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RISK CONCERN
Investment Strategy, Risk Analysis, and Insights by Chartered Professionals
EFX
Primary Facts
Consulting Services
Name:
-
Sector:
- 355000.00K
Industry:
187.5
CEO:
Mr. Mark Begor
Total Employees:
Large Cap
Our Technological Advancement Rating
Our Rating:
0.22823765
-1.303680325
Equifax Inc. (XNYS:EFX) In-Depth Stock/Fundamental/Options Analysis Today
Primary Targets/Price Insights
Previous Close ($) :
EQUIFAX INC. (XNYS:EFX)
One Month Price Target:
Six Month Price Target :
$189.09
Likely Price in One Year's Time:
Ticker:
$197.05
Likely Trading Range Today Under (Normal Volatility)
$188.35
Price Upper limit ($) :
$206.6
Price Lower limit ($) :
Crash Risk Prep/Key Price Levels (High Volatility/Risk)
Price, as per data analysis, isn't likely to fall below:
Today:
P540
This week:
$178.96
This month :
$168.4
Other Primary facts
Market Cap:
122.40M
Market Cap Classification:
22.94B
Number of Shares
IPO Date:
D
Best/Worst Daily Performance (Last 3+ Years)
Highest Daily Appreciation:
-8.46%
$149.31
Worst Daily Decline:
Our Options Trading Entry Points
Iron Condor entry points for options expiring in 1 week's time
Low risk (<2%) entry points
Buy Call:
Sell Call:
Buy Put:
Sell Put:
$208.80
14.94%
$166.20
$227.11
Medium risk (<10%) entry points
Buy Call
Sell Call
$198.93
Buy Put:
Sell Put:
$147.89
$176.07
$202.84
These entry points can be used for other strategies, such as butterflies, straddles, etc.
Risk-Adjusted returns (Sharpe Ratio) of
Consulting Services
Sharpe Ratio:
EFX, is amongst the top 40% highest yielding stocks in terms of daily returns
Comparison:
2.16%
0.301266833
Sharpe ratio is 30.13% higher than the industry
Average Returns/Yield of
Consulting Services
Daily returns:
1
Weekly returns:
0.07%
Monthly returns:
0.36%
Yearly returns:
17.29%
Comparison of returns:
0.174664842
Classification:
Average annual returns/yield (last 3 years) is 17.47% above industry average
Results of T-Test of Returns:
EFX is a riskier investment compared to Nasdaq (IXIC)
Statistical test of Returns:
0.69
Volatility (measured by Standard Deviation)
Daily Volatility:
& ratio is 23.08% higher than the market/S&P 500 average
Weekly Volatility:
2.25%
Monthly Volatility:
5.04%
Yearly Volatility:
10.08%
Volitlilty of last five days (Measured by Standard Deviation)
Average Volatility of this Week:
43.92%
-58.96%
Value at Risk Analysis (VaR)
Daily VaR:
Volatility in last five trading days has been -58.96% below long-term volatility
Weekly VaR:
-4.55%
Monthly VaR:
-10.19%
How Much Can the price of
Consulting Services
Decline in a Recession?
Likely price decline in a recession:
Base case (decline):
Risk of crash in next 6/12 months: High (50-70%)
Worst case (decline):
$155.28
This translates to price declining to:
-17%
This translates to price declining to:
-70.56%
Severe Crash Probability
-20.37%
What is Value at Risk (VaR)?
