On July 5, 2023, financial services firm Raymond James & Associates revealed that it had increased its stake in TransUnion (NYSE:TRU) by 3.2% during the first quarter of the year. According to a report filed with the Securities and Exchange Commission (SEC), Raymond James & Associates now owns a total of 182,686 shares in the business services provider. This increase was made possible by the purchase of an additional 5,602 shares during the quarter, boosting their ownership to around 0.09% of TransUnion’s total worth, which amounts to $11,352,000.
This move by Raymond James & Associates highlights their confidence in TransUnion as an investment opportunity. Such an increase in stake indicates that they believe TransUnion’s trajectory is positive and likely to generate favorable returns for investors.
The announcement from Raymond James & Associates comes amidst a flurry of opinions from equities analysts regarding TransUnion’s performance. One notable opinion came from Morgan Stanley, whose experts decreased their price target on TransUnion shares from $80.00 to $78.00 while maintaining an “overweight” rating for the company.
StockNews.com also weighed in on TransUnion, initiating coverage with a “hold” rating on the stock. Meanwhile, Truist Financial reduced their price objective from $74.00 to $66.00 and Needham & Company LLC upgraded TransUnion from a “hold” rating to a “buy” rating with a price target of $84.00.
Barclays followed suit by lowering their price target on TransUnion from $72.00 to $67.00 and assigning an “equal weight” rating.
Overall, five analysts recommend holding onto the stock while ten suggest buying it. According to Bloomberg.com data, there is a consensus among analysts that TransUnion has a “Moderate Buy” rating and an average target price of $77.50.
At the time of writing, TransUnion opened at $77.58 on the New York Stock Exchange (NYSE) on July 5, 2023. The stock’s performance over the past year has been impressive, with a low of $50.32 and a high of $90.08.
TransUnion boasts a healthy balance sheet, with a debt-to-equity ratio of 1.26 indicating reasonable financial soundness and stability. It also possesses a current ratio and quick ratio of 1.57, highlighting its ability to meet short-term obligations comfortably.
With a market capitalization of $14.99 billion, TransUnion operates in the business services industry and has garnered attention due to its positive price-to-earnings ratio of 55.03 and an even more impressive price-to-earnings-growth ratio of 0.73.
Investors have noted TransUnion’s beta value, which stands at 1.37, suggesting that the stock is likely to experience higher levels of volatility compared to the overall market.
Furthermore, it is worth noting that TransUnion’s fifty-day moving average price currently stands at $71.47 while its two-hundred-day moving average price is $66.55.
Considering Raymond James & Associates’ increased stake in TransUnion and the overall confidence displayed by analysts in their ratings and target prices for the company, it appears that stakeholders are optimistic about TransUnion’s prospects moving forward.
As with any investment decision, investors are encouraged to conduct their own thorough research before making any trading decisions or altering their portfolios based on these recommendations or other available information from reputable sources.
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Institutional Investors and Insiders Show Mixed Sentiment Towards TransUnion as Company Exceeds Earnings Expectations
TransUnion, a business services provider, has recently seen a number of institutional investors and hedge funds increase or decrease their stakes in the company. One such investor is EverSource Wealth Advisors LLC, who acquired a new position in TransUnion during the fourth quarter of 2022. This new position was valued at $37,000.
Massmutual Trust Co. FSB ADV also grew its stake in TransUnion during the first quarter of 2023. Their stake increased by an impressive 339.6%. They now own 589 shares of the company’s stock, valued at $37,000 after acquiring an additional 455 shares.
Quadrant Capital Group LLC also increased its holdings in TransUnion by 98.2% during the fourth quarter of 2022. They now own 678 shares of the company’s stock, worth $38,000.
Northwestern Mutual Wealth Management Co. followed suit and increased its holdings in TransUnion by 36.9% during the same period. They now own 843 shares of the company’s stock, worth $48,000.
Brown Brothers Harriman & Co., on the other hand, acquired a new stake in TransUnion during the first quarter of 2023. The value of this stake is approximately $49,000.
These recent activities by institutional investors and hedge funds suggest a growing interest and confidence in TransUnion’s future prospects.
In related news, EVP Abhi Dhar sold 3,500 shares of TransUnion stock on June 29th for an average price of $80.00 per share, totaling to $280,000. After this transaction, Dhar now owns 69,702 shares of the company’s stock which are valued at approximately $5,576,160.
Director William Bosworth also sold a portion of his holdings in TransUnion on May 31st. Bosworth disposed of 523 shares at an average price of $72.28 per share, resulting in a total value of $37,802.44. Following this sale, Bosworth now directly owns 7,865 shares in the company, valued at $568,482.20.
It is worth noting that in the last three months, insiders have collectively sold 35,376 shares of TransUnion stock with a cumulative value of $2,620,960. This indicates a potential lack of confidence among insiders regarding the company’s future performance.
Various equities analysts have weighed in on TransUnion shares as well. Morgan Stanley reduced their price target from $80.00 to $78.00 and rated the stock as “overweight” in a research report released on March 22nd.
StockNews.com initiated coverage on TransUnion and gave it a “hold” rating on May 18th. Truist Financial also decreased their price objective for TransUnion from $74.00 to $66.00 on March 16th.
However, Needham & Company LLC raised their rating from “hold” to “buy” and set a price target of $84.00 on April 26th. Barclays also reduced their price target from $72.00 to $67.00 and assigned an “equal weight” rating on March 31st.
In total, five investment analysts have given TransUnion a hold rating while ten analysts have given it a buy rating according to data from Bloomberg.com. The consensus target price for the stock is currently set at $77.50.
TransUnion last reported its quarterly earnings data on April 25th, 2023th, revealing an EPS of $0.71 for the quarter which surpassed analysts’ consensus estimates by $0.05 per share.
The company’s net margin was recorded at 7.34% with a return on equity of 14.47%. Revenue for the quarter reached $940.30 million, surpassing the consensus estimate of $913.69 million.
Based on research analysts’ predictions, TransUnion is expected to post earnings per share of 3.22 for the current fiscal year.
Furthermore, the company declared a quarterly dividend which was paid on June 2nd. Stockholders of record on May 19th received a dividend of $0.105 per share. This represents an annualized dividend yield of 0.54% and a payout ratio of 29.79%.
In conclusion, TransUnion has seen recent activity from institutional investors and hedge funds who have either increased or decreased their stakes in the company, indicating their confidence or lack thereof in its future prospects. Insiders have also been selling significant amounts of company stock, which may be cause for concern.
Equities analysts have provided mixed opinions on TransUnion’s stock, ranging from hold to buy ratings. The company’s most recent quarterly earnings report exceeded expectations, signaling positive performance thus far.
TransUnion also recently declared a quarterly dividend as part of its financial strategy. While the company faces uncertainties and challenges, it remains poised to navigate through them with its strong market position and solid financials.
