TransUnion (TRU)
NYSE:TRU
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TransUnion
(NYSE:TRU)
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Rating:66Neutral
Price Target:
$77.00
â–¼(-1.60% Downside)
Action:ReiteratedDate:04/28/26
The score is driven primarily by improving fundamentals (recovered profitability and strong cash generation) and a constructive earnings outlook with solid growth and product momentum. These positives are partially offset by balance-sheet leverage, a weak-to-mixed technical setup (trading below major moving averages), and a relatively expensive valuation with a low dividend yield.
Positive Factors
Profitability Recovery
TransUnion’s margins and profitability have meaningfully recovered from the 2023 loss, with TTM net margin near 10% and strong operating/EBITDA margins. Durable margin recovery enhances reinvestment capacity, supports sustained cash returns and underpins long‑term operating leverage.
Negative Factors
Elevated Leverage
Debt levels and near‑3x leverage increase sensitivity to interest rates and earnings volatility, constraining capital allocation. Durable financial flexibility is impaired until leverage approaches the sub‑2.5x target, limiting pace of M&A, buybacks or buffer for shocks.
Read all positive and negative factors
Positive Factors
Negative Factors
Profitability Recovery
TransUnion’s margins and profitability have meaningfully recovered from the 2023 loss, with TTM net margin near 10% and strong operating/EBITDA margins. Durable margin recovery enhances reinvestment capacity, supports sustained cash returns and underpins long‑term operating leverage.
Read all positive factors
TransUnion (TRU) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$13.31B
Dividend Yield0.53%
Average Volume (3M)2.29M
Price to Earnings (P/E)8.4
Beta (1Y)1.51
Revenue Growth10.99%
EPS Growth93.17%
CountryUS
Employees13,000
SectorFinancial
Sector Strength70
IndustryConsulting Services
Share Statistics
EPS (TTM)3.64
Shares Outstanding192,800,000
10 Day Avg. Volume1,918,682
30 Day Avg. Volume2,289,874
Financial Highlights & Ratios
PEG Ratio0.61
Price to Book (P/B)3.76
Price to Sales (P/S)3.64
P/FCF Ratio25.20
Enterprise Value/Market Cap1.36
Enterprise Value/Revenue3.83
Enterprise Value/Gross Profit7.27
Enterprise Value/Ebitda12.39
Forecast
1Y Price Target
$88.76Price Target Upside13.44% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering17
EPS Forecast (FY)4.78
Revenue Forecast (FY)$5.13B
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...
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 ...
TransUnion Earnings Call Summary
Earnings Call Date:Apr 28, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 28, 2026
Earnings Call Sentiment Positive
The call highlights strong top-line outperformance (14% reported, 11% organic), double-digit EPS and EBITDA growth, rapid AI-driven product innovation and customer wins, and strategic M&A and capital return activity. Offsetting headwinds are modest margin pressure from FICO royalties and acquisition accounting, near-term international softness in select markets (India, Asia Pacific), a temporary rise in leverage and higher interest expense tied to the Mexico acquisition, and macro/geopolitical uncertainty that prompted conservative guidance posture. Overall the positives (broad-based revenue growth, product/AI momentum, strengthened guidance framework and M&A that expands addressable markets) materially outweigh the contained negatives.Positive Updates
Revenue Outperformance
Total revenue increased 14% year-over-year (11% organic constant currency), exceeding the high end of guidance by $41 million; excluding FICO mortgage royalties, organic growth was 7%.
Negative Updates
Adjusted EBITDA Margin Contraction
Adjusted EBITDA margin declined to 35.2%, down ~100 basis points year-over-year; full-year margin guidance 35.2%–35.4%, down 60–80 basis points.
Read all updates
Q1-2026 Updates
Positive
Negative
Revenue Outperformance
Total revenue increased 14% year-over-year (11% organic constant currency), exceeding the high end of guidance by $41 million; excluding FICO mortgage royalties, organic growth was 7%.
