Analyst Ratings February 17, 2026

BofA Lifts Equifax to Buy, Cites Multi-Year Acceleration in Workforce Solutions

Analyst upgrade follows stronger visibility on verification products, government volume inflection and margin outlook

By Priya Menon EFX
BofA Lifts Equifax to Buy, Cites Multi-Year Acceleration in Workforce Solutions
EFX

BofA Securities moved Equifax Inc. (EFX) to a Buy rating from Neutral and set a $250.00 price target, citing expectations for multi-year acceleration in the company’s Workforce Solutions segment. The firm raised its 2026 and 2027 adjusted EPS estimates, highlighted improved product momentum and noted low artificial intelligence risk. Equifax recently reported better-than-expected fourth-quarter 2025 results and announced an expanded partnership with Gen Digital.

Key Points

  • BofA upgraded Equifax to Buy from Neutral and set a $250.00 price target, highlighting expected multi-year acceleration in Workforce Solutions.
  • BofA raised adjusted EPS estimates to $8.73 for 2026 and $10.44 for 2027, citing improved visibility on growth and margins; Equifax reported a 56.45% gross profit margin and 6.92% revenue growth over the past twelve months.
  • Equifax beat fourth-quarter 2025 expectations with EPS of $2.09 (vs $2.05 forecast) and revenue of $1.55 billion (vs $1.53 billion forecast); the company expanded a partnership with Gen Digital to enhance consumer financial services.

BofA Securities upgraded Equifax Inc. (NYSE: EFX) to Buy from Neutral on Monday and assigned a $250.00 price target. At the time of the note the firm referenced Equifax’s market quote of $194.40 and InvestingPro data showing the shares trade below the analyst service’s Fair Value estimate, indicating potential upside from current levels.

The upgrade is anchored on BofA’s projection of a multi-year acceleration in Equifax’s Workforce Solutions business. In its research the firm pointed to several drivers behind that outlook: an anticipated re-acceleration in Verifier, an inflection in government-related volumes and faster velocity for cloud-based products. Those factors, BofA said, support a more constructive margin profile and clearer visibility into sustainable growth.

BofA raised its adjusted earnings estimates for the company, increasing 2026 adjusted earnings per share to $8.73 and 2027 adjusted earnings per share to $10.44. The firm also observed Equifax’s recent profitability and top-line trends, noting a 56.45% gross profit margin and 6.92% revenue growth over the last twelve months as context for the improved forecast.

Despite the more bullish stance, BofA acknowledged valuation metrics that reflect a premium: Equifax’s current price-to-earnings ratio sits at 36.24 and its PEG ratio at 3.54, indicating the stock is priced above near-term earnings growth expectations. Nevertheless, BofA argued the market may be underestimating Equifax’s longer-term earnings power and left open the possibility of a rerating as Workforce Solutions expands market share.

On the topic of artificial intelligence, BofA highlighted low risk to Equifax from AI-related disruption. The firm pointed to the company’s highly proprietary data sets, regulatory constraints and deep entrenchment within consumer lending markets as factors that limit AI exposure.

"We upgrade Equifax (EFX) to Buy from Neutral as we see a clear path to multi-year acceleration in Workforce Solutions (EWS), supported by regulatory catalysts and expanding TWN coverage," BofA Securities stated.

Recent company results provided additional context for the analyst moves. Equifax reported fourth-quarter 2025 earnings per share of $2.09, beating the forecast of $2.05. Revenue for the period came in at $1.55 billion versus an expectation of $1.53 billion. In a separate corporate development, Equifax and Gen Digital announced an expanded partnership designed to enhance consumer financial services: Equifax will supply data to improve Gen’s identity protection and financial wellness recommendations, while leveraging Gen’s Engine platform to deliver personalized financial product recommendations to myEquifax users.

Other analyst actions noted in the market include Stifel lowering its price target for Equifax to $235 while maintaining a Buy rating, citing concerns about margin dilution arising from FICO. RBC Capital also adjusted its target to $222 and kept an Outperform rating, forecasting growth in Verification and Government revenue in the coming years. These changes reflect ongoing reassessments by sell-side firms as Equifax pursues growth and navigates evolving market conditions.

Collectively, the BofA upgrade, revised estimates and the company’s earnings beat underline a narrative focused on accelerating product momentum within Workforce Solutions, continued strength in core margins and strategic partnerships aimed at broadening consumer-facing capabilities. At the same time, differing analyst price targets and noted valuation multiples illustrate how expectations for execution and margin dynamics remain central to investors evaluating Equifax.

Risks

  • Potential margin dilution from FICO, as cited by Stifel, which could pressure profitability - impacts the financials and debt-servicing dynamics within credit services.
  • Valuation is elevated relative to near-term earnings growth, with a P/E of 36.24 and PEG of 3.54, indicating limited margin for disappointment in financial and technology markets.
  • Ongoing market adjustments and analyst target changes reflect execution and market-condition risks as Equifax scales Workforce Solutions and expands government and verification revenue streams.

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