a consensus price target of $56.90.
Shares of TransUnion (TRU) opened at $56.92 on Tuesday. The company has a market capitalization of $9,982.11, a price-to-earnings ratio of 43.78, a PEG ratio of 2.82 and a beta of 0.64. The company has a current ratio of 1.84, a quick ratio of 1.84 and a debt-to-equity ratio of 1.51. TransUnion has a twelve month low of $31.35 and a twelve month high of $57.04.
TransUnion (NYSE:TRU) last announced its quarterly earnings results on Friday, October 27th. The business services provider reported $0.49 earnings per share for the quarter, topping analysts’ consensus estimates of $0.43 by $0.06. TransUnion had a net margin of 13.17% and a return on equity of 21.37%. The firm had revenue of $498.00 million during the quarter, compared to analysts’ expectations of $475.52 million. During the same period in the prior year, the company earned $0.38 EPS. The firm’s revenue was up 13.8% on a year-over-year basis. research analysts predict that TransUnion will post 1.71 earnings per share for the current year.
In other news, insider James M. Peck sold 18,864 shares of the company’s stock in a transaction dated Friday, October 27th. The shares were sold at an average price of $52.41, for a total value of $988,662.24. Following the sale, the insider now owns 239,313 shares in the company, valued at approximately $12,542,394.33. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CFO Todd M. Cello sold 4,110 shares of the company’s stock in a transaction dated Wednesday, November 1st. The shares were sold at an average price of $52.97, for a total transaction of $217,706.70. Following the completion of the sale, the chief financial officer now owns 21,963 shares in the company, valued at approximately $1,163,380.11. The disclosure for this sale can be found here. In the last 90 days, insiders sold 4,630,224 shares of company stock worth $243,986,497. Company insiders own 2.10% of the company’s stock.
Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Public Employees Retirement Association of Colorado raised its stake in TransUnion by 138.6% during the second quarter. Public Employees Retirement Association of Colorado now owns 4,009 shares of the business services provider’s stock worth $174,000 after acquiring an additional 2,329 shares during the period. ETRADE Capital Management LLC acquired a new stake in TransUnion during the third quarter worth about $204,000. Zurcher Kantonalbank Zurich Cantonalbank raised its stake in TransUnion by 17.0% during the second quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 4,780 shares of the business services provider’s stock worth $207,000 after acquiring an additional 694 shares during the period. SG Americas Securities LLC acquired a new stake in TransUnion during the second quarter worth about $212,000. Finally, Alpine Global Management LLC acquired a new stake in TransUnion during the second quarter worth about $217,000.
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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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