Equifax Inc (EFX) Stock Down 6.4% -- Now Undervalued? GF Score: 75/100 - GuruFocus
π EFX shares dropped 6.4% to $177.05 on September 04, 2026, trading well below its 52-week high of $271.84.
π° The stock is priced at a 39.4% discount to the GuruFocus Value estimate of $291.96, signaling potential undervaluation.
π Equifax achieves a GF Score of 75/100, driven by strong profitability and growth ratings of 7/10 each.
π Valuation weakness is evident with a current P/E of 31.1x versus a 5-year median of 44.9x.
πΈ Insiders have net sold $37.1 million in shares over the past year, contrasting with minimal insider buying.
π₯ Institutional sentiment is mixed among gurus, with half increasing stakes while others trim positions.
Bullish Signals
- Equifax is significantly undervalued at $177.05 compared to a GuruFocus intrinsic value estimate of $291.96, offering a 39.4% margin of safety.
- The company demonstrates above-average overall performance with a GF Score of 75/100, supported by strong profitability and growth metrics rated 7/10.
Risk Factors
- Insider activity shows substantial net selling of $37.1 million over the past 12 months, indicating potential lack of confidence from company insiders.
- The stock exhibits weakness in momentum and valuation metrics with a GF Score component rating of 4/10 for both categories.
Full Analysis
Equifax Inc (EFX) shares declined 6.4% on September 04, 2026, settling at $177.05 within a 52-week range of $150.75 to $271.84. The stock is currently trading at a significant discount to its GuruFocus (GF) Value estimate of $291.96, representing a 39.4% margin of safety that categorizes the company as significantly undervalued based on historical multiples and future performance projections.
The GF Score for Equifax stands at 75/100, reflecting above-average overall performance driven by strong profitability (7/10) and growth (7/10) metrics. However, the score is tempered by weaknesses in valuation (4/10) and momentum (4/10), with a current P/E ratio of 31.1x compared to a 5-year median of 44.9x, indicating the stock trades at a historical discount despite solid fundamental ratings.
Insider and institutional activity presents a mixed outlook for Equifax. While 13 gurus hold positions with 8 increasing stakes recently, insider trading data reveals stark net selling of $37.1 million over the past 12 months, contrasting with only $0.5 million in insider buying. This divergence suggests varying confidence levels among sophisticated investors regarding the company's short-term prospects despite its undervalued status.