Thomson Reuters downgraded to Sector Perform from Outperform at Scotiabank

Scotiabank downgraded Thomson Reuters (TRI) to Sector Perform from Outperform with an unchanged price target of $188. Thomson Reuters reported Q1 results largely inline with the firm’s and Street expectations and the 2025 guidance was reiterated, the analyst noted. While the firm expects the company to continue to grow profitably through organic growth and M&A, it cites the “unlikeliness” of raising estimates in the coming quarters meaningfully and the stock having moved significantly higher in recent months for seeing “very small upside left to maintain our sector outperform rating.” Given the general economic uncertainty, which could affect certain aspects of the business, the firm believes it will take “significant M&A to offset the pressure from the stock,” the analyst added.