Dun & Bradstreet Holdings (DNB – Research Report), the Financial sector company, was revisited by a Wall Street analyst today. Analyst Kyle Peterson from Needham reiterated a Buy rating on the stock and has a $17.00 price target.
Kyle Peterson has given his Buy rating due to a combination of factors that are indicative of Dun & Bradstreet Holdings’ strong investment potential. The first-quarter results of DNB aligned with consensus estimates, reflecting stability in the company’s performance. Additionally, the announcement of a 10 million share repurchase authorization is a significant move, expected to benefit shareholders through capital returns or by addressing the private equity sponsor overhang at advantageous pricing.
This buyback program, coupled with DNB’s consistent quarterly dividend, suggests a shift towards a capital return focus, which enhances the stock’s attractiveness. Peterson also points to the company’s improving organic growth, robust profit margins, and reducing leverage as key elements. Furthermore, the stock is trading at a discount compared to its peers, making it an appealing choice for Growth at a Reasonable Price (GARP) investors, thus reinforcing the Buy recommendation.
Based on the recent corporate insider activity of 32 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of DNB in relation to earlier this year.
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Dun & Bradstreet Holdings (DNB) Company Description:
Dun & Bradstreet Holdings Inc is one of the leading providers of business decisioning data and analytics. The company provides commercial credit decisioning, which helps businesses to make informed decisions when considering extending business loans and trade credit. Also, the company offers solutions to firms looking to analyze supplier relationships and more effectively collect outstanding receivables. Other services provided by company include digital marketing, sales acceleration, and risk management among others.
