TransUnion (TRU) AI Stock Analysis

• Market Cap: $14.07B
• Dividend Yield: 0.53%
• Average Volume (3M): 3.29M
• Price to Earnings (P/E): 36.6
• Beta (1Y): 1.58
• Revenue Growth: 8.30%
• EPS Growth: 86.97%
• Country: US
• Employees: 13,000
• Sector: Financial
• Sector Strength: 70
• Industry: Consulting Services
• EPS (TTM): 1.07
• Shares Outstanding: 192,600,000
• 10 Day Avg. Volume: 2,766,216
• 30 Day Avg. Volume: 3,286,246
• PEG Ratio: 0.61
• Price to Book (P/B): 3.76
• Price to Sales (P/S): 3.64
• P/FCF Ratio: 25.20
• Enterprise Value/Market Cap: 1.30
• Enterprise Value/Revenue: 3.98
• Enterprise Value/Gross Profit: 7.55
• Enterprise Value/Ebitda: 12.54
• 1Y Price Target: $92.07
• Price Target Upside: 26.04% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 16
• EPS Forecast (FY): 4.79
• Revenue Forecast (FY): $5.02B

• Rating: 64 Neutral
• Price Target: $80.00 ▲(9.51% Upside)
• Action: Reiterated Date: 03/11/26
• Date: Action: Reiterated 03/11/26

The score is driven primarily by improving fundamentals and a positive 2026 outlook (profitability recovery, stronger operating/FCF, and upbeat guidance), tempered by elevated leverage and a weak technical setup (trading below major moving averages). Valuation is also demanding (36.6x P/E) with a low dividend yield, limiting room for disappointment.

Positive Factors

Sustained Revenue Growth & Diversified Streams

Consistent revenue expansion over five years reflects durable demand across credit, fraud, marketing and consumer offerings. Diversified recurring subscriptions and transaction fees reduce single-market dependency and support predictable top-line scaling and long-term commercial resiliency.

Improving Cash Generation and FCF

Stronger operating cash flow and materially higher FCF in 2025 provide sustained internal funding for capex, M&A, buybacks and dividends. This cash profile increases strategic optionality and cushions against cyclical earnings swings despite historically lumpy conversion.

Modernized Platform & Product Momentum

OneTru, TruIQ rollouts and 30+ product enhancements create a scalable, AI-ready stack that enables faster innovation and cross-sell. Migration of 100+ U.S. credit customers evidences adoption, strengthening competitive differentiation grounded in proprietary data and analytics.

Negative Factors

Elevated Leverage

High absolute debt and leverage constrain financial flexibility and raise interest burden risks. With ~$220M net interest guidance and volatile cash conversion historically, elevated leverage limits the firm's capacity to absorb shocks or pursue large strategic investments without refinancing risk.

International & India Weakness

Sluggish India and mixed international results (LATAM/Asia softness) reduce multi-region growth diversification. Persistent regulatory tightening and lender conservatism in key emerging markets can suppress origination volumes and prolong below-trend growth outside the U.S.

Mortgage/FICO Revenue Volatility & Margin Drag

Mortgage-related FICO royalties inflate reported revenue while dragging margins and adding seasonality. Potential industry shifts (FICO direct licensing or Vantage adoption) or mortgage inquiry volatility could structurally alter revenue quality and create unpredictable earnings swings.

TransUnion Business Overview & Revenue Model

Company Description

TransUnion provides risk and information solutions. The company operates in three segments: U.S. Markets, International, and Consumer Interactive. The U.S. Markets segment provides consumer reports, actionable insights, and analytics to businesses. These businesses use its services to acquire new customers; assess consumer ability to pay for services; identify cross-selling opportunities; measure and manage debt portfolio risk; collect debt; verify consumer identities; and mitigate fraud risk. This segment serves various industry vertical markets, including financial services, insurance, tenant and employment, collections and services, technology, commerce and communication, public sector, media, and other markets. The International segment offers credit reports, analytics, technology solutions, and other value-added risk management services; and consumer services, which help consumers to manage their personal finances and consumer credit reporting, insurance and auto information solutions, and commercial credit information services. This segment serves customers in financial services, retail credit, insurance, automotive, collections, public sector, and communications industries through direct and indirect channels. The Consumer Interactive segment provides credit reports and scores, credit monitoring, identity protection and resolution, and financial management solutions that enable consumers to manage their personal finances and take precautions against identity theft. This segment offers its products through online and mobile interfaces, as well as through direct and indirect channels. The company serves customers in approximately 30 countries and territories, including North America, Latin America, Europe, Africa, India, and the Asia Pacific. The company was formerly known as TransUnion Holding Company, Inc. and changed its name to TransUnion in March 2015. TransUnion was founded in 1968 and is headquartered in Chicago, Illinois.

