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Equifax Piotroski F-Score

: 5 (As of Today)
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The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Equifax has an F-score of 5 indicating the company's financial situation is typical for a stable company.

The historical rank and industry rank for Equifax's Piotroski F-Score or its related term are showing as below:

EFX' s Piotroski F-Score Range Over the Past 10 Years
Min: 1   Med: 6   Max: 9
Current: 5

During the past 13 years, the highest Piotroski F-Score of Equifax was 9. The lowest was 1. And the median was 6.


Equifax Piotroski F-Score Historical Data

The historical data trend for Equifax's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Equifax Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Piotroski F-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.00 5.00 3.00 8.00 5.00

Equifax Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Piotroski F-Score Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.00 6.00 5.00 4.00 5.00

Competitive Comparison

For the Consulting Services subindustry, Equifax's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Equifax Piotroski F-Score Distribution

For the Business Services industry and Industrials sector, Equifax's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where Equifax's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Jun22) TTM:Last Year (Jun21) TTM:
Net Income was 205.4 + 122.1 + 221.8 + 200.6 = $750 Mil.
Cash Flow from Operations was 398.4 + 385.3 + -198.5 + 275.3 = $861 Mil.
Revenue was 1222.9 + 1253.2 + 1363.2 + 1316.7 = $5,156 Mil.
Gross Profit was 733.9 + 727.6 + 809.8 + 774.6 = $3,046 Mil.
Average Total Assets from the begining of this year (Jun21)
to the end of this year (Jun22) was
(9340.3 + 11083.3 + 11040.9 + 11391.7 + 11221.2) / 5 = $10815.48 Mil.
Total Assets at the begining of this year (Jun21) was $9,340 Mil.
Long-Term Debt & Capital Lease Obligation was $4,074 Mil.
Total Current Assets was $1,353 Mil.
Total Current Liabilities was $2,633 Mil.
Net Income was 228.5 + 74.4 + 201.6 + 215.1 = $720 Mil.

Revenue was 1068.3 + 1118.4 + 1213 + 1234.8 = $4,635 Mil.
Gross Profit was 635.1 + 637.5 + 729.7 + 751.8 = $2,754 Mil.
Average Total Assets from the begining of last year (Jun20)
to the end of last year (Jun21) was
(8832.8 + 9249.8 + 9611.8 + 9669.4 + 9340.3) / 5 = $9340.82 Mil.
Total Assets at the begining of last year (Jun20) was $8,833 Mil.
Long-Term Debt & Capital Lease Obligation was $3,281 Mil.
Total Current Assets was $1,330 Mil.
Total Current Liabilities was $1,875 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Equifax's current Net Income (TTM) was 750. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Equifax's current Cash Flow from Operations (TTM) was 861. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Jun21)
=749.9/9340.3
=0.0802865

ROA (Last Year)=Net Income/Total Assets (Jun20)
=719.6/8832.8
=0.08146907

Equifax's return on assets of this year was 0.0802865. Equifax's return on assets of last year was 0.08146907. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Equifax's current Net Income (TTM) was 750. Equifax's current Cash Flow from Operations (TTM) was 861. ==> 861 > 750 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Jun22)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun21 to Jun22
=4073.5/10815.48
=0.37663608

Gearing (Last Year: Jun21)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun20 to Jun21
=3280.9/9340.82
=0.35124325

Equifax's gearing of this year was 0.37663608. Equifax's gearing of last year was 0.35124325. ==> Last year is lower than this year ==> Score 0.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Jun22)=Total Current Assets/Total Current Liabilities
=1353.3/2633.2
=0.51393741

Current Ratio (Last Year: Jun21)=Total Current Assets/Total Current Liabilities
=1329.5/1875.2
=0.70899104

Equifax's current ratio of this year was 0.51393741. Equifax's current ratio of last year was 0.70899104. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Equifax's number of shares in issue this year was 123.3. Equifax's number of shares in issue last year was 123.5. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=3045.9/5156
=0.59074864

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=2754.1/4634.5
=0.59426044

Equifax's gross margin of this year was 0.59074864. Equifax's gross margin of last year was 0.59426044. ==> Last year's gross margin is higher ==> Score 0.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Jun21)
=5156/9340.3
=0.55201653

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Jun20)
=4634.5/8832.8
=0.52469206

Equifax's asset turnover of this year was 0.55201653. Equifax's asset turnover of last year was 0.52469206. ==> This year's asset turnover is higher. ==> Score 1.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+0+1+0+0+1+0+1
=5

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Equifax has an F-score of 5 indicating the company's financial situation is typical for a stable company.

Equifax  (NYSE:EFX) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Equifax Piotroski F-Score Related Terms

Thank you for viewing the detailed overview of Equifax's Piotroski F-Score provided by GuruFocus.com. Please click on the following links to see related term pages.


Equifax Business Description

Equifax logo
Address
1550 Peachtree Street N.W., Atlanta, GA, USA, 30309
Along with Experian and TransUnion, Equifax is one of the leading credit bureaus in the United States. Equifax's credit reports provide credit histories on millions of consumers, and the firm's services are critical to lenders' credit decisions. In addition, about a third of the firm's revenue comes from workforce solutions, which provides income verification and employer human resources services. Equifax generates over 20% of its revenue from outside the United States.
Executives
Nelson Lisa M officer: President-International EQUIFAX INC. 1550 PEACHTREE STREET NW ATLANTA GA 30309
Tillman Audrey B director 1932 WYNNTON RD COLUMBUS GA 31999
Goodwin Melissa D director C/O WRIGHT EXPRESS CORPORATION 97 DARLING AVENUE SOUTH PORTLAND ME 04106
Bindal Sunil officer: SVP, Corp Development EQUIFAX INC. 1550 PEACHTREE STREET NW ATLANTA GA 30309
Parker Lindsay B officer: Chief Marketing Officer EQUIFAX INC 1550 PEACHTREE STREET NW ATLANTA GA 30309
Anderson Beverly J officer: Pres-Global Consumer Solutions 1550 PEACHTREE STREET NW ATLANTA GA 30309
Selander Robert W director MASTERCARD INTERNATIONAL 2000 PURCHASE STREET PURCHASE NY 10577
Marcus Robert D director C/O TIME WARNER CABLE INC. 60 COLUMBUS CIRCLE, 17TH FLOOR NEW YORK NY 10023
Mckinley John A director C/O EQUIFAX INC 1550 PEACHTREE STREET NW ATLANTA GA 30309
Stock Elane B director 351 PHELPS DRIVE IRVING TX 75038
Chaney Carla officer: CVP & Chief HR Officer 5302 LAKE VIEW CLUB DUNWOODY GA 30338
Hough G. Thomas director P.O. BOX 407 LAKELAND FL 33802
Wilson Heather H director 1550 PEACHTREE STREET NW ATLANTA GA 30309
Singh Sid officer: President - USIS 1550 PEACHTREE STREET NW ATLANTA GA 30309
Griggs James M officer: SVP & Corp Controller 1550 PEACHTREE STREET NW ATLANTA GA 30309

Equifax Headlines

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