Equifax Valuation

Is EFXD undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of EFXD when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EFXD ($16.5) is trading below our estimate of fair value ($39.13)

Significantly Below Fair Value: EFXD is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for EFXD?

Key metric: As EFXD is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for EFXD. This is calculated by dividing EFXD's market cap by their current earnings.
What is EFXD's PE Ratio?
PE Ratio	55.9x
Earnings	US$562.50m
Market Cap	US$31.43b

EFXD key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	6.5x
Enterprise Value/EBITDA	21.5x
PEG Ratio	2.1x

Price to Earnings Ratio vs Peers

How does EFXD's PE Ratio compare to its peers?

The above table shows the PE ratio for EFXD vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	33.9x
VRSK Verisk Analytics	44.1x	7.9%	US$41.1b
WKL Wolters Kluwer	36.2x	7.2%	€37.6b
EXPN Experian	37x	12.7%	UK£34.9b
LDOS Leidos Holdings	18.4x	5.1%	US$22.1b
EFXD Equifax	55.9x	26.2%	US$31.4b

Price-To-Earnings vs Peers: EFXD is expensive based on its Price-To-Earnings Ratio (55.9x) compared to the peer average (33.9x).

Price to Earnings Ratio vs Industry

How does EFXD's PE Ratio compare vs other companies in the Global Professional Services Industry?

20 Companies	Price / Earnings	Estimated Growth	Market Cap

20 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: EFXD is expensive based on its Price-To-Earnings Ratio (55.9x) compared to the Global Professional Services industry average (20.4x).

Price to Earnings Ratio vs Fair Ratio

What is EFXD's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EFXD PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	55.9x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate EFXD's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.