Core Viewpoint - The article emphasizes the effectiveness of value investing as a strategy that consistently yields positive results across various market conditions, highlighting the importance of key valuation metrics in identifying undervalued stocks [2]. Company Analysis - Dun & Bradstreet (DNB) is identified as a strong candidate for value investors, currently holding a Zacks Rank of 2 (Buy) and a Value grade of A, indicating its potential as a solid investment opportunity [3]. - DNB has a PEG ratio of 1.87, which is lower than the industry average of 2.48, suggesting that it may be undervalued relative to its expected earnings growth [4]. - The company’s P/S ratio stands at 1.69, significantly lower than the industry average of 3.96, reinforcing the notion that DNB is likely undervalued [5]. - Overall, the combination of DNB's strong earnings outlook and favorable valuation metrics positions it as an impressive value stock at the moment [6].

Core Viewpoint - Kaskela Law LLC is investigating the fairness of the proposed buyout of Dun & Bradstreet Holdings, Inc. (DNB) by Clearlake Capital Group at a price of $9.15 per share, questioning whether shareholders are receiving adequate compensation and if there were any breaches of fiduciary duties by the company's officers or directors [1][3]. Summary by Sections Buyout Details - On March 24, 2025, DNB announced an agreement to be acquired by Clearlake Capital at a cash price of $9.15 per share, resulting in current stockholders being cashed out and the company's shares ceasing to be publicly traded [2]. Investigation Focus - The investigation aims to assess if DNB shareholders are receiving sufficient monetary consideration for their shares, especially considering that DNB's stock traded above $12.00 per share as recently as February 2025, and analysts had price targets above the buyout price at the time of the announcement [3]. Shareholder Communication - DNB shareholders are encouraged to contact Kaskela Law LLC for information regarding their legal rights and options related to the investigation [4].

Financial Performance - Revenue reached $579.8 million, showing a 2.7% increase, or 3.6% on a constant currency basis[9, 10] - Adjusted EBITDA was $210.9 million, a 4.8% increase, with an Adjusted EBITDA Margin of 36.4%[10] - Adjusted net income was $90.9 million, resulting in adjusted net earnings per diluted share of $0.21[10] Segment Performance - North America - North America revenue increased to $398.0 million, with organic revenue growing by 3.1%[12, 16] - Finance & Risk revenues in North America increased by 4% due to increased revenue from Finance solutions and Third Party Risk and Supply Chain Management solutions[12, 16] - Sales and Marketing revenues in North America increased by 2% due to higher revenues from Master Data Management ("MDM") solutions[12, 16] Segment Performance - International - International revenue increased to $181.8 million, with organic revenue growing by 4.7%[18, 20] - Finance & Risk solutions in International saw 5% BFX growth[18, 20] - Sales & Marketing in International grew 4% on a BFX basis, primarily due to higher revenue from product royalties with the WWN alliances[18, 20] Debt and Liquidity - The company holds $241 million in cash[21] - Total debt amounts to $3.548 billion, with net debt at $3.307 billion[21] - Net Debt / EBITDA ratio is 3.5x[21]

Core Insights - Dun & Bradstreet reported revenue of $579.8 million for Q1 2025, a year-over-year increase of 2.7%, with an EPS of $0.21 compared to $0.20 a year ago, slightly missing the revenue estimate by 0.02% but exceeding EPS expectations by 5% [1][2]. Revenue Breakdown - North America revenue was $398 million, exceeding the average estimate of $397.23 million, reflecting a year-over-year increase of 3% [4]. - International revenue reached $181.80 million, slightly below the average estimate of $183.19 million, with a year-over-year change of 2.2% [4]. - Sales & Marketing revenue internationally was $59 million, surpassing the average estimate of $57.94 million, marking a 1.9% year-over-year increase [4]. - North America Sales & Marketing revenue was $181.40 million, below the average estimate of $182.89 million, with a year-over-year change of 1.6% [4]. - International Finance & Risk revenue was $122.80 million, compared to the average estimate of $125.25 million, showing a year-over-year increase of 2.3% [4]. - North America Finance & Risk revenue was $216.60 million, exceeding the average estimate of $214.33 million, with a year-over-year increase of 4.1% [4]. - Total Sales & Marketing revenue was $240.40 million, slightly below the average estimate of $241.55 million, reflecting a year-over-year change of 1.7% [4]. - Total Finance & Risk revenue was $339.40 million, exceeding the average estimate of $338.39 million, with a year-over-year increase of 3.4% [4]. Stock Performance - Dun & Bradstreet's shares returned -0.2% over the past month, outperforming the Zacks S&P 500 composite's -0.7% change, and currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3].

