Equifax Inc. (EFX) — Fundamental Analysis & Key Financial Ratios

Kaplio's reading: Equifax Inc.

Updated on October 21, 2026 · accounts published on October 20, 2026

A steady, cash-generative business with stable margins

Equifax trades at a P/E of 29.8×, 20 % below its ten-year median of 37.2× but 16 % above the median of its sector over the last 12 months.

• Is Equifax expensive or cheap? At 28.5× earnings, Equifax's P/E is 20 % below its ten-year median but 16 % above its sector's median.
• How is the business doing? Over the last 12 months revenue grew 7 % and EPS 10 %, with a 19 % operating margin above its 18 % average for 2014-2025.
• How strong is the balance sheet? Net debt was 2.7× EBITDA in fiscal 2025, under the 3× healthy line, and the Altman Z of 3.7 sits in the safe zone.
• What to expect from the next earnings? Analysts expect EPS of $2.18 for the report due February 3, 2027; Equifax beat estimates in 7 of its last 8 quarters.
• Does Equifax turn its margin into cash, and at what multiple of the cycle does it trade? Free cash flow was 172 % of net income in fiscal 2025, about double the 85 % healthy threshold for its sector.

Is Equifax expensive or cheap?

Over the last 12 months Equifax trades at a P/E of 29.8×. Its ten-year median is 37.2× and its decade range runs from 18.6× to 69.2×. It has traded lower than today only 24 % of the time in that decade, so by its own history the multiple is low. Against 297 sector peers the picture changes: the sector median P/E is 25.8×, which leaves Equifax at an 16 % premium. The shares are down 12 % over 12 months and sit 18 % below their 52-week high of $226.96. A free cash flow yield of 10.1 % is well above the 5.8 % earnings yield, so cash generation looks stronger than reported profit.

How is the business doing?

Revenue rose 7 % and EPS 10 % over the last 12 months, so earnings are growing slightly faster than sales. The operating margin of 19 % over the last 12 months is a touch above the 18 % of fiscal 2025 and the 18 % average for 2014-2025. That points to stability more than expansion. Net margin is 11 % and ROE 16.5 %. The weak spot is return on capital. ROIC of 8.5 % sits 0.5 points below the sector median of 9.0 %. It has topped 10 % in only one of the last ten fiscal years, with a low of −4.7 % in 2019.

How strong is the balance sheet?

Net debt stood at $41.60 per share in fiscal 2025, equal to 23 % of the current share price. At 2.7× EBITDA it stays below the 3× ceiling considered healthy for the sector. Over the last 12 months debt to equity is 1.16 and the current ratio is 1.09, so liquidity is adequate but without much slack. The Altman Z of 3.7 is in the safe zone above 2.99, and a Piotroski score of 7 of 9 meets the high-quality bar. The dividend yields 1.2 %, with a payout of 35 % of earnings in fiscal 2025, so most profit stays in the business.

What to expect from the next earnings?

On October 20, 2026 Equifax reported EPS of $2.26 against $2.20 expected. That 2.7 % beat extends a record of beating estimates in 7 of the last 8 quarters. The next report is due February 3, 2027, with consensus at $2.18 per share. Estimates are steady: over the last 30 days the 2026 EPS consensus slipped 0.6 %, from $8.56 to $8.51 across 14 analysts, and the 2026 revenue forecast barely moved. Of the 36 analysts covering the company, 24 recommend buying, 11 holding and 1 selling, so sentiment leans positive without being unanimous.

Does Equifax turn its margin into cash, and at what multiple of the cycle does it trade?

In industrials, results move with the cycle. The sector is judged on operating margin, how much profit becomes cash and what investors pay for an average year rather than a strong one. Equifax passes on cash: free cash flow equalled 172 % of net income in fiscal 2025, and capex took 7.9 % of revenue, inside the healthy range of 4 % to 8 %. Its 2025 operating margin of 18 % clears the 12 % bar. On the cycle test, the P/E of 29.8× is below 90 % of its ten-year fiscal average of 41.4×, the line under which the sector framework counts it as cheap. The one miss is ROIC of 8.5 %, short of the 15 % mark.

How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.