Experian (J2BA) AI Stock Analysis

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Experian

(Frankfurt:J2BA)

Rating:―N/A

Action:N/A

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Positive Factors

Revenue GrowthBroad-based organic growth and FY'27 guidance indicate continuing demand across Experian's data, analytics, identity, and consumer services. Sustained expansion supports operating leverage, reinforces client relationships, and provides a durable base for further investment in products and platforms.

Negative Factors

LeverageModerate-to-elevated leverage reduces financial flexibility relative to a lower-debt profile. Debt service and refinancing needs can compete with investment, acquisitions, and shareholder returns, while a weaker operating environment could make balance-sheet repair more important over the coming quarters.

Experian (J2BA) vs. iShares MSCI Germany ETF (EWG)

Market Cap: EUR 35.09B
Dividend Yield: 1.67%
Average Volume (3M): 126
Price to Earnings (P/E): 23.8
Beta (1Y): 0.77
Revenue Growth: 3.91%
EPS Growth: 19.37%
Country: Germany
Employees: 25,200
Sector: Industrials
Sector Strength: 63
Industry: Specialty Business Services

Experian Business Overview & Revenue Model

Company Description

Experian plc is a global technology firm that delivers services through two primary divisions: Business-to-Business and Consumer Services. For its business clients, the company offers specialized data analytics to help identify and better understand...

Experian Earnings Call Summary

Earnings Call Date:May 20, 2026(Q4-2026)|% Change Since:18.87%|Next Earnings Date:Nov 18, 2026

Earnings Call SentimentPositive

The call emphasizes a strong, record financial year with broad-based revenue growth, margin expansion, robust cash generation, significant strategic progress on cloud migration, AI initiatives and platform adoption, and active capital returns. Near-term headwinds include the wind-down of legacy data breach contracts, mortgage volume sensitivity, short-term acquisition and transition-related margin pressures, and some regional B2B softness. Overall, positives around execution, AI-led TAM expansion, platform momentum and capital discipline materially outweigh the manageable challenges highlighted.

Positive Updates

Record Financial Performance

FY'26 was a record year: revenue from ongoing activities up 13% at actual rates (11% constant) with organic revenue growth of 8% for the year (9% in Q4). Benchmark EBIT grew 15% (13% constant) to over $2.4bn and Benchmark EPS rose 15% (13% constant).

Negative Updates

Data Breach Contract Wind-Down and Partner Solutions Volatility

Two large long-term data breach contracts are rolling off, creating near-term volatility in Partner Solutions. The contracts represented around $20m of quarterly revenue, with approximately half dropping out in Q4 and the remainder reducing in early FY'27; Partner Solutions was modestly down for the year.

Company Guidance

Experian guided FY'27 to total reported revenue growth of 8–11% (organic 6–8%, with completed acquisitions contributing ~1 percentage point) and another year of double‑digit Benchmark EPS growth, with Benchmark EBIT margin progression of ~50 basis points at constant exchange rates. Management expects foreign‑exchange to be a 1–2% benefit to revenue and EBIT, net interest of $250–260m, a Benchmark tax rate of ~26%, CapEx of about 8% of revenue, and Benchmark operating cash‑flow conversion above 90%. Weighted average number of shares is expected to be 880–885m during the year with a closing share count around 870m as the company executes a further $1bn buyback (adding to $1bn announced in January); guidance starts around the middle of the ranges and reflects headwinds from FICO mortgage royalties and the wind‑down of two large breach contracts.

Experian Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

DE:J2BA against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RELX	74Outperform	$68.88B	23.96	125.53%	2.29%	5.77%	25.08%
ULS	74Outperform	$16.47B	32.20	34.84%	0.69%	6.09%	50.22%
EVTC	69Neutral	$1.93B	20.89	14.67%	0.62%	16.29%	-32.76%
FA	64Neutral	$3.71B	84.83	3.29%	―	17.67%	―
Sector *	63Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

* Industrials Sector Average

Performance Comparison

DE:J2BA and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
DE:J2BA	Experian plc (ADR)	35.40	-1.52	-4.11%
EVTC	EVERTEC INC	32.12	3.27	11.35%
RELX	Relx PLC (ADR)	40.04	-0.21	-0.51%
FA	First Advantage Corporation	21.36	8.17	61.94%
ULS	UL Solutions Inc. Class A	81.55	-4.52	-5.25%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Experian AI Stock Analysis