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FICO

Fair Isaac NYSE:FICO Stock Report

Last Price

US$398.10

Market Cap

US$10.3b

7D

6.0%

1Y

-20.9%

Updated

25 May, 2022

Data

Company Financials +
FICO fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance5/6
Financial Health2/6
Dividends0/6

FICO Stock Overview

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

Fair Isaac Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Fair Isaac
Historical stock prices
Current Share PriceUS$398.10
52 Week HighUS$553.97
52 Week LowUS$340.48
Beta1.25
1 Month Change3.00%
3 Month Change-15.74%
1 Year Change-20.94%
3 Year Change34.55%
5 Year Change200.09%
Change since IPO39,710.00%

Recent News & Updates

May 25
Is Now The Time To Look At Buying Fair Isaac Corporation (NYSE:FICO)?

Is Now The Time To Look At Buying Fair Isaac Corporation (NYSE:FICO)?

Fair Isaac Corporation ( NYSE:FICO ) saw a double-digit share price rise of over 10% in the past couple of months on...

May 09
Shareholders Would Enjoy A Repeat Of Fair Isaac's (NYSE:FICO) Recent Growth In Returns

Shareholders Would Enjoy A Repeat Of Fair Isaac's (NYSE:FICO) Recent Growth In Returns

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Amongst other...

May 04

Fair Isaac: Lowering The Price Target To Reflect Slower Growth

FICO recently reported Q2 FY22 results, which were overall in line with my expectations. However, it is worth noting some parts of the business are slowing down. I believe slower economic growth and higher rates will ultimately challenge FICO's business model in the short term and growth might be more moderate in the next quarters. My new price target is $290 per share instead of $340, which reflects some of my updated assumptions.

Shareholder Returns

FICOUS SoftwareUS Market
7D6.0%3.4%1.0%
1Y-20.9%-14.3%-15.1%

Return vs Industry: FICO underperformed the US Software industry which returned -15.5% over the past year.

Return vs Market: FICO underperformed the US Market which returned -13.2% over the past year.

Price Volatility

Is FICO's price volatile compared to industry and market?
FICO volatility
FICO Average Weekly Movement5.6%
Software Industry Average Movement10.9%
Market Average Movement7.8%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market2.9%

Stable Share Price: FICO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: FICO's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19563,460Will Lansinghttps://www.fico.com

Fair Isaac Corporation develops analytic, software, and data management products and services that enable businesses to automate, enhance, and connect decisions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates through two segments, Scores and Software. The Software segment offers pre-configured decision management solution designed for various business problems or processes, such as marketing, account origination, customer management, customer engagement, fraud detection, financial crimes compliance, collection, and marketing, as well as associated professional services.

Fair Isaac Fundamentals Summary

How do Fair Isaac's earnings and revenue compare to its market cap?
FICO fundamental statistics
Market CapUS$10.32b
Earnings (TTM)US$426.26m
Revenue (TTM)US$1.35b

24.2x

P/E Ratio

7.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FICO income statement (TTM)
RevenueUS$1.35b
Cost of RevenueUS$295.60m
Gross ProfitUS$1.06b
Other ExpensesUS$630.46m
EarningsUS$426.26m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)16.44
Gross Margin78.14%
Net Profit Margin31.52%
Debt/Equity Ratio-270.5%

How did FICO perform over the long term?

See historical performance and comparison

Valuation

Is Fair Isaac undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


37.7%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: FICO ($398.1) is trading below our estimate of fair value ($639.32)

Significantly Below Fair Value: FICO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FICO is good value based on its Price-To-Earnings Ratio (24.2x) compared to the US Software industry average (39.5x).

PE vs Market: FICO is poor value based on its Price-To-Earnings Ratio (24.2x) compared to the US market (14.9x).


Price to Earnings Growth Ratio

PEG Ratio: FICO is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: FICO has negative assets, so we can't compare its Price-To-Book Ratio to the US Software industry average.


Future Growth

How is Fair Isaac forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


10.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FICO's forecast earnings growth (10.2% per year) is above the savings rate (1.9%).

Earnings vs Market: FICO's earnings (10.2% per year) are forecast to grow slower than the US market (12.1% per year).

High Growth Earnings: FICO's earnings are forecast to grow, but not significantly.

Revenue vs Market: FICO's revenue (8.4% per year) is forecast to grow faster than the US market (7.7% per year).

High Growth Revenue: FICO's revenue (8.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if FICO's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Fair Isaac performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


28.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: FICO has high quality earnings.

Growing Profit Margin: FICO's current net profit margins (31.5%) are higher than last year (20.9%).


Past Earnings Growth Analysis

Earnings Trend: FICO's earnings have grown significantly by 28% per year over the past 5 years.

Accelerating Growth: FICO's earnings growth over the past year (53.1%) exceeds its 5-year average (28% per year).

Earnings vs Industry: FICO earnings growth over the past year (53.1%) exceeded the Software industry 27.1%.


Return on Equity

High ROE: FICO's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Financial Health

How is Fair Isaac's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: FICO has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: FICO has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: FICO has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: FICO's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: FICO's debt is well covered by operating cash flow (24.5%).

Interest Coverage: FICO's interest payments on its debt are well covered by EBIT (9.9x coverage).


Balance Sheet


Dividend

What is Fair Isaac current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate FICO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate FICO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if FICO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FICO's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: FICO is not paying a notable dividend for the US market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as FICO has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

10.3yrs

Average management tenure


CEO

Will Lansing (63 yo)

10.33yrs

Tenure

US$19,429,745

Compensation

Mr. William J. Lansing, also known as Will, J.D., has been the Chief Executive Officer of Fair Isaac Corporation since January 27, 2012 and serves as its President. Mr. Lansing serves as an Advisor at i-Ha...


CEO Compensation Analysis

Compensation vs Market: Will's total compensation ($USD19.43M) is above average for companies of similar size in the US market ($USD13.26M).

Compensation vs Earnings: Will's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: FICO's management team is seasoned and experienced (10.3 years average tenure).


Board Members

Experienced Board: FICO's board of directors are considered experienced (8.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: FICO insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Fair Isaac Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Fair Isaac Corporation
  • Ticker: FICO
  • Exchange: NYSE
  • Founded: 1956
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: US$10.324b
  • Shares outstanding: 25.93m
  • Website: https://www.fico.com

Number of Employees


Location

  • Fair Isaac Corporation
  • 5 West Mendenhall
  • Suite 105
  • Bozeman
  • Montana
  • 59715
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/25 00:00
End of Day Share Price2022/05/25 00:00
Earnings2022/03/31
Annual Earnings2021/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.