Thomson Reuters Corporation Common Shares (TRI)

FairStock Score: 54/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for businesses with durable demand, honest economics, and a price that leaves room for error. Thomson Reuters, at $105.14 on 2026-10-13, is a collection of legal, tax, accounting, corporate and news information assets. The latest quarter shown, fiscal Q2 2026, produced $2.0 billion of revenue and $448.0 million of net income, a 22.93% margin. That is a real business, not a story. The supplied growth numbers show revenue up 9.84% and profit up 5.76%, so the top line is moving faster than the bottom line. The segment mix may create some stickiness, but these figures alone do not prove a wide moat. Financial health is mixed but not fragile. FairStock calculations show a 14.17% return on equity, a 7.44% return on capital employed, and low debt with a debt-to-equity ratio of 0.29. Free cash flow is $2.2 billion, a 5.7% yield against the $39.3 billion market cap. The dividend yield is 2.78%, and the Altman Z-Score of 4.16 suggests low bankruptcy risk. However, the Piotroski F-Score is only 4/9, so accounting quality is not screaming. Valuation is the rub. At the close on 2026-10-13, FairStock's P/E is 27.74 and P/B is 4.09. The Graham Number is $46.80, leaving the price 124.66% above that conservative value. A PEG of 4.82 says growth is expensive. The low beta of 0.19 may comfort, but I see no margin of safety. I would rather wait for a better price or clearer evidence that profits can accelerate.

In plain English: Thomson Reuters sells legal, tax, accounting and news information and software to businesses. In its latest reported quarter, it earned $448.0 million on $2.0 billion of revenue, so the business is solidly profitable. At the recent price of $105.14, the shares look expensive compared with the company's profits, asset value and long-term growth, even though it pays a decent dividend and carries little debt.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer