Is TransUnion overvalued or undervalued?

As of 17 October 2025, the valuation grade for TransUnion has moved from attractive to expensive, indicating a shift towards overvaluation. The company appears to be overvalued based on its P/E ratio of 36, which is higher than the peer average of 37.65, and an EV to EBITDA ratio of 25.21, which also exceeds the industry benchmark. Additionally, the PEG ratio stands at 1.75, suggesting that the stock may not be a bargain relative to its growth prospects.
When comparing TransUnion to its peer MSCI, Inc., which has a P/E of 62.31 and an EV to EBITDA of 42.54, it is evident that TransUnion is positioned relatively better, yet still reflects an expensive valuation. The company's stock performance has lagged significantly, with a year-to-date return of -15.45% compared to the S&P 500's positive return of 13.30%, and a 1-year return of -26.74% against the S&P 500's 14.08%. This underperformance reinforces the notion that TransUnion may be overvalued in the current market environment.