Equifax (EFX) Stock Forecast & Price Target

Equifax reported a 9% year-over-year revenue increase on an organic constant currency basis, indicating robust operational growth. The company's Workforce Solutions segment is anticipated to accelerate further due to increasing adoption of income and employment verification services, complementing the expected recovery in mortgage originations which significantly contribute to total revenue. Additionally, a projected return to double-digit growth in government business by the second half of FY25 adds to the firm’s promising outlook.

Equifax's stock outlook is negatively impacted by a notable decline in hiring volumes, which fell by 8% in January after a 6% decline year-to-date through November. The company reported fourth-quarter results that fell short of market expectations primarily due to weakened mortgage activities and adverse foreign exchange headwinds, projecting a significant 130 basis point impact from FX. Furthermore, guidance for 2025 indicates a troubling 12% year-over-year decrease in mortgage inquiries and continued challenges in the U.S. labor market, further complicating international revenue growth forecasts.