Experian’s Strong Financial Performance and Promising Outlook Justifies Buy Rating

Analyst Annelies Vermeulen of Morgan Stanley maintained a Buy rating on Experian (EXPGF – Research Report), with a price target of p4,400.00.

Annelies Vermeulen has given her Buy rating due to a combination of factors that highlight Experian’s strong financial performance and promising future outlook. The company achieved a 7% organic growth in FY25, which aligns with market expectations and demonstrates resilience despite challenges such as a data breach. Additionally, Experian’s EBIT margin improved by 50 basis points year-over-year, reaching the upper end of guidance, which reflects efficient cost management and operational strength.
Looking forward, Experian’s guidance for FY26 indicates continued growth, with expectations of 6-8% organic growth and a total revenue increase of 9-11%. The company’s strategic initiatives, including cloud technology transformation, are expected to yield significant cost savings from FY27 onwards. With a solid balance sheet, strong cash conversion, and a positive outlook across all segments and regions, Vermeulen sees Experian as well-positioned for sustained success, justifying the Buy rating.

In another report released on May 12, RBC Capital also maintained a Buy rating on the stock with a p4,200.00 price target.