Core Insights - Affordability is a significant concern for both auto lenders and dealers, impacting consumer participation in the market [2] - 2026 vehicle sales are projected to decline due to higher prices and economic uncertainty [2] Vehicle Financing Trends - Average monthly payments for new-vehicle loans reached $785 in Q4 2025, marking a 3.7% increase from the previous year [3] - The average amount financed for new-vehicle loans was $44,650 in Q4 2025, up 5.3% year-over-year [4][6] - Average used-vehicle payments were $541 for loans originated in Q4 2025, reflecting a 3.6% increase from the prior year [5] Credit Market Conditions - Overall delinquencies in the auto loan market appear manageable by historical standards, with good access to credit for most new-vehicle shoppers [6] - Despite a low share of loans to subprime borrowers, losses and potential losses on subprime loans are increasing due to rising delinquencies [7]

Core Insights - Consumer intent to purchase vehicles remains strong for 2026, with 39% of U.S. adults planning to buy a car, indicating high priority for vehicle purchases [1][2][3] Consumer Intent and Trends - More than 80% of consumers intending to buy a vehicle expect to do so within the next 12 months, with 65% planning to trade in their current vehicle, supporting the used car market [2][3] - Among those planning a vehicle transaction, 87% intend to buy and 13% intend to lease, with younger generations showing a greater interest in leasing [3] Market Dynamics - Auto loan originations began to rise in 2025, driven by anticipation of tariffs and the end of the EV tax credit, with super prime and subprime segments leading this growth despite affordability challenges [4] - Affordability remains a significant obstacle, with 53% of consumers citing cost concerns and 44% citing economic uncertainty [5] Vehicle Preferences - Half of prospective buyers intend to purchase traditional gas-powered vehicles, while 33% prefer hybrids and 16% prefer electric vehicles (EVs), with Millennials showing a slight preference for hybrids [6] - Consumers interested in EVs cite lower fuel costs (72%), environmental benefits (66%), and new technology features (62%) as key reasons for their interest [7] Challenges to EV Adoption - Internal combustion powertrains dominate due to affordability and charging infrastructure challenges, with Millennials increasingly interested in hybrids and Gen Z leaning towards traditional gas vehicles [8]

Core Viewpoint - TransUnion is set to enhance its communications solutions and fraud prevention capabilities through the acquisition of RealNetworks' mobile division, expected to close in the first half of the year, pending regulatory approvals [2][4]. Group 1: Acquisition Details - The acquisition will strengthen TransUnion's portfolio in communications solutions and expand its fraud prevention capabilities [2]. - TransUnion has signed a definitive agreement for the acquisition, which is anticipated to close in the first half of the year, subject to customary closing conditions and regulatory approvals [2]. - The mobile division of RealNetworks provides solutions for identifying fraudulent messages and calls, enabling secure branded calls, and detecting synthetic and cloned voices during calls [5]. Group 2: Technological Advancements - The acquisition will bring advanced artificial intelligence (AI) and machine learning (ML) technologies to TransUnion, along with real-time analytics of text, multimedia messages, and phone calls [4]. - TransUnion aims to revolutionize inbound and outbound communications, enhancing consumer experiences and reducing fraud risk through the integration of RealNetworks' platform [5]. Group 3: Strategic Growth Initiatives - TransUnion has previously expanded its operations beyond core credit services into marketing, fraud, risk, and advanced analytics through earlier acquisitions and technology investments [3]. - In January 2025, TransUnion announced plans to acquire Trans Union de Mexico to strengthen its presence in Mexico and enhance global consumer protection [6]. - Additionally, in January 2025, TransUnion planned to acquire Monevo, a British credit prequalification/distribution platform, to facilitate secure transactions for consumers and organizations [7].

