TransUnion initiated with an Outperform at Oppenheimer

Oppenheimer analyst Owen Lau initiated coverage of TransUnion with an Outperform rating and $81 price target. Beyond operating a US credit bureau, which is an oligopoly, the company has diversified into new products and new verticals, which is still underappreciated by the market, the analyst tells investors in a research note. The stock had been under pressure due to a precipitous decline in mortgage originations and apprehension about credit quality, but the severity of concern appears to be exaggerated and the market may have extrapolated too much from management’s Q3 earnings commentary, the firm added.