Risk Fundamentals
23.17%
EFX is a 43.77% riskier investment compared to the market/S&P 500 & is 23.17% riskier than Nasdaq (IXIC)
EFX is a 43.77% riskier investment compared to the market/S&P 500
Beta Examination of
Consulting Services
1.516
Expected beta in 1 year's time:
0.639
Expected beta in 3 year's time:
0.972
Unlevered (debt free) Beta:
Beta in relation to market/S&P 500--1.52
Beta in relation to Nasdaq (XNAS):
Returns are, approximately, symmetrical
Beta in relation to all global stocks::
Beta is 70.45% above industry average
Beta Comparison & Analysis
Beta of competitors/peers::
0.793
0.366
Average Industry Beta:
Beta is 36.56% higher than peers
0.704501364
Sustainable Growth Rate Analysis
Sustainable growth rate for this stock/firm:
WACC is 17.94% above industry mean WACC
-2.89%
Alpha provided | Alpha Analysis
Alpha provided:
1.375
-0.314
2.394
Analysis of Cost of Capital of
Consulting Services
Equity cost of capital:
Alpha is 239% higher than market/& is unsustainably high
0.464
Unlevered (without debt) cost of capital:
Equity cost of capital is 46.44% above industry mean WACC
Before-tax cost of debt:
7.08%
After-tax cost of debt:
2.55%
Overall debt rating:
2.01%
Weighted average cost of capital (WACC):
2.55%
17.94%
Key Per-Share Metrics & Analysis
Revenue per share:
Present value of the expected future dividends only: $11.53
Revenue growth rate per share of (3Y):
Price to sales ratio is 32.10% above the industry mean
102.70%
EPS:
Seven Hundred Fifty-Six Million Thirty Thousand Three Hundred Dollars
Expected Annual growth rate of EPS (3Y):
Price to free cash flow ratio is 26.68% higher than the industry
-
Free cash flow (FCF) per share:
Price to book ratio is 22.60% above the industry mean
-
-1.01098897
Debt per share
Debt repayment rate in last quarter: 0.00%
EBITDA per share
Each employee generates 57% more EBITDA than industry average revenue per employee
Valuation Analysis Today of
Consulting Services
P/E Ratio:
Sustainable growth rate is -2.89% below industry average
P/E Ratio of Competitors/Peers:
30.9
0.598473251
119.4482347
0.569717631
$3.85
Share value as per dividend discount (DDM) model: $20.34
P/S (Price to Sales ratio):
$41.45
0.320990448
P/B (Price to book value ratio):
Price to sales ratio is 32.10% above the industry mean
-
0.266830754
Net income growth rate (3Y):
Annual revenue growth rate is 102.70% above the industry average
39.38%
Dividend Analysis
Net income growth rate is 39.38% higher than the average industry net income growth rate
Dividend payout rate: 6.27%
$0.39
Previous Dividend: $0.39
Previous adjusted dividend: $0.39
Previous Dividend: $1.56
-
-
Average dividend payment (long-term): $0.39
Average dividend increase/decrease (growth rate) % per period: 0.00%
Expected next dividend payment date: 13/09/2022
Expected next dividend record date: 23/08/2022
Expected next dividend declaration date: 08/03/2022
Previous dividend payment date: 15/06/2022
Previous dividend record date: 25/05/2022
Dividend History:
Previous dividend declaration date: 05/05/2022
2022-02-18--$0.39
2021-09-03--$0.39
2022-05-24--$0.39
2021-11-23--$0.39
2021-05-24--$0.39
-
In-depth Debt & Leverage Analysis
Debt to equity ratio:
146.40%
Net debt to equity ratio:
The remaining useful life of property plant & equipment is: 10.6 years
Debt to assets ratio:
49.27%
Net debt to assets ratio:
116.63%
-32.48%
Ability to repay debt:
Interest coverage ratio:
Debt-to-asset ratio is -32.48% below industry average
-0.42
Looking forward:
Debt growth rate:
1.6x
-
0.00%
Analysis of Key Statistics
Correlation of price movement with the market:
23.12305859
Statistical significance of correlation:
-0.31%
Average Correlation of the industry with the market:
0.662
29.76%
R Squared (percentage of price movement explained by movement of the market):
0.662
Correlation of price movement with Nasdaq (^IXIC):
0.438
Covariance of price movement with the market:
0.007
Kurtosis
0.009
4.523
Skewness of returns:
Returns have moderate fat-tails (leptokurtic), i.e., returns considerably higher or lower than the mean returns are more probable, compared to assets with normally distributed returns
0.318
Fundamental Analysis & Dupont Analysis of
Consulting Services
Gross Profit Margin Ratio:
3.02B
Operating Profit Margin Ratio:
Net profit margin is 32.67% higher than the industry
102.00%
Net Profit Margin Ratio:
3.02B