Core Viewpoint - TransUnion has signed a definitive agreement to acquire the mobile division of RealNetworks, aiming to enhance mobile communications safety and reliability for businesses and consumers [1][2] Group 1: Acquisition Details - The acquisition is expected to augment TransUnion's capabilities with advanced AI and machine learning technologies, as well as real-time analytics of text, multimedia messages, and phone calls to reduce fraud [1][2] - The transaction is anticipated to close in the first half of 2026, pending customary closing conditions and regulatory approvals [5] Group 2: Fraud Prevention and Communication Solutions - Mobile phone fraud exceeds $80 billion annually worldwide, and TransUnion's solutions are designed to protect businesses and consumers while restoring trust in phone communications [2] - The integration of RealNetworks' technology is expected to enhance TransUnion's voice channel capabilities and extend its fraud prevention measures to messaging [2][3] - TransUnion's Trusted Call Solutions are designed to help businesses reach more customers by adding verified brand information and blocking fraudulent calls [3] Group 3: Strategic Benefits - The acquisition is expected to strengthen TransUnion's competitive position in the communications solutions market and open new revenue opportunities [4] - RealNetworks' mobile division is anticipated to bring strategic relationships and network integration experience with leading telecom service providers worldwide [2][4]

Core Insights - Paying off student loans can lead to a temporary dip in credit scores, but the long-term financial benefits outweigh this concern [1][7] - Credit scores are influenced by factors such as payment history and amounts owed, which remain unaffected by early loan repayment [6] Group 1: Credit Score Impact - Paying off a student loan results in account closure, which alters credit mix and reduces the average age of active accounts [3][4] - The change in credit score is usually minor and temporary, with accounts in good standing remaining on credit reports for up to ten years [5] - The most significant factors affecting credit scores, such as payment history, are preserved even after loan repayment [6] Group 2: Benefits of Paying Off Loans - Eliminating student loans improves monthly cash flow and reduces future interest payments, potentially saving thousands [8] - Paying off loans lowers the debt-to-income ratio, which is crucial for obtaining mortgages or refinancing [8] - Reducing debt alleviates financial stress and simplifies overall financial management [8]

Core Viewpoint - Gartner Inc. is expected to report its fourth-quarter 2025 results on February 3, with a history of exceeding earnings estimates, averaging a surprise of 24.4% over the past four quarters [1]. Revenue Expectations - The Zacks Consensus Estimate for Gartner's total revenue is $1.7 billion, reflecting a 1.7% increase compared to the same quarter last year [2]. - The Insights segment is projected to generate revenues of $1.3 billion, indicating a 1.7% year-over-year decline [3]. - Revenue from Conferences is estimated at $271.4 million, suggesting an 8.1% increase from the previous year [3]. - Consulting revenues are expected to reach $156.7 million, representing a 2.4% increase from the prior-year quarter [3]. Gross Contribution and Earnings - The consensus estimate for gross contribution from the Insights segment is $956.1 million, which indicates a 1.6% decline from the year-ago quarter [4]. - For Conferences, the gross contribution is estimated at $126.7 million, suggesting a 5.6% year-over-year increase [4]. - The consulting segment's gross contribution is projected at $53.9 million, implying a slight rise from the previous year [4]. - The consensus estimate for earnings per share (EPS) is $3.50, indicating a significant year-over-year decline of 35.8% [4]. Earnings Prediction - The model predicts that Gartner is likely to beat earnings expectations this quarter, supported by a positive Earnings ESP of +0.80% and a Zacks Rank of 3 (Hold) [5].

