Equifax Inc. (EFX): Today's Featured Financial Services Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Equifax ( EFX) pushed the Financial Services industry lower today making it today's featured Financial Services laggard. The industry as a whole closed the day up 0.1%. By the end of trading, Equifax fell 58 cents (-1%) to $54.98 on heavy volume. Throughout the day, 1.3 million shares of Equifax exchanged hands as compared to its average daily volume of 814,500 shares. The stock ranged in price between $54.68-$55.55 after having opened the day at $55.32 as compared to the previous trading day's close of $55.56. Other companies within the Financial Services industry that declined today were: Millennium India Acquisition Corporation ( SMCG), down 11.2%, GAIN Capital Holdings ( GCAP), down 7.8%, Investors Capital Holdings ( ICH), down 7.3%, and Teucrium Agricultural Fund ( TAGS), down 4.1%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Equifax Inc. collects, organizes, and manages various financial, demographic, employment, and marketing information solutions for businesses and consumers. The company's U.S. Equifax has a market cap of $6.68 billion and is part of the financial sector. The company has a P/E ratio of 18.8, above the S&P 500 P/E ratio of 17.7. Shares are up 3.2% year to date as of the close of trading on Friday. Currently there are five analysts that rate Equifax a buy, no analysts rate it a sell, and five rate it a hold.

TheStreet Ratings rates Equifax as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the financial services industry could consider Financial Select Sector SPDR ( XLF) while those bearish on the financial services industry could consider Proshares Short Financials ( SEF).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.
null

If you liked this article you might like

5 of the Worst Recent Cyberattacks

Hackers Had Access to Equifax System for Months Before Breach Was Discovered

FedEx Makes A Comeback: Cramer's Top Takeaways

Watch Out For the Dominoes That Fall: Cramer's 'Mad Money' Recap (Wed 9/20/17)

Equifax's Future Could Go in One of Two Directions