Company Performance - Dun & Bradstreet reported quarterly earnings of $0.21 per share, exceeding the Zacks Consensus Estimate of $0.20 per share, and showing a year-over-year increase from $0.20 per share [1] - The company posted revenues of $579.8 million for the quarter ended March 2025, slightly missing the Zacks Consensus Estimate by 0.02%, but up from $564.5 million a year ago [2] - Over the last four quarters, Dun & Bradstreet has surpassed consensus EPS estimates only once and has topped consensus revenue estimates just once [2] Stock Movement and Outlook - Dun & Bradstreet shares have declined approximately 28% since the beginning of the year, compared to a decline of 5.3% for the S&P 500 [3] - The sustainability of the stock's price movement will largely depend on management's commentary during the earnings call [3] - The current consensus EPS estimate for the upcoming quarter is $0.24 on revenues of $595.09 million, and for the current fiscal year, it is $1.04 on revenues of $2.46 billion [7] Industry Context - The Business - Information Services industry, to which Dun & Bradstreet belongs, is currently ranked in the top 30% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] - The current estimate revisions trend for Dun & Bradstreet is mixed, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6]

Acquisition - The company entered into a definitive agreement to be acquired by Clearlake Capital Group, L.P. for approximately $7.7 billion, with an equity value of $4.1 billion, expected to close in Q3 2025[146][147]. Client Base and Revenue Sources - As of December 31, 2024, the company had a global client base of approximately 215,000, serving various industries including financial services, technology, and government[143]. - The company generated approximately 30% of its revenues from non-U.S. markets, making it susceptible to fluctuations in foreign currency exchange rates[153]. - The company’s revenue is primarily generated through subscription-based contracts, providing data and analytics services to clients[157]. Financial Performance - Total revenue for Q1 2025 was $579.8 million, an increase of $15.3 million or 2.7% compared to $564.5 million in Q1 2024[177]. - Adjusted EBITDA for Q1 2025 was $210.9 million, up from $201.3 million in Q1 2024, reflecting a margin of 36.4% compared to 35.7%[175]. - Adjusted net income for Q1 2025 was $90.9 million, compared to $85.0 million in Q1 2024, resulting in adjusted net earnings per diluted share of $0.21 versus $0.20[175]. - Operating income for Q1 2025 was $35.3 million, an increase from $16.6 million in Q1 2024[174]. - Net income attributable to Dun & Bradstreet Holdings, Inc. for Q1 2025 was a loss of $15.8 million, improving from a loss of $23.2 million in Q1 2024[176]. - The company reported a net income margin of (2.7)% for Q1 2025, compared to (4.1)% in Q1 2024[174]. - The increase in total revenue was attributed to growth in the underlying business and positive foreign exchange impacts, with a 3.6% increase before the effect of foreign exchange[177]. Cost Management and Expenses - Interest expense for Q1 2025 was $52.9 million, significantly reduced from $85.3 million in Q1 2024[174]. - Restructuring charges for Q1 2025 were $2.9 million, down from $3.4 million in Q1 2024[174]. - Interest expense decreased by $32.4 million to $52.9 million, primarily due to the write-off of debt issuance costs in the prior year[197]. Regional Performance - North America revenue increased by $11.4 million, or 2.9%, with Finance & Risk segment growing by $8.5 million (4.1%) and Sales & Marketing by $2.9 million (1.6%) compared to the prior year[179][180][181]. - International revenue increased by $3.9 million, or 2.2%, with Finance & Risk segment growing by $2.8 million (2.3%) and Sales & Marketing by $1.1 million (1.9%) compared to the prior year[182][183][184]. Cash Flow and Liquidity - Cash and cash equivalents as of March 31, 2025, totaled $241.3 million, with $207.4 million held by foreign operations, including $74.9 million from China and India subsidiaries[207]. - Net cash provided by operating activities decreased by $22.0 million to $136.9 million for the three months ended March 31, 2025, primarily due to higher income tax payments[209][210]. - The company reported a decrease in net cash used in financing activities by $31.1 million, primarily due to lower term loan repayments and higher net proceeds from borrowings on the Revolving Facility[213]. Debt and Taxation - Total debt as of March 31, 2025, was $3,547.6 million, with $3,516.6 million classified as long-term debt[215]. - The effective tax rate for the three months ended March 31, 2025, was (2.7)%, compared to 66.0% for the same period in 2024, mainly due to an uncertain tax position benefit from an audit settlement[200]. Future Outlook and Risks - Future capital requirements will depend on various unpredictable factors, including potential acquisitions and market conditions, with the company actively managing interest rate risks through swaps[206][218]. - The company expects operating cash requirements in 2025 to be primarily related to interest payments, contractual obligations, and tax liabilities, with a potential $31 million impact from a 100 basis point change in interest rates[211]. - The company is exposed to risks from geopolitical conflicts, including the ongoing Russian-Ukraine war, which may impact global economic growth and client spending[154][155]. Operational Efficiency - The company reported strong operating leverage and high client retention due to its proprietary data and analytics solutions, contributing to significant free cash flow[144]. - The company’s Finance & Risk solutions are critical for clients in decision-making processes, particularly in extending business loans and trade credit[141]. - The company’s Sales & Marketing solutions help clients optimize their sales strategies, enhancing efficiency in advertising campaigns[160]. Shareholder Returns - The company has authorized a stock repurchase program allowing for the repurchase of up to 10 million shares, with 961,360 shares repurchased for $9.3 million at an average price of $9.71 per share since inception[152].

