Equifax (NYSE:EFX) Issues Earnings Results, Beats Estimates By $0.05 EPS

Equifax (NYSE:EFX) posted its earnings results on Tuesday. The credit services provider reported $2.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.20 by $0.05, Briefing.com reports. Equifax had a net margin of 10.73% and a return on equity of 21.61%. The company had revenue of $1.70 billion during the quarter, compared to the consensus estimate of $1.70 billion. During the same period in the previous year, the firm posted $2.00 earnings per share. The firm’s quarterly revenue was up 10.6% on a year-over-year basis. Equifax updated its Q3 2026 guidance to 2.150-2.250 EPS and its FY 2026 guidance to 8.390-8.690 EPS.

Here are the key takeaways from Equifax’s conference call:

• Equifax beat second-quarter expectations, with revenue of $1.7 billion up 11% reported and EPS up 13% to $2.25. Management also highlighted strong margin execution, with EBITDA margin ex-FICO up 120 basis points year over year.
• AI is becoming a larger earnings driver across both products and operations. Equifax doubled its AI-related productivity savings target to $150 million from 2026-2028 and said over half of first-half new products now embed AI capabilities.
• Workforce Solutions and government bookings were strong, including about $300 million of state-government contracts signed in the last four months. Management said the new deals and renewals should mostly benefit 2027 growth, with pipeline still running about 2x last year.
• Mortgage remains a mixed picture: U.S. mortgage revenue outperformed the weaker market, but higher rates pressured overall originations and management now expects only low-single-digit industry growth. Equifax continues pushing VantageScore adoption, though revenue impact is still small for now.
• Equifax announced a $750 million acquisition of Círculo de Crédito in Mexico, describing it as accretive in year one and consistent with its bolt-on M&A strategy. The company also reiterated full-year free cash flow of over $1 billion and ongoing share repurchases while keeping leverage below 3x EBITDA.

Equifax Price Performance

Shares of Equifax stock opened at $170.29 on Thursday. The firm has a market cap of $20.28 billion, a PE ratio of 29.93, a P/E/G ratio of 1.31 and a beta of 1.32. Equifax has a twelve month low of $150.74 and a twelve month high of $271.84. The company has a quick ratio of 0.61, a current ratio of 0.60 and a debt-to-equity ratio of 0.92. The business has a 50-day moving average price of $165.52 and a 200 day moving average price of $183.07.

Equifax Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Friday, May 22nd were given a dividend of $0.56 per share. The ex-dividend date was Friday, May 22nd. This represents a $2.24 dividend on an annualized basis and a dividend yield of 1.3%. Equifax’s dividend payout ratio (DPR) is 39.44%.

Analysts Set New Price Targets

A number of equities analysts have weighed in on EFX shares. Weiss Ratings upgraded Equifax from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Thursday, July 16th. Morgan Stanley dropped their target price on Equifax from $243.00 to $225.00 and set an “overweight” rating on the stock in a report on Wednesday. BMO Capital Markets reduced their price target on Equifax from $195.00 to $179.00 and set a “market perform” rating for the company in a research report on Monday, July 13th. Jefferies Financial Group decreased their price target on Equifax from $220.00 to $200.00 and set a “buy” rating for the company in a report on Friday, April 24th. Finally, Mizuho lowered their price objective on Equifax from $222.00 to $210.00 and set an “outperform” rating on the stock in a research report on Thursday, July 2nd. Thirteen analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to MarketBeat.com, Equifax currently has an average rating of “Moderate Buy” and an average target price of $215.79.

Key Equifax News

Here are the key news stories impacting Equifax this week:

• Positive Sentiment: Equifax topped Q2 earnings estimates with EPS of $2.25 and posted $1.70 billion in revenue, up 11% year over year, showing solid underlying demand in its credit services and verification businesses. Article Title
• Positive Sentiment: Management raised its AI-driven cost savings target to $150 million through 2028, which could support margins and operating leverage over time. Article Title
• Positive Sentiment: Analysts largely kept bullish ratings after the report, with several still recommending Buy despite trimming price targets, suggesting the long-term thesis remains intact. Article Title
• Neutral Sentiment: Equifax announced a deal to acquire Círculo de Crédito, which could broaden its footprint, but investors are still waiting to see the financial impact of the transaction. Article Title
• Negative Sentiment: The stock is reacting to weaker-than-expected Q3 and full-year 2026 guidance, which came in below Wall Street forecasts and overshadowed the earnings beat. Article Title
• Negative Sentiment: Margins were pressured by a legal settlement accrual, and management also pointed to ongoing mortgage-market and macroeconomic softness, adding to near-term caution. Article Title

Insider Buying and Selling

In other Equifax news, EVP Chad M. Borton sold 2,455 shares of the stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $173.89, for a total transaction of $426,899.95. Following the transaction, the executive vice president owned 29,518 shares in the company, valued at approximately $5,132,885.02. This represents a 7.68% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Mark W. Begor sold 37,791 shares of the firm’s stock in a transaction that occurred on Friday, April 24th. The shares were sold at an average price of $172.40, for a total value of $6,515,168.40. Following the completion of the sale, the chief executive officer directly owned 271,730 shares in the company, valued at approximately $46,846,252. The trade was a 12.21% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.70% of the company’s stock.

Institutional Investors Weigh In On Equifax

Several institutional investors and hedge funds have recently added to or reduced their stakes in EFX. Ameriflex Group Inc. lifted its holdings in Equifax by 612.5% during the fourth quarter. Ameriflex Group Inc. now owns 114 shares of the credit services provider’s stock valued at $25,000 after purchasing an additional 98 shares in the last quarter. Kemnay Advisory Services Inc. purchased a new stake in shares of Equifax during the fourth quarter worth about $26,000. State of Wyoming acquired a new position in shares of Equifax during the 2nd quarter worth about $34,000. Caitong International Asset Management Co. Ltd acquired a new position in shares of Equifax during the 3rd quarter worth about $34,000. Finally, Quarry LP purchased a new position in Equifax in the 4th quarter valued at about $36,000. Hedge funds and other institutional investors own 96.20% of the company’s stock.

About Equifax

Equifax Inc (NYSE: EFX) is a global data, analytics and technology company that specializes in consumer and commercial credit reporting, decisioning tools and identity solutions. Headquartered in Atlanta, Georgia, Equifax is one of the three major consumer credit reporting agencies in the United States and provides credit information and related services to lenders, employers, governments and consumers worldwide.

The company’s offerings include consumer credit reports and scores, credit monitoring and identity protection services, and a range of business-oriented products for risk management, fraud detection and compliance.