Equifax (NYSE:EFX) Announces Earnings Results

Equifax (NYSE:EFX) issued its earnings results on Tuesday. The credit services provider reported $2.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.20 by $0.06, FiscalAI reports. The business had revenue of $1.69 billion during the quarter, compared to analysts’ expectations of $1.69 billion. Equifax had a net margin of 10.73% and a return on equity of 21.61%. The business’s revenue for the quarter was up 9.6% compared to the same quarter last year. During the same period in the previous year, the company earned $2.04 earnings per share.

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

• Positive Sentiment: Equifax reported solid Q3 execution despite mortgage headwinds: revenue rose 10% reported, adjusted EPS increased 11% to $2.26, and diversified markets revenue grew 8%, above guidance.
• Positive Sentiment: AI-driven productivity and cost management expanded adjusted EBITDA margins by 130 basis points excluding FICO, prompting the company to raise its full-year margin expansion outlook to 100 basis points from 75 basis points.
• Negative Sentiment: Higher mortgage rates materially weakened U.S. mortgage activity, reducing Q3 revenue by approximately $20 million versus expectations and lowering projected Q4 revenue by about $60 million; management expects mortgage originations could decline at a high-single-digit rate in 2027 if current conditions persist.
• Positive Sentiment: Workforce Solutions showed strong underlying momentum, including more than 20% growth in Talent Solutions, high-double-digit growth in consumer lending, 12% growth in active Work Number records, and over $550 million in government contract signings and renewals expected to benefit 2027.
• Positive Sentiment: VantageScore adoption is accelerating, with roughly 2,000 mortgage lenders using the score and mortgage volume up more than 230% since April; Equifax expects broader paid adoption to generate an estimated $30 million-$40 million of incremental annual margin, while the Círculo de Crédito acquisition is expected to close in Q4 and be EPS-accretive in its first full year.

Equifax Price Performance

Shares of NYSE:EFX opened at $177.12 on Wednesday. The company has a debt-to-equity ratio of 0.92, a quick ratio of 0.60 and a current ratio of 0.60. The firm has a market cap of $20.81 billion, a price-to-earnings ratio of 31.13, a price-to-earnings-growth ratio of 1.66 and a beta of 1.35. The business has a 50-day simple moving average of $166.97 and a two-hundred day simple moving average of $169.93. Equifax has a fifty-two week low of $137.01 and a fifty-two week high of $238.94.

Equifax Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 15th. Shareholders of record on Monday, August 31st were given a $0.56 dividend. The ex-dividend date of this dividend was Monday, August 31st. This represents a $2.24 dividend on an annualized basis and a yield of 1.3%. Equifax’s payout ratio is 39.37%.

Insider Transactions at Equifax

In other news, EVP John Gamble sold 4,500 shares of the business’s stock in a transaction that occurred on Thursday, September 3rd. The shares were sold at an average price of $187.96, for a total transaction of $845,820.00. Following the completion of the transaction, the executive vice president directly owned 69,055 shares of the company’s stock, valued at $12,979,577.80. The trade was a 6.12% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Mark W. Begor sold 37,791 shares of the business’s stock in a transaction that occurred on Friday, July 24th. The shares were sold at an average price of $172.16, for a total transaction of $6,506,098.56. Following the transaction, the chief executive officer directly owned 271,890 shares of the company’s stock, valued at $46,808,582.40. The trade was a 12.20% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 1.70% of the company’s stock.

More Equifax News

Here are the key news stories impacting Equifax this week:

• Positive Sentiment: Equifax reported third-quarter adjusted earnings of $2.26 per share, above the $2.20 analyst consensus, while revenue of $1.693 billion was in line with expectations and increased approximately 10% year over year. Lower selling, general and administrative expenses, including productivity and AI-related efficiencies, helped support profitability. Equifax Stock Gains 12% Over Strong Q3 Report
• Positive Sentiment: Growth was broad-based outside housing: U.S. Information Solutions revenue rose 13% to $599.1 million, Workforce Solutions increased 7% to $693.9 million, and international revenue grew 9% to $399.5 million. Diversified markets revenue advanced 8%, while state-agency contract signings reached $550 million in annual contract value. Equifax: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: The company returned $158 million to shareholders during the quarter through $92 million of share repurchases and $66 million in dividends, reinforcing the capital-return story. Equifax Third-Quarter 2026 Results
• Neutral Sentiment: Management said consumer financial health and most U.S. markets remain resilient, and highlighted continued potential from AI-enabled products and operating efficiencies. However, mortgage transaction volumes began declining in late August as interest rates rose, creating a significant near-term headwind. Equifax Earnings Call Highlights AI Gains, Mortgage Drag
• Negative Sentiment: Equifax reduced its 2026 reported-revenue outlook to $6.646 billion–$6.676 billion and guided fourth-quarter revenue to $1.605 billion–$1.635 billion, reflecting prolonged mortgage weakness. A recent Mizuho price-target cut from $210 to $185 also signals more limited upside expectations despite an “outperform” rating.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the stock. BNP Paribas Exane increased their price target on shares of Equifax from $185.00 to $190.00 and gave the company a “neutral” rating in a report on Wednesday, July 22nd. Citigroup decreased their price objective on shares of Equifax from $238.00 to $220.00 and set a “buy” rating for the company in a report on Wednesday, July 22nd. Deutsche Bank Aktiengesellschaft set a $208.00 price objective on Equifax and gave the company a “buy” rating in a research report on Wednesday, July 22nd. Rothschild & Co Redburn raised Equifax from a “neutral” rating to a “buy” rating and upped their price objective for the company from $214.00 to $235.00 in a research report on Friday, August 21st. Finally, Barclays cut their target price on Equifax from $200.00 to $155.00 and set an “equal weight” rating on the stock in a research note on Friday, October 2nd. Fourteen research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $199.52.

About Equifax

Equifax Inc (NYSE: EFX) is a global data, analytics and technology company that provides information and services to help businesses, governments and consumers make informed financial and workforce decisions. The company is best known for its credit reporting activities, but its offerings also include identity verification, fraud prevention, income and employment verification, marketing services and risk management solutions.

Equifax provides consumer and commercial credit information, credit reports and related analytics to lenders and other businesses.