Begor Mark W sold $6.5M of EFX

Equifax agreed to acquire Mexico credit bureau Círculo de Crédito for $750 million, aiming to expand its Latin America credit, identity, and fraud prevention offerings. Círculo serves 1,700+ customers and has about 80 million validated identities and 2 billion credit tradelines. It generated an estimated $134 million revenue and $62 million adjusted EBITDA (12 months ended June 30, 2026). Closing is expected in Q4 2026, pending approvals.

Equifax (EFX) shares rose about 6.3% after a prior post-earnings selloff, as investors reassessed the quarter. The company reported Q2 2026 revenue growth of 11%, beat profit expectations, and said it is doubling AI cost savings to $150 million. Equifax also agreed to acquire Mexico’s Círculo de Crédito and returned $366 million via buybacks and dividends.

Equifax shares fell about 7% after the company issued weaker Q3 guidance. Equifax projected adjusted earnings of $2.15 to $2.25 per share, below Wall Street expectations, and cited a more challenging macro environment. The guidance points to slower credit activity, which can reduce demand for credit reports and risk tools.

Equifax reported 11% reported revenue growth in Q2 2026, driven by Workforce Solutions and consumer lending, and said EBITDA margin expanded 120 bps excluding FICO. It secured about $300m government contract ACV, announced a $750m acquisition of Círculo de Crédito, raised its AI productivity goal to $150m, and reiterated 2026 guidance and >$1b free cash flow.

Stocks rose as chipmakers and AI-infrastructure shares rebounded. The iShares Semiconductor ETF (SOXX) gained over 3%, while Sandisk (SNDK), Micron (MU), Western Digital (WDC), and others rose. Bitcoin hit a 1-month high, lifting Coinbase (COIN) and Circle (CRCL). Hasbro (HAS) reported Q2 net revenue $1.14B and raised guidance; 3M (MMM) beat EPS and lifted outlook.

Equifax reported Q2 adjusted EPS of $2.25, above the $2.20 consensus, and revenue of $1.70B, up 11% and slightly above the $1.696B estimate. It narrowed full-year adjusted EPS guidance to $8.39-$8.69 and tightened revenue outlook to $6.71B-$6.78B. For Q3, it forecast adjusted EPS $2.15-$2.25 and revenue $1.68B-$1.71B. Analysts cut price targets after results.