Equifax stock moves lower on mixed Q1 results and weak guidance
Shares of Equifax (EFX) traded lower by 8.33% to $217.88 after hours today following the company’s first-quarter financial results. Here’s a look into the results:
- Q1 sales: $1.39 billion, missing the $1.4 billion estimate
- Q1 adjusted EPS: $1.50, beating $1.44 estimate
The company noted U.S. mortgage revenue grew 6% in the first quarter despite a 19% decline in
USIS mortgage credit inquiries. Overall revenue grew 7%, despite missing the analyst consensus estimate.
The company also issued 2024 second quarter and full year guidance, which played a hand in the stock moving lower as well because adjusted EPS and revenue guidance figures from both quarters are below the analyst consensus estimate.
| Q2 2024 | Estimate | FY 2024 | Estimate | |
| Revenue | $1.41 billion – $1.43 billion | $1.44 billion | $5.67 billion – $5.77 billion | $5.78 billion |
| Adjusted EPS | $1.65 – $1.75 | $1.87 | $7.20 – $7.50 | $7.64 |
We have strong momentum in 2024 and are confident in the future of the New Equifax as
Mark W. Begor, Equifax Chief Executive Officer
we deliver strong non-mortgage revenue growth, move towards completion of our Cloud
transformation, leverage our new Cloud capabilities to accelerate new product roll-outs that
‘Only Equifax’ can provide, and invest in new products, data, analytics, and AI capabilities,
which are expected to drive growth in 2024 and beyond. We are energized about the New
Equifax and remain confident in our long-term 8-12% revenue growth framework that is
expected to deliver higher margins and free cash flow.
Equifax will host a conference call on April 18, 2024 at 8:30a.m. (ET) via a live audio webcast in conjunction with its earnings release.
Equifax has a 52-week high of $275.1 and a 52-week low of $159.95. The stock saw a spike in volume today on the earnings announcement and can also see increased volatility tomorrow once the market opens.