Morningstar

Morningstar, Inc.

Equity Bottom-Up

TransUnion’s growth was a little slow in the first quarter, but we see nothing that alters our long-term view and will maintain our narrow moat rating and $69 fair value estimate. Overall, revenue was up 15% year over year, or 6% excluding currency effects and acquisitions. The organic level is a bit below our long-term expectations
Domestic credit bureau operations were the biggest drag in the quarter, posting a 3% year-over-year organic growth rate. Revenue related to the financial sector…

TransUnion is one of the leading credit bureaus, along with Equifax and Experian. These three companies dominate the U.S. market and have replicated the business model internationally and expanded into adjacent verticals. TransUnion is the smallest of the three, but since its IPO in 2015, it has been the strongest performer, generating double-digit top-line growth and sizable margin improvement.We think TransUnion can maintain its outperformance in the near term, as its upgraded infrastructure…

United States

TransUnion operates as a credit reporting agency. The Company offers consumer reports, risk scores, analytical services, and decisioning capabilities to businesses. TransUnion provides risk and information solutions to businesses and consumers.