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EQUIFAX INC (EFX) Stock Fundamental Analysis

NYSE:EFX - New York Stock Exchange, Inc. - US2944291051 - Common Stock - Currency: USD

263.94  +4.57 (+1.76%)

After market: 263.94 0 (0%)

Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to EFX. EFX was compared to 81 industry peers in the Professional Services industry. There are concerns on the financial health of EFX while its profitability can be described as average. EFX is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

In the past year EFX was profitable.
EFX had a positive operating cash flow in the past year.
EFX had positive earnings in each of the past 5 years.
In the past 5 years EFX always reported a positive cash flow from operatings.
EFX Yearly Net Income VS EBIT VS OCF VS FCFEFX Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B

1.2 Ratios

EFX has a Return On Assets (5.16%) which is comparable to the rest of the industry.
EFX has a Return On Equity (12.29%) which is in line with its industry peers.
EFX's Return On Invested Capital of 8.25% is in line compared to the rest of the industry. EFX outperforms 59.26% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EFX is below the industry average of 12.53%.
The 3 year average ROIC (8.03%) for EFX is below the current ROIC(8.25%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 5.16%
ROE 12.29%
ROIC 8.25%
ROA(3y)5.2%
ROA(5y)5.55%
ROE(3y)14.07%
ROE(5y)15.88%
ROIC(3y)8.03%
ROIC(5y)8.32%
EFX Yearly ROA, ROE, ROICEFX Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20

1.3 Margins

Looking at the Profit Margin, with a value of 10.68%, EFX belongs to the top of the industry, outperforming 82.72% of the companies in the same industry.
EFX's Profit Margin has declined in the last couple of years.
EFX has a better Operating Margin (19.21%) than 86.42% of its industry peers.
EFX's Operating Margin has declined in the last couple of years.
The Gross Margin of EFX (55.56%) is better than 69.14% of its industry peers.
EFX's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 19.21%
PM (TTM) 10.68%
GM 55.56%
OM growth 3Y-6.25%
OM growth 5YN/A
PM growth 3Y-11.06%
PM growth 5YN/A
GM growth 3Y-2.34%
GM growth 5Y-0.34%
EFX Yearly Profit, Operating, Gross MarginsEFX Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60

3

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), EFX is creating some value.
EFX has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, EFX has more shares outstanding
The debt/assets ratio for EFX has been reduced compared to a year ago.
EFX Yearly Shares OutstandingEFX Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
EFX Yearly Total Debt VS Total AssetsEFX Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

EFX has an Altman-Z score of 4.35. This indicates that EFX is financially healthy and has little risk of bankruptcy at the moment.
EFX has a better Altman-Z score (4.35) than 72.84% of its industry peers.
EFX has a debt to FCF ratio of 6.14. This is a slightly negative value and a sign of low solvency as EFX would need 6.14 years to pay back of all of its debts.
With a Debt to FCF ratio value of 6.14, EFX perfoms like the industry average, outperforming 45.68% of the companies in the same industry.
EFX has a Debt/Equity ratio of 0.87. This is a neutral value indicating EFX is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.87, EFX is not doing good in the industry: 64.20% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 0.87
Debt/FCF 6.14
Altman-Z 4.35
ROIC/WACC1.01
WACC8.16%
EFX Yearly LT Debt VS Equity VS FCFEFX Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B 2B 3B 4B

2.3 Liquidity

EFX has a Current Ratio of 0.85. This is a bad value and indicates that EFX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.85, EFX is doing worse than 83.95% of the companies in the same industry.
EFX has a Quick Ratio of 0.85. This is a bad value and indicates that EFX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.85, EFX is doing worse than 83.95% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.85
Quick Ratio 0.85
EFX Yearly Current Assets VS Current LiabilitesEFX Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

