Equifax (EFX) Reports Earnings Tomorrow: What To Expect

Credit reporting giant Equifax (NYSE:EFX) will be announcing earnings results this Tuesday before market open. Here’s what you need to know.

Equifax beat analysts’ revenue expectations by 1.7% last quarter, reporting revenues of $1.44 billion, up 3.8% year on year. It was a satisfactory quarter for the company, with an impressive beat of analysts’ EPS estimates but full-year revenue guidance meeting analysts’ expectations.

Is Equifax a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Equifax’s revenue to grow 5.8% year on year to $1.51 billion, slowing from the 8.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.92 per share.

Heading into earnings, analysts covering the company have grown increasingly bullish with revenue estimates seeing 5 upward revisions over the last 30 days (we track 15 analysts). Equifax has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Equifax’s peers in the professional services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. ManpowerGroup posted flat year-on-year revenue, beating analysts’ expectations by 3.6%, and Concentrix reported revenues up 1.5%, topping estimates by 1.2%. ManpowerGroup’s stock price was unchanged after the resultswhile Concentrix was down 6.3%.

Read our full analysis of ManpowerGroup’s results here and Concentrix’s results here.

There has been positive sentiment among investors in the professional services segment, with share prices up 4.5% on average over the last month. Equifax is up 3.1% during the same time and is heading into earnings with an average analyst price target of $289.83 (compared to the current share price of $263.09).

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