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Dun & Bradstreet Holdings: Strong Fundamentals and Acquisition Potential Justify Buy Rating

Dun & Bradstreet Holdings: Strong Fundamentals and Acquisition Potential Justify Buy Rating

Surinder Thind, an analyst from Jefferies, maintained the Buy rating on Dun & Bradstreet Holdings (DNBResearch Report). The associated price target is $15.00.

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Surinder Thind has given his Buy rating due to a combination of factors, including Dun & Bradstreet Holdings’ strong fundamentals and its potential attractiveness as a takeover target. The discussions about a possible acquisition by Veritas Capital highlight DNB’s appealing valuation and financial health. The company boasts good free cash flow, accelerating organic revenue growth, and an improving margin profile, making it an attractive investment opportunity.
Despite certain challenges, such as a portion of its business underperforming and potential disintermediation risks from generative AI, DNB’s unique position as a business credit bureau and its diverse service offerings to large companies provide a solid foundation for future growth. Furthermore, DNB’s recent investments have revitalized its revenue growth, and its strategic goals suggest a continued positive trajectory. Thind’s analysis suggests that even if a deal is not finalized, the company’s intrinsic value supports the Buy recommendation, with a price target set at $15 per share.

Thind covers the Technology sector, focusing on stocks such as Accenture, CGI, and Cognizant. According to TipRanks, Thind has an average return of 11.7% and a 61.54% success rate on recommended stocks.

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