Equifax Stock Rises 7.4% After Credit Bureau Posts 10% Revenue Growth Despite Tough US Mortgage Market

NEW YORK — Shares of Equifax Inc. rose more than 7% on Tuesday after the credit reporting company posted stronger-than-expected revenue growth for the third quarter despite a weaker U.S. mortgage market.

Equifax shares gained $11.74, or 7.40%, to $170.29 in early trading. The company's market value rose to about $19.9 billion. The stock remains down about 31% over the past year.

Strong quarter

Equifax reported third-quarter revenue of $1.693 billion, up 10% from a year earlier and 9% on a local currency basis. The result fell within the company's guidance range of $1.68 billion to $1.71 billion.

The company said in its earnings release that it "delivered a strong third quarter performance" as it executed its long-term strategic plan.

Equifax's U.S. Information Solutions business grew revenue 13%, led by financial institutions and auto lending. Its international business grew 9%. Workforce Solutions, which provides employment and income verification services, grew 7%.

Mortgage market challenges

Equifax said its mortgage revenue grew 15% despite a much weaker mortgage market in the latter half of the quarter, as mortgage interest rates increased substantially.

The company said it expects the weaker U.S. mortgage market to continue through the rest of 2026. Workforce Solutions mortgage revenue was flat in the quarter.

Mortgage activity is an important driver for credit bureaus, which earn fees when lenders check consumers' credit reports and verify income during the home loan process. Rising interest rates tend to reduce mortgage applications and refinancing activity.

Shareholder returns and acquisitions

Equifax returned $158 million to shareholders during the quarter through dividends and share buybacks.

The company also said it expects to complete its acquisition of Círculo de Crédito, a Mexican credit bureau, in the fourth quarter, expanding its presence in Latin America.

Diversified business

Equifax has emphasized the strength of its diversified business model, which includes credit reporting, employment verification, fraud prevention and analytics services. The company said the quarter showed the resiliency of that model in a challenging mortgage market.

Stock pressure

Equifax shares have fallen significantly over the past year amid concerns about the mortgage market, interest rates and competition in the credit reporting industry. Tuesday's gain suggests investors were encouraged by the company's ability to grow despite those headwinds.

What's next

Investors will be watching mortgage interest rates and housing activity, which remain key drivers of Equifax's business, as well as the company's progress on its EFX2028 strategic priorities and the closing of the Círculo de Crédito acquisition.