6

3. Growth

3.1 Past

EFX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.96%.
Measured over the past 5 years, EFX shows a small growth in Earnings Per Share. The EPS has been growing by 5.38% on average per year.
EFX shows a small growth in Revenue. In the last year, the Revenue has grown by 7.12%.
The Revenue has been growing by 10.12% on average over the past years. This is quite good.
EPS 1Y (TTM)7.96%
EPS 3Y-1.55%
EPS 5Y5.38%
EPS Q2Q%2%
Revenue 1Y (TTM)7.12%
Revenue growth 3Y4.88%
Revenue growth 5Y10.12%
Sales Q2Q%3.79%

3.2 Future

The Earnings Per Share is expected to grow by 18.10% on average over the next years. This is quite good.
EFX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.32% yearly.
EPS Next Y5.43%
EPS Next 2Y13.66%
EPS Next 3Y18.82%
EPS Next 5Y18.1%
Revenue Next Year5.28%
Revenue Next 2Y7.91%
Revenue Next 3Y9.6%
Revenue Next 5Y9.32%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
EFX Yearly Revenue VS EstimatesEFX Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2B 4B 6B 8B
EFX Yearly EPS VS EstimatesEFX Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 5 10 15

2

4. Valuation

4.1 Price/Earnings Ratio

EFX is valuated quite expensively with a Price/Earnings ratio of 36.06.
61.73% of the companies in the same industry are cheaper than EFX, based on the Price/Earnings ratio.
EFX is valuated rather expensively when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 28.02 indicates a quite expensive valuation of EFX.
EFX's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.70, EFX is valued a bit more expensive.
Industry RankSector Rank
PE 36.06
Fwd PE 28.02
EFX Price Earnings VS Forward Price EarningsEFX Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as EFX.
EFX's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 40.53
EV/EBITDA 20.96
EFX Per share dataEFX EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 -20 40

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EFX does not grow enough to justify the current Price/Earnings ratio.
EFX has a very decent profitability rating, which may justify a higher PE ratio.
EFX's earnings are expected to grow with 18.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)6.65
PEG (5Y)6.7
EPS Next 2Y13.66%
EPS Next 3Y18.82%

5

5. Dividend

5.1 Amount

With a yearly dividend of 0.78%, EFX is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.12, EFX pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, EFX's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.78%

5.2 History

The dividend of EFX has a limited annual growth rate of 0.02%.
EFX has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of EFX decreased recently.
Dividend Growth(5Y)0.02%
Div Incr Years0
Div Non Decr Years1
EFX Yearly Dividends per shareEFX Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

EFX pays out 31.60% of its income as dividend. This is a sustainable payout ratio.
The dividend of EFX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP31.6%
EPS Next 2Y13.66%
EPS Next 3Y18.82%
EFX Yearly Income VS Free CF VS DividendEFX Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M 800M
EFX Dividend Payout.EFX Dividend Payout, showing the Payout Ratio.EFX Dividend Payout.PayoutRetained Earnings

EQUIFAX INC

NYSE:EFX (7/1/2025, 8:18:29 PM)

After market: 263.94 0 (0%)