How the Company Makes Money

TransUnion primarily makes money by selling data-driven products and software-enabled services that help customers evaluate credit risk, verify identities, prevent fraud, and support marketing and account management decisions. Key revenue streams typically include: (1) Credit bureau and risk solutions: recurring and transaction-based fees from lenders and other businesses for credit reports, credit scores, credit attributes, and analytics that support underwriting, account review, collections, and portfolio monitoring. (2) Fraud and identity solutions: fees for identity verification, authentication, device and digital identity intelligence, and fraud detection/monitoring tools used to reduce application fraud, account takeover, and other losses; these offerings are often priced per transaction (e.g., per verification/check) and/or via subscription/contract arrangements. (3) Marketing and decisioning/analytics: revenue from audience segmentation, identity-based marketing enablement, propensity models, and decisioning/analytics platforms that help customers acquire, cross-sell, and retain customers; these can be sold as data products, platform subscriptions, or usage-based services. (4) Consumer services: direct-to-consumer revenue from products such as credit monitoring, credit reports/scores, identity monitoring, alerts, and related subscription services. Across these streams, TransUnion monetizes its data assets and analytics by charging customers for access (subscriptions/contracts), usage (per-inquiry/per-transaction), and platform/software services, with performance influenced by credit origination volumes, fraud trends, regulatory requirements, and the breadth/quality of its data partnerships and sources.

TransUnion Financial Statement Overview

Summary

Income statement and cash flow are solid (revenue up to $4.58B in 2025, profitability rebound with ~10% net margin, and 2025 FCF ~$662M), but the balance sheet remains a meaningful constraint with elevated leverage (debt ~$5.10B; debt-to-equity ~1.15). Cash flow has also been lumpy historically, which increases cyclicality risk.

Income Statement

Revenue has grown steadily from $2.53B (2020) to $4.58B (2025), with modest growth in 2025 versus 2024. Profitability has improved meaningfully since the 2023 loss: net profit margin rebounded to ~10.0% in 2025 from ~6.8% in 2024 and negative in 2023, alongside stronger operating profitability (operating margin ~18.9% and EBITDA margin ~31.5% in 2025). Offsetting this, growth is not consistently strong year-to-year and margins are still below the unusually high 2021 net margin level, indicating earnings can be somewhat volatile.

Balance Sheet

Leverage remains elevated, with debt running higher than equity (debt-to-equity ~1.15 in 2025), though it has improved versus 2021–2023 levels. Equity has increased over time ($2.54B in 2020 to $4.44B in 2025), and returns to shareholders recovered to ~10.3% in 2025 after a negative year in 2023. The main weakness is the consistently high debt load (still ~$5.10B in 2025), which can limit flexibility if profitability or cash generation weakens.

Cash Flow

Cash generation has strengthened, with operating cash flow rising to ~$988M in 2025 from ~$833M in 2024 and ~$645M in 2023, and free cash flow improving to ~$662M in 2025. Free cash flow growth was solid in 2025, supporting a healthier cash profile. However, cash conversion is not consistently strong: free cash flow has been lumpy (including near-breakeven in 2022), and operating cash flow relative to reported earnings remains below 1.0 in recent years, suggesting earnings quality and working-capital timing can still be a swing factor.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.58B	4.18B	3.83B	3.71B	2.96B
Gross Profit	2.70B	2.51B	2.31B	2.32B	1.94B
EBITDA	1.45B	1.20B	667.30M	1.13B	995.20M
Net Income	455.40M	284.40M	-206.20M	266.30M	1.39B
Balance Sheet
Total Assets	11.11B	10.98B	11.11B	11.67B	12.63B
Cash, Cash Equivalents and Short-Term Investments	856.30M	682.00M	478.90M	587.90M	1.85B
Total Debt	5.16B	5.21B	5.45B	5.81B	6.52B
Total Liabilities	6.57B	6.67B	7.00B	7.40B	8.63B
Stockholders Equity	4.44B	4.22B	4.01B	4.17B	3.91B
Cash Flow
Free Cash Flow	661.60M	516.70M	334.70M	-1.00M	584.10M
Operating Cash Flow	987.60M	832.50M	645.40M	297.20M	808.30M
Investing Cash Flow	-331.70M	-307.40M	-318.90M	-723.90M	-2.21B
Financing Cash Flow	-494.60M	-308.70M	-438.80M	-820.50M	2.76B

TransUnion Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 73.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRU, the sentiment is Negative. The current price of 73.05 is below the 20-day moving average (MA) of 74.80, below the 50-day MA of 77.48, and below the 200-day MA of 84.01, indicating a bearish trend. The MACD of -1.37 indicates Positive momentum. The RSI at 45.46 is Neutral, neither overbought nor oversold. The STOCH value of 33.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRU.

