Thomson Reuters (NASDAQ:TRI) Announces Earnings Results

Thomson Reuters (NASDAQ:TRI) posted its quarterly earnings results on Tuesday. The company reported $1.23 earnings per share for the quarter, beating analysts’ consensus estimates of $1.19 by $0.04, Briefing.com reports. Thomson Reuters had a return on equity of 14.51% and a net margin of 20.09%.The business’s quarterly revenue was up 9.8% compared to the same quarter last year. During the same period in the prior year, the business earned $1.12 earnings per share.

Here are the key takeaways from Thomson Reuters’ conference call:

• Strong start to 2026 with organic revenue up 8% (big three ~9%), adjusted EBITDA up 9% to $881M, adjusted EPS $1.23 (+10%), and management reaffirmed full‑year organic growth of 7.5%–8% and a ~40% EBITDA margin (+100 bps).
• Rapid AI adoption — the company reached 1 million advanced AI users; Westlaw Advantage adoption is faster than prior upgrades (Advantage users and deep research searches >7x in six months), CoCounsel skill users have quadrupled YoY, and CoCounsel Tax & Audit activity is ~5x since September.
• Proprietary model and positioning — the in‑house legal LLM “Thompson” is said to outperform frontier models on specific legal tasks, and Thomson Reuters emphasizes its “fiduciary‑grade AI” moat built on authoritative content, domain experts, privacy/governance, and customer support.
• Strong capital allocation — raised the dividend 10%, repurchased $262M in Q1, completed a $605M return of capital and share consolidation (~2% fewer shares), and cites >$9B of estimated capital capacity through 2028 for buybacks, dividends or M&A.
• Near‑term headwinds include sluggish government legal growth (1% in Q1), a 5% decline in Global Print, rising LLM costs and expected Q2 EBITDA margin compression to ~38% due to seasonality and higher AI-related costs.

Thomson Reuters Stock Performance

Shares of NASDAQ TRI traded down $3.92 during midday trading on Tuesday, hitting $91.83. 1,955,405 shares of the company’s stock were exchanged, compared to its average volume of 2,462,837. The company has a quick ratio of 0.64, a current ratio of 0.64 and a debt-to-equity ratio of 0.11. Thomson Reuters has a 12 month low of $79.71 and a 12 month high of $218.42. The company’s 50 day moving average price is $93.63 and its 200 day moving average price is $116.45. The firm has a market capitalization of $40.67 billion, a PE ratio of 27.58, a price-to-earnings-growth ratio of 1.41 and a beta of 0.80.

Thomson Reuters Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, March 10th. Stockholders of record on Tuesday, February 17th were paid a dividend of $0.655 per share. The ex-dividend date was Tuesday, February 17th. This represents a $2.62 annualized dividend and a dividend yield of 2.9%. This is an increase from Thomson Reuters’s previous quarterly dividend of $0.60. Thomson Reuters’s dividend payout ratio is presently 78.68%.

Key Stories Impacting Thomson Reuters

Here are the key news stories impacting Thomson Reuters this week:

• Positive Sentiment: Q1 results beat consensus — EPS $1.23 and revenue up ~9.8% year-over-year, with healthy margins and ROE, showing durable business momentum. Thomson Reuters (TRI) Q1 Earnings and Revenues Top Estimates
• Positive Sentiment: Large cash return and buybacks: completed a $605M return-of-capital transaction, repurchased $262M (2.5M shares) and raised the annual dividend 10% — all supportive for shareholder value. Thomson Reuters Reports First-Quarter 2026 Results
• Positive Sentiment: Management addressed AI-related investor concerns and outlined its own AI strategy, which helped reassure some investors about competitive positioning in professional information services. Thomson Reuters Turned In Strong Earnings. How It’s Fighting AI Fears.
• Neutral Sentiment: Company reiterated full-year targets for organic revenue growth, adjusted EBITDA margin and free cash flow — a steadying signal but not an upward catalyst on its own. Thomson Reuters Reports First-Quarter 2026 Results
• Neutral Sentiment: Corporate filings (Form 6‑K) and the availability of the earnings slide deck and call transcript improve disclosure but don’t change fundamentals immediately. Q1 Slide Deck / Press Release
• Negative Sentiment: FY revenue guidance printed in a narrow $8.0B–$8.1B range that is essentially flat to consensus but slightly exposed to downside vs some estimates; EPS guidance detail appeared incomplete/uncertain in early releases — that guidance ambiguity likely pressured the stock. Thomson Reuters Reports First-Quarter 2026 Results
• Negative Sentiment: Corporate actions — a large share consolidation / reverse split (noted 1001:1016 ratio) and a recent trading halt for “news pending” — can spook traders and reduce near-term liquidity, amplifying volatility. MarketBeat TRI Summary

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in TRI. TLT Family Holdco ULC bought a new position in shares of Thomson Reuters during the 2nd quarter worth approximately $865,442,000. SEG Family Corp. bought a new position in shares of Thomson Reuters during the 2nd quarter worth approximately $659,930,000. Invesco Ltd. boosted its stake in shares of Thomson Reuters by 461.1% during the 3rd quarter. Invesco Ltd. now owns 2,253,243 shares of the company’s stock worth $349,996,000 after acquiring an additional 1,851,677 shares during the period. Morgan Stanley boosted its stake in shares of Thomson Reuters by 31.2% during the 4th quarter. Morgan Stanley now owns 2,802,312 shares of the company’s stock worth $369,597,000 after acquiring an additional 665,743 shares during the period. Finally, Bank of America Corp DE boosted its stake in shares of Thomson Reuters by 64.0% during the 3rd quarter. Bank of America Corp DE now owns 1,219,341 shares of the company’s stock worth $189,400,000 after acquiring an additional 475,989 shares during the period. 17.31% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

TRI has been the subject of a number of analyst reports. Royal Bank Of Canada upgraded Thomson Reuters from a “sector perform” rating to an “outperform” rating and set a $126.00 price target for the company in a research note on Tuesday, February 10th. Morgan Stanley set a $116.00 price target on Thomson Reuters in a research note on Friday, February 6th. The Goldman Sachs Group set a $111.00 price target on Thomson Reuters and gave the company a “buy” rating in a research note on Saturday, February 7th. Bank of America raised their price target on Thomson Reuters from $100.00 to $115.00 and gave the company a “neutral” rating in a research note on Tuesday, March 10th. Finally, Scotiabank restated an “outperform” rating and issued a $156.00 price target (down from $189.00) on shares of Thomson Reuters in a research note on Friday, February 6th. One research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, five have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $148.23.

Thomson Reuters Company Profile

Thomson Reuters is a global provider of information and technology solutions for professional markets, including financial services, legal, tax and accounting, and media industries. The company delivers a range of data, analytics and software tools designed to help customers make informed decisions, manage risk and stay compliant with evolving regulations. Its key offerings include the Eikon financial data platform, Westlaw legal research service, Checkpoint tax and accounting solution, and Reuters News, which supplies real‐time journalism to media organizations worldwide.

Formed in 2008 through the merger of Canada’s Thomson Corporation (founded in 1934) and the UK’s Reuters Group (established in 1851), Thomson Reuters has built on a legacy of journalistic integrity and information innovation.