We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's Why You Should Retain TRU Stock in Your Portfolio Now
Read MoreHide Full Article
Key Takeaways
TRU won CUSTOMER Magazine's 2025 Product of the Year for its Email Behavior Intelligence solution.
Recent acquisitions in Mexico and consumer lending enhance TRU's reach and prequalification tools.
TRU's Q1 2025 current ratio rose to 2.05, signaling strong liquidity well above the industry average.
TransUnion (TRU - Free Report) stock has rallied 21.8% in the past year, outperforming the 8.2% growth of the industry it belongs to and the Zacks S&P 500 composite’s 9.6% rise.
Image Source: Zacks Investment Research
TRU has an expected long-term (three to five years) EPS growth rate of 10%. The company’s earnings for 2024 and 2025 are anticipated to rise 4.6% and 16.2% year over year, respectively. Revenues are expected to increase 5.4% in 2024 and 8.9% in 2025.
Factors That Augur Well for TRU
TransUnion earned the 2025 CUSTOMER Magazine Product of the Year Award for its Email Behavior Intelligence solution, which helps businesses improve customer experience and reduce compliance risks. By actively analyzing and correcting email data, EBI boosts delivery rates and ensures messages reach the right recipients, addressing a major challenge in digital customer communication. The award highlights TransUnion’s growing role in driving innovation across customer engagement and contact center solutions.
TransUnion plays a leading role in the fast-growing big data and analytics market. The Insight Partners valued the U.S. market at $293.1 billion in 2024 and projects it will grow at a 13.5% CAGR through 2031. As data generation accelerates and technology advances, the market is expanding rapidly. TransUnion has actively invested in technology to strengthen its analytical capabilities and expand its data assets. By doing so, the company attracts more customers and drives top-line growth in an increasingly data-driven economy.
TransUnion’s buyout strategy has been a key driver of its growth. Within the first few months of 2025, the company completed two significant acquisitions. In January, TransUnion acquired the majority ownership of Trans Union de Mexico, the consumer credit arm of Buró de Crédito, enhancing its presence in Latin America, solidifying its leadership and becoming the largest credit bureau in Spanish-speaking Latin America. Then, in April, TransUnion purchased Monevo, a credit prequalification and distribution platform, to bolster its position in the consumer lending market and enhance its prequalification capabilities.
At the end of the first quarter of 2025, TransUnion’s current ratio stood at an impressive 2.05, significantly higher than the industry average of 0.88. This figure also shows improvement from 1.7 in the previous quarter and 1.65 in the same quarter last year, providing investors with confidence in TRU’s strong liquidity position in the long term. It’s worth noting that a current ratio above 1 indicates the company’s ability to comfortably meet its short-term liabilities.
TRU: Key Risks to Watch
TransUnion’s first-quarter 2025 Credit Industry Insights Report paints a more nuanced picture of U.S. consumer debt than what surface-level numbers suggest. While nominal debt balances have risen sharply 28% over five years, the inflation-adjusted growth is minimal at just 3%. Most credit risk tiers saw a real-dollar decline in balances, with prime borrowers down 14% and only super prime and subprime tiers registering modest gains.
This indicates that consumers, particularly in mid-to-lower risk segments, are not over-leveraged and may still have borrowing capacity. At the same time, delinquencies in both credit cards and personal loans are declining, with lenders tightening credit lines and expanding cautiously, especially to higher-credit-score borrowers. In mortgages, origination volume is picking up modestly, but delinquency rates are slowly rising and warrant monitoring.
The company’s international segment experiences challenges stemming from local economic conditions and the broader macroeconomic environment, leading to fluctuations in revenues and profits. This instability clouds the long-term outlook and may deter potential investors.
GDOT has an encouraging earnings surprise history, having outpaced the Zacks Consensus Estimate in two of the trailing four quarters and missing twice. The average beat is 5.6%.
AppLovin currently sports a Zacks Rank of 1.
