Stock of the Day

Fair Isaac (FICO)

$1,768.80

-$3.11 (-0.2%)

Market Cap: $43.09B

About Fair Isaac

Fair Isaac Corporation develops analytic, software, and digital decisioning technologies and services that enable businesses to automate, enhance, and connect decisions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.

The company operates in two segments, Scores and Software. The Software segment provides pre-configured analytic and decision management solution designed for various business needs or processes, such as account origination, customer management, customer engagement, fraud detection, financial crimes compliance, and marketing, as well as associated professional services. This segment also offers FICO Platform, a modular software offering designed to support advanced analytic and decision use cases, as well as stand-alone analytic and decisioning software that can be configured by customers to address a wide range of business use cases. The Scores segment provides business-to-business scoring solutions and services for consumers that give clients access to predictive credit and other scores that can be integrated into their transaction streams and decision-making processes, as well as business-to-consumer scoring solutions comprising myFICO.com subscription offerings. It offers FICO Customer Analytics, FICO Responsible AI, FICO Advisors, FICO Business Outcome Simulator, FICO Forecaster, FICO TRIAD Customer Manager, FICO Blaze Advisor, FICO Xpress Optimization, FICO Falcon Fraud Manager, FICO Analytics Workbench, FICO Data Orchestrator, FICO DMP Streaming, FICO Decision Optimizer, and FICO Strategy Director, as well as software implementation and configuration services. The company markets its products and services primarily through its direct sales organization and indirect channels, as well as online. The company was formerly known as Fair Isaac & Company, Inc. and changed its name to Fair Isaac Corporation in July 1992. Fair Isaac Corporation was founded in 1956 and is headquartered in Bozeman, Montana.

Fair Isaac Bull Case

Here are some ways that investors could benefit from investing in Fair Isaac Co.:

• The current stock price is around $1,545, which reflects a significant market capitalization of approximately $37.62 billion, indicating strong investor confidence in the company's future prospects.
• Fair Isaac Co. has shown impressive revenue growth, with a reported increase of 15% compared to the same quarter last year, suggesting robust demand for its products and services.
• Analysts have a consensus rating of "Moderate Buy" for Fair Isaac Co., with several firms recently issuing buy ratings and raising their price targets, indicating positive sentiment in the market.
• The company has a strong net margin of over 30%, which demonstrates its ability to convert revenue into profit effectively, a key indicator of financial health.
• Institutional investors hold a significant portion of the stock, with 85.75% ownership, which often reflects confidence in the company's long-term strategy and stability.

Fair Isaac Bear Case

Investors should be bearish about investing in Fair Isaac Co. for these reasons:

• The stock has experienced volatility, with recent trading down about 8.9%, which may indicate market uncertainty and could deter risk-averse investors.
• Insider selling has been notable, with executives selling a total of 17,933 shares recently, which could raise concerns about the company's future performance from those who are most familiar with its operations.
• The price-to-earnings (P/E) ratio is relatively high at around 71, suggesting that the stock may be overvalued compared to its earnings, which could lead to a price correction.
• Despite positive revenue growth, the company reported a negative return on equity, which may signal inefficiencies in generating profit from shareholders' equity.
• Recent price target adjustments by analysts, including reductions from firms like UBS Group, may indicate a cautious outlook on the stock's near-term performance.

Recent News

• FICO UK Credit Card Market Report: March 2025 (businesswire.com)
• Jim Cramer and Wall Street Are Bullish on Fair Isaac Corporation (FICO) (finance.yahoo.com)
• Fair Isaac Corp. stock underperforms Monday when compared to competitors despite daily gains (marketwatch.com)
• FICO Drives Financial Empowerment at Professional Golf Tournaments Across North America (businesswire.com)
• Jim Cramer and Wall Street Are Bullish on Fair Isaac Corporation (FICO) (insidermonkey.com)
• Kyverna, Rocket, Teva, Fair Isaac, Oklo Trending by Analysts (tipranks.com)