Thomson Reuters' (TRI) stock is pricing in a reasonable amount of risk on the competition, moat, and pricing debates relative to its near-term organic revenue growth outlook, RBC Capital Markets said in a note Thursday.
Analysts said the total addressable market is the most important determinant in sizing Thomson Reuters' growth and risk profile.
Incremental developments over the past week skew directionally positive for the debate on the total addressable market, negative for competition and pricing debates, and largely neutral for moat and margin debates, RBC said.
Analysts said that these developments include Harvey's disclosure that monthly token consumption surged 12x from January to May, CoCounsel Legal customers gaining access to CoCounsel Next, and Anthropic launching Claude Tag as a persistent enterprise AI agent.
RBC has an outperform rating on the stock and a $129 price target.
Shares of Thomson Reuters were up 3.8% in Friday trading.
Price: $84.11, Change: $+3.10, Percent Change: +3.82%