Economic Overview - The U.S. services sector continued its expansion in December 2025, with the Services PMI at 54.4%, marking the highest reading of the year and the 10th month of expansion [1] - Real GDP increased at an annual rate of 4.4% during July-September, up from 3.8% in the previous quarter, indicating economic resilience amid inflationary pressures and trade policy uncertainty [2] Services Sector Performance - The services sector's performance reflects the U.S. economy's adaptability, driven by sustained consumer demand across various industries, including transportation, retail, finance, and healthcare [3] - However, certain segments like construction and professional services showed relative weakness, indicating disparities within the sector [3][4] Earnings Outlook - Several service providers are expected to report earnings soon, with Gartner, Coherent, Exponent, and TransUnion identified as stocks likely to beat earnings estimates this season [4] - Gartner's revenue estimate is $1.74 billion, reflecting a 1.7% year-over-year growth, while earnings are expected at $3.50 per share, a decline of 35.8% from the previous year [9] - Coherent's revenue estimate is $1.63 billion, indicating a 13.9% year-over-year growth, with earnings expected at $1.22 per share, a 28.4% increase [10][11] - Exponent's revenue estimate is $128.3 million, showing a 3.6% growth, with earnings expected at 47 cents per share, a 2.1% increase [12][13] - TransUnion's revenue estimate is $1.1 billion, indicating a 9.6% increase, with earnings expected at $1.03 per share, a 6.2% rise [14][15]

Core Insights - Upstart Holdings has faced a challenging four years, with stock performance stagnating since its peak in late 2021, despite a return to growth in 2023 [1][2] - The company utilizes an AI algorithm that assesses over 2,500 variables to evaluate creditworthiness, resulting in 43% more loan approvals without additional defaults compared to traditional methods [4][3] - Upstart's revenue increased nearly 80% year-over-year through the first three quarters of 2025, indicating a positive trajectory moving forward [5] Company Overview - Upstart is a unique lending platform that differentiates itself from traditional credit scoring agencies like Equifax, Experian, and TransUnion by employing advanced AI technology [3] - The platform has gained traction, with over 100 banks and credit unions as regular customers [5] Financial Performance - Despite a recent downturn in loan originations due to economic headwinds, analysts project a per-share profit of $2.38 for the current year, with the stock trading at less than 20 times this figure, suggesting it is undervalued [9][6] - The company's gross margin stands at an impressive 97.61%, reflecting strong operational efficiency [7] Market Sentiment - The stock has not reacted positively to recent warnings about economic challenges affecting loan origination, leading to market panic [6] - Analysts expect that as the year progresses, investors will recognize the company's actual profit potential, which has been understated in recent earnings reports [9]

Core Insights - TransUnion has been awarded the 2026 Future Digital Awards Gold Winner for Best Branded Call Solution in the Telco Innovation Awards Category, recognizing its innovative contributions to the telecom industry [1] - The award highlights the effectiveness of branded calling in enhancing business outreach and protecting consumers from fraud, as stated by TransUnion's senior vice president [2] Company Achievements - TransUnion's Branded Call Display has shown significant success, with a customer, Newzip, reporting a 25% increase in answer rates with pre-approved customers and a 137% increase with earlier funnel customers after implementation [3] - In addition to the recent award, TransUnion's Branded Call Display received multiple honors in 2025, showcasing its continued recognition in the industry [4] Industry Context - The growth of branded calling is indicative of its effectiveness in improving communication and trust between businesses and consumers, which is crucial in the current market landscape [2]

Core Insights - TransUnion and FrontLobby are collaborating to integrate rental payment data into TransUnion's alternative data reporting system, enhancing visibility for housing providers and allowing renters to report their consistent, on-time rental history [1][2]. Group 1: Collaboration Details - The partnership will add rental payment information from FrontLobby to TransUnion credit reports as a separate category, enabling timely rent payments to contribute positively to credit files without being classified as debt [2][4]. - FrontLobby's platform facilitates monthly reporting of rent payments, serving over 60,000 housing providers and more than one million rental units in Canada, with reported delinquencies reduced by up to 92% [3][4]. Group 2: Benefits for Renters and Housing Providers - The integration aims to help over five million Canadian households by recognizing consistent rental payments, thereby improving their creditworthiness [4]. - Housing providers will gain enhanced insights and tenant stability, fostering stronger rental relationships and providing a competitive advantage [4][8].