Equifax Inc. reported second quarter 2026 revenue of $1.70 billion, an 11% increase compared to the prior year, beating the analyst consensus estimate of $1.696 billion. On a local currency basis, revenue increased 10%. The growth was driven by strong performance across its Workforce Solutions and U.S. Information Solutions segments, with U.S. Mortgage revenue surging 40%. Despite the earnings beat, the company narrowed its full-year 2026 guidance, citing macroeconomic challenges and elevated inflation disproportionately affecting lower-income and subprime consumers.

Adjusted earnings per share (EPS) increased 13% year-over-year to $2.25, topping the analyst consensus estimate of $2.20. Adjusted EBITDA margin was 32.5%, unchanged from a year earlier. Net income attributable to Equifax was $183.9 million. The company doubled its AI-driven cost reduction target to $150 million for the 2026-2028 period and returned $366 million to shareholders through share repurchases and dividends during the quarter.

Strategic Acquisition

Equifax signed a definitive agreement to acquire Círculo de Crédito, the fastest growing credit bureau in Mexico, for an enterprise value of $750 million. The deal is expected to close in the fourth quarter of 2026. Chief Executive Officer Mark Begor stated the acquisition fits within the company's balanced capital allocation framework.

Segment Performance

Workforce Solutions revenue totaled $705.4 million, up 7% year-over-year. This growth was led by Verification Services, which increased 7% to $607.6 million, driven by high double-digit growth in Talent Solutions and Consumer Lending. The segment's operating margin was 44.9%.

U.S. Information Solutions (USIS) revenue rose 17% to $611.6 million. U.S. Mortgage revenue surged 40%, while total Mortgage revenue increased 25%. Online Information Solutions revenue grew 19% to $545.4 million. USIS reported an operating margin of 22.5%.

International revenue reached $383.1 million, an 8% increase on a reported basis and 4% on a local currency basis. Asia Pacific revenue grew 17% reported, while Canada revenue increased 6%. The International segment achieved an operating margin of 12.1%.

Financial Outlook

Equifax narrowed its full-year 2026 adjusted EPS guidance to $8.39 to $8.69 from a previous range of $8.34 to $8.74. The company tightened its full-year revenue outlook to $6.71 billion to $6.78 billion from $6.685 billion to $6.805 billion. For the third quarter of 2026, Equifax expects reported revenue between $1.680 billion and $1.710 billion and Adjusted EPS between $2.15 and $2.25 per share. Executives noted that higher mortgage rates have weakened industry origination activity, and the company expects the mortgage market to remain soft in the second half.

Analyst Ratings

Morgan Stanley analyst Toni Kaplan maintained Equifax with an Overweight rating and lowered the price target to $225 from $243. Baird analyst Jeffrey Meuler maintained Equifax with an Outperform rating and lowered the price target to $232 from $245. RBC Capital analyst Ashish Sabadra maintained Equifax with an Outperform rating and lowered the price target to $194 from $222. Barclays analyst Manav Patnaik maintained Equifax with an Equal-Weight rating and lowered the price target to $200 from $215. Needham analyst Kyle Peterson maintained Equifax with a Buy rating and lowered the price target to $245 from $265. Wells Fargo analyst Jason Haas maintained Equifax with an Overweight rating and lowered the price target to $212 from $220.

UBS analyst Kevin Mcveigh has reiterated a Buy rating on Equifax (NYSE: EFX) while maintaining a price target of $220. This stance contrasts with a recent adjustment by Mizuho, which lowered its target on the credit reporting agency and data analytics firm.

Equifax provides information solutions and human resources outsourcing services. The differing analyst perspectives highlight varying valuation outlooks for the company's near-term performance.

Rating and Target Details

The following table outlines the current ratings and price targets from analysts:

Mizuho analyst Sean Kennedy previously maintained an Outperform rating while lowering the stock's price target to $210 from $222. The adjustment reflected a revised valuation outlook, though the Outperform rating indicated continued confidence in the company's long-term prospects.