TransUnion Plans $500 Million Share Buyback

TransUnion (NYSE:TRU) announced that its Board of Directors has approved a share buyback program as of Thursday, February 13th. The company aims to repurchase $500 million in outstanding shares. This buyback authorization permits the business services provider to reacquire up to 2.6% of its total shares through open market purchases. Share buyback programs are often interpreted as a signal that a company's leadership believes its shares are undervalued.

TransUnion Stock Performance

On Thursday, NYSE:TRU saw an increase of $6.85 during trading, reaching a price of $100.32. During this session, 3,645,023 shares were traded, significantly surpassing its average volume of 1,559,570 shares. Over the past year, TransUnion's stock has experienced a low of $66.07 and a high of $113.17. The company's market capitalization stands at $19.55 billion, with a P/E ratio of 87.24 and a P/E/G ratio of 1.16. The stock's beta is 1.63, and its 50-day and 200-day moving averages are $95.09 and $97.75, respectively. The debt-to-equity ratio is 1.19, while the current and quick ratios are both 1.68.

Dividend Increase by TransUnion

Recently, TransUnion also declared a quarterly dividend, which is set to be paid on Friday, March 14th. Shareholders who are on record as of Thursday, February 27th, will receive a dividend of $0.115 per share. This marks an increase from its previous quarterly dividend of $0.11 and translates to an annualized dividend of $0.46, resulting in a yield of 0.46%. The company has a dividend payout ratio (DPR) of 36.52%.

Analysts Forecast Growth for TransUnion

Several analysts have recently provided insights on TransUnion. The Royal Bank of Canada reaffirmed an "outperform" rating, with a price target of $121.00 for the shares in a report on October 24th. Oppenheimer adjusted its target price from $115.00 to $112.00 and maintained an "outperform" rating in a note dated January 7th. Moreover, Wells Fargo reduced its target from $135.00 to $126.00 while keeping an "overweight" rating on the stock as of January 10th. According to MarketBeat.com, TransUnion presently has a consensus rating of "Moderate Buy" with an average target price of $107.63.

Recent Insider Transactions at TransUnion

In other news regarding TransUnion, insider Steven M. Chaouki sold 1,000 shares of stock on February 3rd at an average price of $95.95. This sale amounted to a total of $95,950. Following this transaction, Chaouki owns 58,488 shares, valued at approximately $5,611,923.60. This sale represented a 1.68% decline in their ownership of the stock. Additionally, insider Todd C. Skinner sold 3,090 shares on November 29th for an average price of $101.48, totaling $313,573.20. After this sale, Skinner retains 24,333 shares valued around $2,469,312.84. Over the last three months, insiders have sold a total of 18,590 shares valued at $1,854,218. Corporate insiders currently hold 0.22% of the company's stock.

Overview of TransUnion

TransUnion operates as a global consumer credit reporting agency that offers risk and information solutions. The company functions through three segments: U.S. Markets, International, and Consumer Interactive. The U.S. Markets segment focuses on providing consumer reports, actionable insights, and analytic services to businesses. These services help businesses attract new customers, evaluate customer credit worthiness, explore cross-selling opportunities, manage debt portfolio risks, collect debts, confirm consumer identities, and reduce fraud risks.

TransUnion, Buyback, Market