APP has an encouraging earnings surprise history, outpacing the Zacks Consensus estimate in each of the trailing four quarters. The average beat is 22.9%.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Here's Why You Should Retain TRU Stock in Your Portfolio Now
Key Takeaways
TransUnion (TRU - Free Report) stock has rallied 21.8% in the past year, outperforming the 8.2% growth of the industry it belongs to and the Zacks S&P 500 composite’s 9.6% rise.
Image Source: Zacks Investment Research
TRU has an expected long-term (three to five years) EPS growth rate of 10%. The company’s earnings for 2024 and 2025 are anticipated to rise 4.6% and 16.2% year over year, respectively. Revenues are expected to increase 5.4% in 2024 and 8.9% in 2025.
Factors That Augur Well for TRU
TransUnion earned the 2025 CUSTOMER Magazine Product of the Year Award for its Email Behavior Intelligence solution, which helps businesses improve customer experience and reduce compliance risks. By actively analyzing and correcting email data, EBI boosts delivery rates and ensures messages reach the right recipients, addressing a major challenge in digital customer communication. The award highlights TransUnion’s growing role in driving innovation across customer engagement and contact center solutions.
TransUnion plays a leading role in the fast-growing big data and analytics market. The Insight Partners valued the U.S. market at $293.1 billion in 2024 and projects it will grow at a 13.5% CAGR through 2031. As data generation accelerates and technology advances, the market is expanding rapidly. TransUnion has actively invested in technology to strengthen its analytical capabilities and expand its data assets. By doing so, the company attracts more customers and drives top-line growth in an increasingly data-driven economy.
TransUnion’s buyout strategy has been a key driver of its growth. Within the first few months of 2025, the company completed two significant acquisitions. In January, TransUnion acquired the majority ownership of Trans Union de Mexico, the consumer credit arm of Buró de Crédito, enhancing its presence in Latin America, solidifying its leadership and becoming the largest credit bureau in Spanish-speaking Latin America. Then, in April, TransUnion purchased Monevo, a credit prequalification and distribution platform, to bolster its position in the consumer lending market and enhance its prequalification capabilities.
At the end of the first quarter of 2025, TransUnion’s current ratio stood at an impressive 2.05, significantly higher than the industry average of 0.88. This figure also shows improvement from 1.7 in the previous quarter and 1.65 in the same quarter last year, providing investors with confidence in TRU’s strong liquidity position in the long term. It’s worth noting that a current ratio above 1 indicates the company’s ability to comfortably meet its short-term liabilities.
TRU: Key Risks to Watch
TransUnion’s first-quarter 2025 Credit Industry Insights Report paints a more nuanced picture of U.S. consumer debt than what surface-level numbers suggest. While nominal debt balances have risen sharply 28% over five years, the inflation-adjusted growth is minimal at just 3%. Most credit risk tiers saw a real-dollar decline in balances, with prime borrowers down 14% and only super prime and subprime tiers registering modest gains.
This indicates that consumers, particularly in mid-to-lower risk segments, are not over-leveraged and may still have borrowing capacity. At the same time, delinquencies in both credit cards and personal loans are declining, with lenders tightening credit lines and expanding cautiously, especially to higher-credit-score borrowers. In mortgages, origination volume is picking up modestly, but delinquency rates are slowly rising and warrant monitoring.
The company’s international segment experiences challenges stemming from local economic conditions and the broader macroeconomic environment, leading to fluctuations in revenues and profits. This instability clouds the long-term outlook and may deter potential investors.
TRU’s Zacks Rank & Stocks to Consider
TransUnion has a Zacks Rank #3 (Hold) at present.
Some better-ranked stocks from the broader Zacks???Business Services???sector are ???Green Dot???(GDOT - Free Report) and???AppLovin (APP - Free Report) .
Green Dot sports a Zacks Rank of #1 (Strong Buy) at present. You can see???the complete list of today’s Zacks #1 Rank stocks here.
GDOT has an encouraging earnings surprise history, having outpaced the Zacks Consensus Estimate in two of the trailing four quarters and missing twice. The average beat is 5.6%.
AppLovin currently sports a Zacks Rank of 1.
APP has an encouraging earnings surprise history, outpacing the Zacks Consensus estimate in each of the trailing four quarters. The average beat is 22.9%.