TransUnion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
EFX	67 Neutral	$22.10B	40.48	13.46%	0.86%	6.35%	16.91%
TRU	64 Neutral	$14.07B	36.60	10.23%	0.53%	8.30%	86.97%
VRSK	62 Neutral	$28.19B	34.24	324.28%	0.82%	7.30%	2.03%

TransUnion Corporate Events

TransUnion Outlines AI-Ready Growth Strategy at 2026 Investor Day

On March 10, 2026, TransUnion hosted its 2026 Investor Day in New York City, highlighting how several years of transformational investment have created a global, AI-ready platform built on proprietary data and the OneTru technology stack. Executives detailed growth drivers across Credit, Marketing, Fraud and Consumer Solutions, emphasizing the role of these offerings in delivering stronger commercial outcomes for customers worldwide.

At the event, the company reintroduced a medium-term financial framework targeting high‑single‑digit annual organic constant‑currency revenue growth, 50 basis points of underlying adjusted EBITDA margin expansion per year and low‑to‑mid‑teens adjusted diluted EPS growth. TransUnion also reaffirmed its full‑year 2026 guidance and noted that its March 2, 2026 acquisition of majority ownership in Trans Union de México will be incorporated into forecasts alongside first‑quarter 2026 earnings, underscoring a growing focus on cash generation and capital returns to shareholders.

The most recent analyst rating on (TRU) stock is a Buy with a $94.00 price target. To see the full list of analyst forecasts on TransUnion stock, see the TRU Stock Forecast page.

TransUnion Posts Strong Q4 Results, Issues Upbeat 2026 Outlook

On February 11, 2026, TransUnion Intermediate Holdings, Trans Union LLC and certain subsidiaries amended their existing credit agreement to add $400 million of incremental revolving credit commitments, lifting total revolving commitments to $1 billion and reaffirming secured guarantees across substantially all assets. The move enhances the company’s liquidity and financial flexibility while maintaining existing covenant structures, underscoring continued lender support for its balance sheet and growth strategy.

On February 12, 2026, TransUnion reported strong fourth-quarter and full-year 2025 results, with quarterly revenue up 13 percent to $1.17 billion and full-year revenue up 9 percent to $4.58 billion, driven by 19 percent growth in U.S. Financial Services and 16 percent in Emerging Verticals. Net income, adjusted earnings and Adjusted EBITDA all increased year over year, supporting $300 million of 2025 share repurchases, a higher quarterly dividend and initial 2026 guidance calling for high single-digit revenue and earnings growth, signaling confidence in its strategic transformation and operating momentum.

Segment performance in the fourth quarter of 2025 showed particularly robust gains in U.S. Markets, where total revenue grew 16 percent and Adjusted EBITDA rose 12 percent, while International revenue increased 4 percent with mixed regional trends. Strong cash generation lifted year-end cash to $854 million, and higher operating cash flow alongside targeted acquisitions and capital spending highlighted TransUnion’s capacity to invest for growth while returning capital to shareholders.

The most recent analyst rating on (TRU) stock is a Hold with a $74.00 price target. To see the full list of analyst forecasts on TransUnion stock, see the TRU Stock Forecast page.

TransUnion expands board with technology and AI leaders

On December 19, 2025, TransUnion’s board of directors voted to expand its size from 10 to 12 members and appointed former Workday executive Sayan Chakraborty and former Microsoft executive Charlotte Yarkoni as new directors, with their appointments effective January 5, 2026 and terms running until the 2026 annual shareholders’ meeting. Chakraborty, who will join the Technology Committee, and Yarkoni, who will serve on the Compensation Committee, bring deep experience in AI, cloud, and large-scale product and platform transformation, a move that underscores TransUnion’s strategic push to bolster its capabilities in AI-enabled, technology-driven information solutions and strengthen its positioning as a leader in data, analytics and digital platforms for global financial and commercial markets.

The most recent analyst rating on (TRU) stock is a Buy with a $118.00 price target. To see the full list of analyst forecasts on TransUnion stock, see the TRU Stock Forecast page.