Effective Tax Rate:
2.92%
0.113124124
Dupont Method
Net Profit Margin
Return on Equity Ratio (ROE):
×
ROA
=
×
Return on assets (ROA) is -9.09% lower than the industry
-3.60%
Financial Leverage
Asset Turnover Ratio (ROA):
Operating profit margin is 102.00% higher than the industry
-9.09%
Financial Leverage:
Interest coverage ratio is -42.02% less than industry average
Current Ratio:
Return on equity (ROE) is -3.60% lower than the industry
-0.672905835
Cash Conversion Cycle (days):
$36.54
-0.846016885
Current ratio is -67.29% below industry average
Stock based compensation to net income ratio:
Equity growth rate per share is -101.10% lower than the industry
In-depth Efficiency Analysis
Revenue generated per employee:
Cash conversion cycle is -84.60% below industry average
0.226886234
EBITDA generated per employee:
Each employee generates 23% more revenue than industry average revenue per employee
0.565902166
Profit generated per employee:
$13.41
27%
Free cash flow (FCF) generated per employee:
Each employee generates 27% more net income/profit than industry average revenue per employee
2.136324373
Assets/Capital per employee
Each employee generates 214% more free cash flow than industry average revenue per employee
2.136324373
Research & Development (R&D) Analysis
-
-
Competitors/Peer firms of
Consulting Services
$329.42
AMETEK, INC. (XNYS:AME)
CUMMINS INC. (XNYS:CMI)
WASTE CONNECTIONS, INC. (XNYS:WCN)
OTIS WORLDWIDE CORPORATION (XNYS:OTIS)
TRANSDIGM GROUP INCORPORATED (XNYS:TDG)
ROCKWELL AUTOMATION, INC. (XNYS:ROK)
SOUTHWEST AIRLINES CO. (XNYS:LUV)
FERGUSON PLC (XNYS:FERG)
Current Analyst Ratings
$6.18
Strong buy�13%
Buy�29%
Hold�25%
Sell�0%
Strong sell�0%
Income Statement
Period:
3/31/2022
Date:
Value
Revenue:
TTM
Cost of Revenue:
Gross Profit:
R&D Expense
General & Admin Expenses:
Selling, General & Admin Expenses
Sales and Marketing Expenses
Other Expenses :
Operating Expenses :
Cost & Expenses :
Interest Income:
Interest Expenses:
Depreciation & Amortization:
EBITDA:
Operating Income:
Other Income Expenses:
Income Before Tax:
Income Tax Expense:
Net Income:
Balance Sheet
Date:
Calendar Year:
Period:
Cash & Cash Equivalents:
Short Term Investments:
Cash & Short Term Investments:
Net Receivables:
Inventory:
Other Current Assets:
Total Current Assets:
PP&E:
Goodwill:
Intangible Assets:
Long Term Investments:
Tax Assets:
Other Non-Current Assets:
Total Non-Current Assets:
Other Assets:
Total Assets:
Accounts Payable:
Short Term Debt:
Tax Payables:
Deferred Revenue:
Other Current Liabilities:
Total Current Liabilities:
Long Term Debt:
Other Non-Current Liabilities:
Total Non Current Liabilities:
Other Liabilities:
Total Liabilities:
Common Stock:
Retained Earnings:
Accumulated Other Comprehensive Loss:
Other Total Stockholders' Equity:
Total Stockholders' Equity:
Total Liabilities and Stockholders' Equity:
Total Investments:
Total Debt:
Net Debt:
5.07B
2.05B
238%
-
-
1.36B
-
503.20M
3.91B
-
148.10M
512.20M
129%
216.20M
- 179300.00K
77%
216.20M
Statement of Cash Flow
Date:
Period:
222.80M
Differed Income Tax :
139.30M
Stock Based Compensation :
40.20M
Change in Working Capital :
22.30M
Accounts Receivables:
- 614800.00K
Other Working Capital:
-
Other Non-Cash Items:
-
Net Cash Provided by Operating Activities:
- 8300.00K
Investments in PP&E:
- 198500.00K
Net Acquisitions:
-
Purchases of Investments:
- 111700.00K
Sales/Maturities of Investments:
Other Investing Activities:
Net Cash Used for Investing Activities:
Debt Repayment:
Common Stock Issued:
Common Stock Repurchased:
Dividend Paid:
Other Financing Activities:
Net Cash Used Provided by Financing Activities:
Effect of FOREX on Changes in Cash:
Net Changes in Cash:
Cash at End of Period:
Cash at Beginning of Period:
Operating Cash Flow:
Capital Expenditure:
Free Cash Flow (FCF):
Value
3/31/2022
2022
Q1
200.90M
-
200.90M
856.80M
-
206.50M
1.26B
1.38B
6.38B
2.00B
-
-
363.30M
10.13B
-
11.39B
187.10M
1.34B
-
127.70M
686.50M
2.34B
4.47B
313.50M
5.20B
-
7.54B
236.60M
4.93B
- 217700.0K
Value
1.86B
- 1110300.00K
3.83B
11.37B
-
5.81B
-
-
- 156500.00K
- 268200.00K
-
-
-
- 47900.00K
492.20M
444.30M
- 1400.00K
- 23800.00K
200.90M
224.70M
- 198500.00K
- 156500.00K
Our Proprietary Portfolio Rating
Our Rating:
-210.9111357
Price Forecast/Expected Price in Next 5 Years of
Consulting Services
2023
2024
2025
2026
2027
223.489153
$223.49
$246.25
$271.33
$298.97