TRI: Remain on the Sidelines Ahead of a Likely In-Line Quarter

研报英文原文证据摘录

TRI: Remain on the Sidelines Ahead of a Likely In-Line Quarter

tion in revenue growth as TRI

• Our 17x '27E P/E multiple is at the low increased adoption of TRI's GenAI begins to face more intense competition

end of TRI's 5yr avg relative valuation offerings. in its core products.

(after a period of elevated multiples, due • GenAI offerings drive significant value • Growth from GenAI plateaus and

to the monetization of TRI's LSEG stake, for clients allowing TRI to capture growing competition across legal causes

accelerating growth, and rapid margin greater wallet share and pricing. organic growth to decelerate.

expansion) • With stronger earnings growth, we see • In this scenario, we assume multiple

• Further margin expansion is limited due potential for multiple expansion to 23x, compression to 11x, resulting in a $50

to rising concerns around competition resulting in an upside price scenario of downside scenario.

$122.

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• Acceleration in revenue growth driven by increased adoption of Thomson Reuters is a leading global content-driven technology

GenAI offerings company serving professionals across legal, tax, accounting,

• Increased demand for workflow efficiencies as fewer accounting compliance, government, and media. Its products combine highly

graduates enter the workforce specialized software and insights to empower professionals with

• New product introductions the data, intelligence, and solutions needed to make informed

• Increased repurchases or accretive M&A decisions, and to help institutions in their pursuit of justice, truth

• Reports of AI-enabled legal startups increasingly competing and transparency. Reuters, part of Thomson Reuters, is a world-

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