RBC downgrades Equifax to Sector Perform and lifts price target to $189

RBC Capital analyst Ashish Sabadra cut Equifax’s rating from Outperform to Sector Perform and raised the target price to $189 from $177. The downgrade cites persistent mortgage‑market weakness, a possible softening of consumer lending and regulatory risk from a shift to a bi‑merge reporting system. RBC also projects a fiscal‑2027 earnings per share of $9.00, below the consensus of about $9.66, and flags a $80 million annual revenue risk from the regulatory change.

RBC’s lower EPS estimate and valuation concerns could pressure the stock, while the $189 target, equal to 21 times the projected EPS, sets a new upside ceiling for investors (the company’s note says).

  • 1RBC downgraded Equifax to Sector Perform from Outperform.
  • 2RBC raised its price target to $189 from $177.
  • 3RBC’s fiscal 2027 EPS estimate is $9.00, below the consensus of approximately $9.66.
  • 4Equifax’s outlook implies U.S. mortgage credit inquiries will decline by more than 20% in Q4 2026.
  • 5RBC estimates the bi‑merge regulatory shift could cost about $80 million of revenue per year.
  • 6Equifax shares fell 2.7% to $178.03, down 2.4% from the prior close after the downgrade.

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