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Equifax Inc. (EFX), headquartered in Atlanta, Georgia, is a leading global data, analytics, and technology company. Valued at $31.5 billion by market cap, the company brings buyers and sellers together through its information management, transaction processing, direct marketing, and customer relationship management businesses. The credit bureau giant is expected to announce its fiscal third-quarter earnings for 2025 on Wednesday, Oct. 15.
Ahead of the event, analysts expect EFX to report a profit of $1.94 per share on a diluted basis, up 4.9% from $1.85 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports.
For the full year, analysts expect EFX to report EPS of $7.56, up 3.7% from $7.29 in fiscal 2024. Its EPS is expected to rise 20.8% year-over-year to $9.13 in fiscal 2026.
EFX stock has considerably underperformed the S&P 500 Index’s ($SPX) 15.6% gains over the past 52 weeks, with shares down 12.5% during this period. Similarly, it notably underperformed the Industrial Select Sector SPDR Fund’s (XLI) 13.3% gains over the same time frame.
Equifax's underperformance is attributed to macroeconomic challenges, including a weak mortgage market due to high interest rates and home prices, reduced hiring, and regulatory issues. Despite maintaining full-year revenue guidance, the company's cautious tone due to economic uncertainties may have negatively impacted investor sentiment.
On Jul. 22, EFX shares closed down more than 8% after reporting its Q2 results. Its adjusted EPS of $2 topped Wall Street expectations of $1.92. The company’s revenue was $1.54 billion, topping Wall Street forecasts of $1.51 billion. EFX expects full-year adjusted EPS in the range of $7.33 to $7.63, and expects revenue to be between $5.97 billion and $6.04 billion.
Analysts’ consensus opinion on EFX stock is reasonably bullish, with a “Moderate Buy” rating overall. Out of 24 analysts covering the stock, 11 advise a “Strong Buy” rating, three suggest a “Moderate Buy,” and 10 give a “Hold.” EFX’s average analyst price target is $279.81, indicating a potential upside of 10% from the current levels.
