Credit reporting company TransUnion (NYSE:TRU) will be announcing earnings results tomorrow before market hours. Here’s what investors should know.

TransUnion beat analysts’ revenue expectations by 1% last quarter, reporting revenues of $1.04 billion, up 8.6% year on year. It was a softer quarter for the company, with a significant miss of analysts’ EPS expectations.

Is TransUnion a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting TransUnion’s revenue to grow 4.9% year on year to $1.07 billion, slowing from the 8.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.98 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. TransUnion has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 1.8% on average.

Looking at TransUnion’s peers in the professional services segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Equifax delivered year-on-year revenue growth of 3.8%, beating analysts’ expectations by 1.7%, and Concentrix reported a revenue decline of 1.3%, in line with consensus estimates. Concentrix traded up 42.3% following the results.

Read our full analysis of Equifax’s results here and Concentrix’s results here.

Stocks, especially growth stocks where cash flows further in the future are more important to the story, have had a good 2024. An economic soft landing (so far), the start of the Fed's rate cutting campaign, and the election of Donald Trump were positives for the market, and while some of the professional services stocks have shown solid performance, the group has generally underperformed, with share prices down 7.3% on average over the last month. TransUnion is down 12.5% during the same time and is heading into earnings with an average analyst price target of $104.67 (compared to the current share price of $76.70).

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