Ritholtz Wealth Management has increased its stake in Thomson Reuters Co. (NYSE: TRI, TSE: TRI) by 4.8% during the second quarter of 2023, according to its recent 13F filing with the U.S. Securities and Exchange Commission. The firm now holds 4,860 shares of the business services provider, having purchased an additional 222 shares. At the close of the quarter, Ritholtz’s holdings in Thomson Reuters were valued at approximately $977,000.
Other institutional investors have also adjusted their positions in Thomson Reuters recently. Notably, TD Asset Management Inc raised its stake by 15.7% in the first quarter, acquiring an additional 750,063 shares. This brings its total holdings to 5,514,492 shares, valued at $951.5 million. Similarly, Millennium Management LLC significantly increased its ownership by 365.6%, now controlling 894,074 shares worth $154.5 million.
Additionally, Goldman Sachs Group Inc. raised its stake by 36.1%, owning 1,588,508 shares valued at $274.5 million, after acquiring 421,279 shares. The Canada Pension Plan Investment Board also boosted its holdings by 97.9%, now holding 414,960 shares valued at $71.6 million. Junto Capital Management LP entered the scene with a new stake valued at about $34.4 million. Overall, institutional investors now own 17.31% of Thomson Reuters.
Analysts Adjust Price Targets for Thomson Reuters
Thomson Reuters has been under review by various analysts, resulting in multiple adjustments to its price targets. On September 11, 2023, Morgan Stanley decreased its target from $197.00 to $187.00, maintaining an “equal weight” rating. Conversely, TD Securities upgraded its rating from “hold” to “buy” and adjusted its price target from $275.00 to $285.00.
The Goldman Sachs Group set a target of $186.00 and rated the stock as a “buy.” Meanwhile, Wells Fargo & Company upgraded Thomson Reuters from “equal weight” to “overweight,” increasing its price target from $187.00 to $212.00. CIBC also raised its rating from “neutral” to “outperform.” Currently, seven analysts rate the stock as a Buy, while five maintain a Hold rating. According to MarketBeat, Thomson Reuters has an average rating of “Moderate Buy” with a consensus target price of $202.64.
Thomson Reuters Stock Performance
On the trading front, Thomson Reuters shares opened at $158.53 on Friday. The company reports a current ratio of 1.02, a quick ratio of 0.94, and a debt-to-equity ratio of 0.15. Its stock has encountered a 12-month low of $149.47 and a high of $218.42. With a market capitalization of $71.18 billion, the company has a price-to-earnings ratio of 32.42 and a PEG ratio of 5.67. The 50-day moving average stands at $166.08 while the 200-day moving average is at $182.68.
Thomson Reuters last reported its quarterly earnings on August 6, 2023, revealing earnings per share (EPS) of $0.87, surpassing the consensus estimate of $0.83 by $0.04. The company achieved revenue of $1.81 billion for the quarter, exceeding analysts’ expectations of $1.79 billion. This reflects a year-over-year revenue increase of 2.6%, with the previous year’s EPS reported at $0.85. Analysts anticipate that Thomson Reuters will post an EPS of $3.89 for the current fiscal year.
The company has also announced a quarterly dividend of $0.595 per share, which was paid on September 10, 2023. Shareholders registered as of August 19, 2023, received this dividend, translating to an annualized dividend of $2.38 and a yield of 1.5%. The ex-dividend date was noted as August 19, 2023, with a payout ratio currently at 65.75%.
Thomson Reuters Corporation is known for providing business information services across the Americas, Europe, the Middle East, Africa, and the Asia Pacific. Its operations are divided into five main segments: Legal Professionals, Corporates, Tax & Accounting Professionals, Reuters News, and Global Print. The Legal Professionals segment, in particular, offers extensive research and workflow products designed to support legal research and integrated legal workflow solutions for law firms and governmental bodies.