Revenue Growth - Dun & Bradstreet reported a 3.6% organic revenue growth for Q1 2025, with adjusted net earnings increasing by 6.9%[3] - Revenue for Q1 2025 was $579.8 million, an increase of 2.3% compared to $564.5 million in Q1 2024[31] - Total revenue for Q1 2025 was $579.8 million, an increase from $564.5 million in Q1 2024, representing a growth of 2.0%[39] - International revenue was $579.8 million, an increase of 2.7%, with adjusted EBITDA of $210.9 million, up 4.8% compared to the prior year[7] - Finance and Risk revenue grew by 4.1% to $216.6 million, while Sales and Marketing revenue increased by 1.6% to $181.4 million[8] Financial Performance - The company reported a GAAP net loss of $15.8 million for Q1 2025, an improvement from a net loss of $23.2 million in the prior year[7] - Net loss attributable to Dun & Bradstreet Holdings, Inc. was $15.8 million in Q1 2025, compared to a net loss of $23.2 million in Q1 2024, a reduction of 31.8%[31] - Adjusted net income for Q1 2025 was $90.9 million, up from $85.0 million in Q1 2024, indicating a growth of 4.6%[40] - Adjusted net earnings per diluted share increased to $0.21 in Q1 2025 from $0.20 in Q1 2024[40] Cash and Debt Management - As of March 31, 2025, Dun & Bradstreet had cash and cash equivalents of $241.3 million and total debt of $3,547.6 million[11] - Cash and cash equivalents increased to $241.3 million as of March 31, 2025, compared to $205.9 million at the end of 2024[34] - Total liabilities decreased to $5,434.5 million as of March 31, 2025, from $5,441.3 million at the end of 2024[33] - Interest expense decreased significantly to $52.9 million in Q1 2025 from $85.3 million in Q1 2024, a reduction of 38.0%[31] Operating Metrics - Operating income improved to $35.3 million in Q1 2025 from $16.6 million in Q1 2024, representing a 112.6% increase[31] - Adjusted EBITDA for Q1 2025 was $210.9 million, up from $201.3 million in Q1 2024, reflecting a margin increase to 36.4% from 35.7%[36] - The adjusted EBITDA margin for North America was 41.8%, while the international adjusted EBITDA margin was 36.4%[5][10] - Total operating costs for Q1 2025 were $411.1 million, compared to $396.4 million in Q1 2024, marking an increase of 3.7%[39] Shareholder Actions - Since the inception of the Stock Repurchase Program, 961,360 shares have been repurchased for $9.3 million, with no activity during Q1 2025[12] - The company will not declare or pay any dividends as part of the agreement with Clearlake[13] Future Guidance - The company has suspended forward-looking guidance due to a proposed transaction with Clearlake Capital Group[14] Other Financial Metrics - Deferred revenue increased to $660.7 million as of March 31, 2025, compared to $555.9 million at the end of 2024, indicating growth in future revenue recognition[33] - The weighted average number of shares outstanding (diluted) increased to 438.0 million in Q1 2025 from 435.7 million in Q1 2024[40] - The company incurred restructuring charges of $2.9 million in Q1 2025, slightly down from $3.4 million in Q1 2024[40] - Incremental amortization of intangible assets was $102.5 million in Q1 2025, down from $110.8 million in Q1 2024[40]