263.94

+4.57 (+1.76%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)04-22 2025-04-22/bmo
Earnings (Next)07-16 2025-07-16/amc
Inst Owners99.87%
Inst Owner Change3.14%
Ins Owners0.49%
Ins Owner Change4.57%
Market Cap32.78B
Analysts81.48
Price Target295.82 (12.08%)
Short Float %2.35%
Short Ratio3.07
Dividend
Industry RankSector Rank
Dividend Yield 0.78%
Yearly Dividend1.56
Dividend Growth(5Y)0.02%
DP31.6%
Div Incr Years0
Div Non Decr Years1
Ex-Date05-23 2025-05-23 (0.5)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.98%
Min EPS beat(2)0.03%
Max EPS beat(2)7.93%
EPS beat(4)3
Avg EPS beat(4)3.05%
Min EPS beat(4)-0.16%
Max EPS beat(4)7.93%
EPS beat(8)6
Avg EPS beat(8)2.23%
EPS beat(12)10
Avg EPS beat(12)2.62%
EPS beat(16)14
Avg EPS beat(16)3.48%
Revenue beat(2)1
Avg Revenue beat(2)-0.81%
Min Revenue beat(2)-2.38%
Max Revenue beat(2)0.77%
Revenue beat(4)1
Avg Revenue beat(4)-0.79%
Min Revenue beat(4)-2.38%
Max Revenue beat(4)0.77%
Revenue beat(8)2
Avg Revenue beat(8)-1%
Revenue beat(12)5
Avg Revenue beat(12)-0.59%
Revenue beat(16)8
Avg Revenue beat(16)0.1%
PT rev (1m)1.88%
PT rev (3m)-0.7%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0.11%
EPS NY rev (3m)0.51%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.99%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)0.3%
Valuation
Industry RankSector Rank
PE 36.06
Fwd PE 28.02
P/S 5.72
P/FCF 40.53
P/OCF 25.3
P/B 6.58
P/tB N/A
EV/EBITDA 20.96
EPS(TTM)7.32
EY2.77%
EPS(NY)9.42
Fwd EY3.57%
FCF(TTM)6.51
FCFY2.47%
OCF(TTM)10.43
OCFY3.95%
SpS46.17
BVpS40.11
TBVpS-25.59
PEG (NY)6.65
PEG (5Y)6.7
Profitability
Industry RankSector Rank
ROA 5.16%
ROE 12.29%
ROCE 10.88%
ROIC 8.25%
ROICexc 8.42%
ROICexgc 47.23%
OM 19.21%
PM (TTM) 10.68%
GM 55.56%
FCFM 14.11%
ROA(3y)5.2%
ROA(5y)5.55%
ROE(3y)14.07%
ROE(5y)15.88%
ROIC(3y)8.03%
ROIC(5y)8.32%
ROICexc(3y)8.22%
ROICexc(5y)8.95%
ROICexgc(3y)65.32%
ROICexgc(5y)N/A
ROCE(3y)10.58%
ROCE(5y)10.96%
ROICexcg growth 3Y-45.57%
ROICexcg growth 5YN/A
ROICexc growth 3Y-6.06%
ROICexc growth 5YN/A
OM growth 3Y-6.25%
OM growth 5YN/A
PM growth 3Y-11.06%
PM growth 5YN/A
GM growth 3Y-2.34%
GM growth 5Y-0.34%
F-Score8
Asset Turnover0.48
Health
Industry RankSector Rank
Debt/Equity 0.87
Debt/FCF 6.14
Debt/EBITDA 2.41
Cap/Depr 70.51%
Cap/Sales 8.49%
Interest Coverage 250
Cash Conversion 72.32%
Profit Quality 132.11%
Current Ratio 0.85
Quick Ratio 0.85
Altman-Z 4.35
F-Score8
WACC8.16%
ROIC/WACC1.01
Cap/Depr(3y)94%
Cap/Depr(5y)96.66%
Cap/Sales(3y)10.87%
Cap/Sales(5y)10.47%
Profit Quality(3y)82.72%
Profit Quality(5y)93.08%
High Growth Momentum
Growth
EPS 1Y (TTM)7.96%
EPS 3Y-1.55%
EPS 5Y5.38%
EPS Q2Q%2%
EPS Next Y5.43%
EPS Next 2Y13.66%
EPS Next 3Y18.82%
EPS Next 5Y18.1%
Revenue 1Y (TTM)7.12%
Revenue growth 3Y4.88%
Revenue growth 5Y10.12%
Sales Q2Q%3.79%
Revenue Next Year5.28%
Revenue Next 2Y7.91%
Revenue Next 3Y9.6%
Revenue Next 5Y9.32%
EBIT growth 1Y11.15%
EBIT growth 3Y-1.67%
EBIT growth 5YN/A
EBIT Next Year51.38%
EBIT Next 3Y27.37%
EBIT Next 5Y20.64%
FCF growth 1Y68.45%
FCF growth 3Y-2.08%
FCF growth 5YN/A
OCF growth 1Y17.1%
OCF growth 3Y-0.26%
OCF growth 5Y33.38%