Read all positive updates
Company Guidance
TransUnion maintained its 2026 guidance while providing updated near‑term and full‑year metrics: Q2 revenue is guided to $1.271–$1.283B (up 12–13%) with organic constant‑currency growth of 8–9% (5–6% ex‑FICO) and ~4% contribution from acquisitions; Q2 adjusted EBITDA $439–$445M (34.5–34.7% margin) and adjusted diluted EPS $1.13–$1.15 (+4–6%). Full‑year revenue is $5.10–$5.135B (+11–12%) with organic growth 8–9% (5–6% ex‑FICO), acquisitions +3.5% and FX immaterial; mortgage revenue is expected +28% (6% ex‑FICO) vs. mid‑single‑digit inquiry declines and international growth mid‑single digits. Full‑year adjusted EBITDA is $1.796–$1.816B (+9–10%) implying a 35.2–35.4% margin (down 60–80 bps; underlying margin expansion +50–70 bps offset by ~90 bps FICO royalty headwind and ~40 bps M&A impact); adjusted diluted EPS is $4.68–$4.75 (+9–11%). Other guidance items: D&A ≈$640M (≈$320M ex step‑up), net interest ≈$245M (up $25M), adjusted tax rate ~25.5%, CapEx ≈6% of revenue, free cash‑flow conversion ≥90% of adjusted net income, Q1 leverage 2.8x with a long‑term target <2.5x, $25M repurchased YTD with a $1B buyback authorization; the increase to the high end of guidance primarily reflects consolidation of TransUnion Mexico (adds roughly $154M revenue, $39M adjusted EBITDA and ~$0.04 EPS).TransUnion Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
62
Positive
Cash Flow
69
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 4.73B | 4.58B | 4.18B | 3.83B | 3.71B | 2.96B |
| Gross Profit | 2.49B | 2.70B | 2.51B | 2.31B | 2.32B | 1.94B |
| EBITDA | 1.46B | 1.45B | 1.20B | 667.30M | 1.13B | 995.20M |
| Net Income | 704.60M | 455.40M | 284.40M | -206.20M | 266.30M | 1.39B |
Balance Sheet | ||||||
| Total Assets | 12.05B | 11.11B | 10.98B | 11.11B | 11.67B | 12.63B |
| Cash, Cash Equivalents and Short-Term Investments | 732.50M | 856.30M | 682.00M | 478.90M | 587.90M | 1.85B |
| Total Debt | 5.68B | 5.16B | 5.21B | 5.45B | 5.81B | 6.52B |
| Total Liabilities | 7.13B | 6.57B | 6.67B | 7.00B | 7.40B | 8.63B |
| Stockholders Equity | 4.75B | 4.44B | 4.22B | 4.01B | 4.17B | 3.91B |
Cash Flow | ||||||
| Free Cash Flow | 696.50M | 661.60M | 516.70M | 334.70M | -1.00M | 584.10M |
| Operating Cash Flow | 1.02B | 987.60M | 832.50M | 645.40M | 297.20M | 808.30M |
| Investing Cash Flow | -831.80M | -331.70M | -307.40M | -318.90M | -723.90M | -2.21B |
| Financing Cash Flow | -53.00M | -494.60M | -308.70M | -438.80M | -820.50M | 2.76B |
TransUnion Technical Analysis
Positive
78.25
Price Trends
72.67
Positive
78.10
Positive
82.33
Negative
Market Momentum
0.60
Negative
64.91
Neutral
92.39
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRU, the sentiment is Positive. The current price of 78.25 is above the 20-day moving average (MA) of 70.33, above the 50-day MA of 72.67, and below the 200-day MA of 82.33, indicating a neutral trend. The MACD of 0.60 indicates Negative momentum. The RSI at 64.91 is Neutral, neither overbought nor oversold. The STOCH value of 92.39 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TRU.
TransUnion Risk Analysis
TransUnion disclosed 37 risk factors in its most recent earnings report. TransUnion reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
TransUnion Peers Comparison
UnderperformOutperform
Sector (68)
TRU
TransUnion
69.05
-14.72
-17.57%
EFX
Equifax
172.24
-87.60
-33.71%
VRSK
Verisk Analytics
178.68
-115.22
-39.20%
TransUnion Corporate Events
Business Operations and StrategyFinancial DisclosuresM&A Transactions
TransUnion Raises 2026 Outlook After Strong Q1 Results
Positive
Apr 28, 2026
TransUnion reported strong first-quarter 2026 results on April 28, 2026, with revenue rising 14% year over year to $1.25 billion, or 11% on an organic constant-currency basis, led by 24% growth in U.S. Financial Services and solid gains across mos...
Business Operations and StrategyFinancial DisclosuresM&A Transactions
TransUnion Outlines AI-Ready Growth Strategy at 2026 Investor Day
Positive
Mar 10, 2026
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. Executiv...
Business Operations and StrategyStock BuybackDividendsFinancial DisclosuresPrivate Placements and Financing
TransUnion Posts Strong Q4 Results, Issues Upbeat 2026 Outlook
Positive
Feb 12, 2026
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 bil...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.