Equifax Inc. (EFX - Free Report) is currently benefiting from its acquisitions and technology transformation.
EFX’s revenues are anticipated to grow 3.9% and 6.5%, in 2022 and 2023, respectively.
Factors That Augur Well
Acquisitions have been one of the key growth strategies for Equifax for a while. The recent buyout of Efficient Hire is expected to expand the company's portfolio of employer- and HR-focused solutions, thus helping its clients to better manage hiring and employment needs. Additionally, the acquisition of LawLogix positions Equifax to deliver a comprehensive set of services suitable for employers in a rapidly changing employment and regulatory environment.
EFX’s ongoing cloud data and technology transformation is aimed at driving innovation and product development as well as strengthen customer and partner integration. As part of the transformation, Equifax is migrating to a public cloud environment that engages virtual private cloud deployment techniques. The company remains focused on streamlining customers’ access to its analytical platforms.
A Key Risk
Equifax's current ratio at the end of the June quarter was pegged at 0.51, lower than the current ratio of 0.71 reported at the end of the prior-year quarter. Decreasing current ratio is not desirable as it indicates that the company may have problems meeting short-term debt obligations.
Zacks Rank and Stocks to Consider
Equifax currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Some better-ranked stocks in the broader Zacks Business Services sector are Gartner, Inc. (IT - Free Report) , Automatic Data Processing, Inc. (ADP - Free Report) and CRA International, Inc. (CRAI - Free Report) .
Gartner sports a Zacks Rank #1 at present. IT has an earnings growth rate of 3.4% for 2023.
Gartner delivered a trailing four-quarter earnings surprise of 25.3%, on average.
ADP carries a Zacks Rank #2 (Buy) at present. ADP has a long-term earnings growth expectation of 12%.
ADP delivered a trailing four-quarter earnings surprise of 5%, on average.
CRA International carries a Zacks Rank of 2, currently. CRAI has a long-term earnings growth expectation of 14.3%.
CRAI delivered a trailing four-quarter earnings surprise of 26%, on average.
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With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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Equifax Inc. (EFX - Free Report) is currently benefiting from its acquisitions and technology transformation.
EFX’s revenues are anticipated to grow 3.9% and 6.5%, in 2022 and 2023, respectively.
Factors That Augur Well
Acquisitions have been one of the key growth strategies for Equifax for a while. The recent buyout of Efficient Hire is expected to expand the company's portfolio of employer- and HR-focused solutions, thus helping its clients to better manage hiring and employment needs. Additionally, the acquisition of LawLogix positions Equifax to deliver a comprehensive set of services suitable for employers in a rapidly changing employment and regulatory environment.
EFX’s ongoing cloud data and technology transformation is aimed at driving innovation and product development as well as strengthen customer and partner integration. As part of the transformation, Equifax is migrating to a public cloud environment that engages virtual private cloud deployment techniques. The company remains focused on streamlining customers’ access to its analytical platforms.
A Key Risk
Equifax's current ratio at the end of the June quarter was pegged at 0.51, lower than the current ratio of 0.71 reported at the end of the prior-year quarter. Decreasing current ratio is not desirable as it indicates that the company may have problems meeting short-term debt obligations.
Zacks Rank and Stocks to Consider
Equifax currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Some better-ranked stocks in the broader Zacks Business Services sector are Gartner, Inc. (IT - Free Report) , Automatic Data Processing, Inc. (ADP - Free Report) and CRA International, Inc. (CRAI - Free Report) .
Gartner sports a Zacks Rank #1 at present. IT has an earnings growth rate of 3.4% for 2023.
Gartner delivered a trailing four-quarter earnings surprise of 25.3%, on average.
ADP carries a Zacks Rank #2 (Buy) at present. ADP has a long-term earnings growth expectation of 12%.
ADP delivered a trailing four-quarter earnings surprise of 5%, on average.
CRA International carries a Zacks Rank of 2, currently. CRAI has a long-term earnings growth expectation of 14.3%.
CRAI delivered a trailing four-quarter earnings surprise of 26%, on average.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
See This Stock Now for Free >>
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