On June 1, 2023, Richard Mauldin, EVP - Operations of TransUnion (TRU, Financial), sold 2,000 shares of the company's stock. This insider sell comes amidst a year of trading activity for Mauldin, who has sold a total of 9,250 shares and purchased 0 shares over the past year.
TransUnion is a leading global risk and information solutions provider, offering a wide range of services such as credit reports, analytics, and decisioning technology. The company serves businesses and consumers in more than 30 countries, helping them make informed decisions and manage risk effectively.
Insider Buy/Sell Analysis and Relationship with Stock Price
Over the past year, TransUnion has seen a total of 1 insider buy and 9 insider sells. This trend can be visualized in the following insider trend image: . The image shows that the number of insider sells has been higher than the number of insider buys, which could indicate that insiders believe the stock is overvalued or that they are taking profits off the table.
The stock price of TransUnion has been on an upward trajectory, which could be a reason for the increased number of insider sells. However, it is essential to consider the overall market conditions and the company's performance when analyzing insider trading activity.
Valuation and GF Value Analysis
On the day of Richard Mauldin's recent sell, TransUnion's shares were trading at $72.94, giving the company a market cap of $14,385.672 million. The price-earnings ratio stands at 52.81, which is higher than the industry median of 16.53 and higher than the company's historical median price-earnings ratio.
Comparing the stock price to its GuruFocus Value of $128.37, TransUnion has a price-to-GF-Value ratio of 0.57. This indicates that the stock is significantly undervalued based on its GF Value. The GF Value image can be seen here: .
The GF Value is an intrinsic value estimate developed by GuruFocus, calculated based on the following three factors:
- Historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at.
- A GuruFocus adjustment factor based on the company's past returns and growth.
- Future estimates of business performance from Morningstar analysts.
In conclusion, the recent insider sell by Richard Mauldin, EVP - Operations of TransUnion, should be analyzed in the context of the company's overall performance, market conditions, and valuation. While the number of insider sells has been higher than insider buys over the past year, the stock is currently considered significantly undervalued based on its GF Value. Investors should continue to monitor insider trading activity, company performance, and market trends to make informed decisions about their investments in TransUnion.