Core Viewpoint - Wohl & Fruchter LLP is investigating the fairness of the proposed sale of Dun & Bradstreet Holdings, Inc. (DNB) to Clearlake Capital for $9.15 per share, which is below the price targets set by multiple Wall Street analysts and significantly lower than DNB's 52-week high of $12.95 per share, indicating a potentially opportunistic deal [1][3]. Group 1 - The sale price of $9.15 per share is below the price targets of at least seven Wall Street analysts, suggesting concerns about the fairness of the offer [1][3]. - The proposed sale price is significantly lower than DNB's 52-week high of $12.95 per share, raising questions about the motivations behind the deal [1][3]. - Wohl & Fruchter LLP is examining whether the DNB Board of Directors acted in the best interests of shareholders and if all material information regarding the transaction has been disclosed [4]. Group 2 - Analysts have set various price targets for DNB, with the highest being $17.00 per share from Deutsche Bank, followed by targets of $15.00, $14.00, $12.00, $11.00, and $10.00 from other firms [5]. - The investigation aims to determine if the agreed sale price is fair to DNB shareholders [4]. - Wohl & Fruchter LLP has a history of representing investors in litigation related to corporate misconduct, recovering significant damages for investors [4].

Group 1 - Monteverde & Associates PC has recovered millions for shareholders and is recognized as a Top 50 Firm in the 2024 ISS Securities Class Action Services Report [1] - The firm is investigating Dun & Bradstreet Holdings, Inc. regarding its proposed merger with Clearlake Capital Group, L.P. [1] - Under the merger agreement, Dun & Bradstreet shareholders will receive $9.15 in cash for each share of common stock [1] Group 2 - Monteverde & Associates PC is a national class action securities firm with a successful track record in trial and appellate courts, including the U.S. Supreme Court [2] - The firm operates from the Empire State Building in New York City [2] - The firm encourages shareholders with concerns to contact them for additional information [3]

Group 1 - The ideal investment is characterized by core business operations in sectors expected to grow structurally at rates exceeding GDP growth over the next 5-10 years [1] - Profits should stem from sustainable competitive advantages that lead to attractive unit economics [1] - The investment should be managed by competent, ethical, and long-term thinkers, and should be fairly valued [1]