Credit ratings company Equifax (EFX) issued current-quarter guidance that came in below Wall Street’s expectation amid falling mortgage inquiries, sending its stock down more than 9% in extended-hours trading Wednesday evening.

The company, which assesses borrowers’ 澳洲幸运5官方开奖结果体彩网:credit quality for lenders, said it expects current-quarter revenue of between $1.41 billion and $1.43 billion, with the top portion of that forecast missing analysts’ expectations of $1.44 billion.

Equifax reiterated its full-year revenue outlook of $5.72 billion and 澳洲幸运5官方开奖结果体彩网:adjusted earnings of $7.35 per share, adding that its guidance “reflects an expectation of a decline of about 11% in our 2024 U.S. mortgage-credit inquiries.” However, that forecast is an improvement from the 16% decline the company projected in the previous quarter.

In recent months, the housing market has shown signs of cooling as higher-for-longer 澳洲幸运5官方开奖结果体彩网:interest rates signaled by the 澳洲幸运5官方开奖结果体彩网:Federal Reserve, coupled with high property prices, have pushed more buyers and sellers to the sidelines, though 澳洲幸运5官方开奖结果体彩网:data released Wednesday from the Mortgage Broke꧋rs Association s🅰howed mortgage loan volume increased last week by 3.3%.

For the first quarter ending March 31, Equifax posted adjusted earnings of $1.50 per share on revenue of $1.389 billion. Wall Street had projected 澳洲幸运5官方开奖结果体彩网:earnings per share (EPS) of $1.44, on revenue of $1.4 billion.

The credit-scoring giant said its non-mortgage business, which accounted for around 80% of total revenue in the first quarter, grew 9% from a year earlier from continued strong new ratings products using 澳洲幸运5官方开奖结果体彩网:artificial intelligence (AI) and 澳洲幸运5官方开奖结果体彩网:machine learning (ML).

The Equifax share price initially tracked higher after the 50-day crossed above the 澳洲幸运5官方开奖结果体彩网:200-day moving average in late December to form a bullish golden 澳洲幸运5官方开奖结果体彩网:cross pattern, but has more recently undergone a retracement, with declines outpacing the broader financial sector.

Investors should keep a close eye on the $222 level, an area where the price may find support from a multi-month 澳洲幸运5官方开奖结果体彩网:horizonal line and the 20♉0-day moving average. A convincing close below this important technical level on Thursday could see lower support teste𒆙d at $190 and $162.

Equifax shares fell 9.5% to $215.00 in after-hours trading Wednesday. Through Wednesday's close, the stock had gained about 22% over the past 12 months.

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