Stock on Watch: TransUnion (TRU)

Company Profile:

TransUnion provides risk and information solutions. The company operates in three segments: U.S. Information Services (USIS), International, and Consumer Interactive. The USIS segment provides consumer reports, risk scores, analytical services, and decisioning capabilities; and online data, marketing, and decision services. The International segment offers online data services, marketing services, credit reports, analytics, decision services, and other value-added risk management services; and consumer services. The Consumer Interactive segment provides credit reports and scores, credit monitoring, fraud protection and resolution, and financial management solutions that enable consumers to manage their personal finances and take precautions against identity theft. The company serves businesses and consumers in the United States, South Africa, Brazil, Canada, Hong Kong, and India, as well as other countries in Africa, Asia, and Latin America. 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.

Recent News:

On Nov. 21, 2017, the company announced that StoneRiver, Inc., a trusted insurance technology partner, has integrated TransUnion DriverRisk’s highly accurate court record violation information into its insurance management system.

On Nov. 20, 2017, the company announced the appointment of Pia Arellano as the president and CEO of TransUnion’s operations in the Philippines.

On Nov. 14, 2017, the company announced the acquisition of FactorTrust, a provider of alternative credit data, analytics and risk scoring information that empowers lenders to make more informed decisions, and increases financial inclusion to a wider population of consumers.

Fundamental Analysis:

Ninestocks analyzes several different financial aspects: Growth, Profitability, solvency and efficiency.

Growth – Measures the growth of both the company’s income statement and cash flow.

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Profitability – Measures the historical price movement of the stock.

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Solvency – Measures the solvency of the company based on several ratios.

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Efficiency – Measures the strength and historic growth of a company’s return on invested capital.

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Conclusion:

TRU’s strengths can be seen in its strong growth, better profitability and better efficiency compared with its peers. Its revenue has increased over recent several years. Technical indicators signal the bullish signs, as there is a bullish cross in Stochastic Oscillator. RSI is strong in the bullish zone and the MACD is trying to cross back up. We rate TransUnion (TRU) a STRONG BUY.