Experian: Mostly Steady Revenue Growth in the Firm’s Fiscal Third-Quarter Trading Update

Experian’s fiscal third-quarter trading update highlights the firm’s resilience in the current macroeconomic environment. Organic revenue grew 6% in the quarter, which compares with 5% in both the first and second fiscal quarters. With one quarter left, Experian tweaked its fiscal 2024 organic revenue outlook to a range of 5%-6% from a range of 4%-6%. Overall, there was little in the firm’s trading update that would alter our long-term view of Experian, and we will maintain our wide moat rating and fair value estimate of GBX 3,300. We regard the firm’s shares as fairly valued and believe peer TransUnion offers more upside from a risk/reward perspective.