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Equifax (EFX) to Report Q2 Earnings: What's in the Offing?

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Equifax Inc. (EFX - Free Report) is scheduled to report second-quarter 2021 results on Jul 21, after market close.

Let’s check out the expectations in detail.

Q2 Expectations        

The Zacks Consensus Estimate for second-quarter 2021 revenues stands at $1.16 billion, indicating growth of 18.1% from the year-ago period’s reported figure. The upbeat is likely to have been driven by strength in U.S. Information Solutions, International and Workforce Solutions segments. The consensus mark lies within the guided range of $1.14-$1.16 billion.

Segment-wise, the consensus mark for U.S. Information Solutions revenues is pegged at $412 million, implying an improvement of 12.6% from the year-ago quarter’s reported figure. Mortgage and non-mortgage revenue growth is expected to have boosted the segment.

The consensus estimate for International revenues is pegged at $231 million, indicating growth of 27.6% year over year. The uptick is likely to have come from strength across Asia Pacific and Canadian businesses.

The consensus estimate for Workforce Solutions  revenues is pegged at $442 million, indicating growth of 25.2% from the year-ago quarter’s reported figure. Strength across Verification Services and Employer Services revenues is likely to have aided the segment.

The consensus mark for Global Consumer Solutions  revenues stands at $80 million, suggesting a decrease of 4.8% from the year-ago quarter’s reported figure. Downfall in the company’s U.S. lead generation partner businesses might have weighed on the segment.

Improvement in operational efficiency is likely to have benefited the bottom line, the Zacks Consensus Estimate for which is pegged at $1.70, indicating growth of 6.3% from the year-ago quarter’s reported figure. The consensus mark meets the higher end of the guided range of $1.60-$1.70 cents.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for Equifax this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

Equifax has an Earnings ESP of 0.00% and a Zacks Rank #3.

Equifax, Inc. Price and EPS Surprise

Equifax, Inc. Price and EPS Surprise

Equifax, Inc. price-eps-surprise | Equifax, Inc. Quote

Stocks to Consider

Here are a few stocks from the broader Zacks Business Services sector that investors may consider, as our model shows that these have the right combination of elements to beat on second-quarter 2021 earnings.

Omnicom (OMC - Free Report) has an Earnings ESP of +10.19% and a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

ManpowerGroup (MAN - Free Report) has an Earnings ESP of +0.85% and a Zacks Rank #2.

Aptiv (APTV - Free Report) has an Earnings ESP of +8.44% and a Zacks Rank #3.


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