Fair Isaac (NYSE:FICO) Sets New 1-Year Low – Here’s Why

Fair Isaac Corporation (NYSE:FICO) reached a new 52-week low on Tuesday . The company traded as low as $1,305.15 and last traded at $1,309.09, with a volume of 262454 shares. The stock had previously closed at $1,320.88.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on FICO shares. Raymond James Financial lowered their price target on shares of Fair Isaac from $2,230.00 to $1,800.00 and set an “outperform” rating for the company in a report on Thursday, July 31st. Robert W. Baird upgraded Fair Isaac from a “neutral” rating to an “outperform” rating and reduced their price objective for the stock from $2,021.00 to $1,900.00 in a research report on Wednesday, May 28th. BMO Capital Markets raised Fair Isaac to a “strong-buy” rating in a report on Thursday, July 10th. Barclays cut their price target on Fair Isaac from $2,250.00 to $2,000.00 and set an “overweight” rating on the stock in a research note on Wednesday, July 9th. Finally, Griffin Securities set a $2,000.00 price target on Fair Isaac in a report on Wednesday, July 9th. Two investment analysts have rated the stock with a hold rating, ten have issued a buy rating and two have assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Buy” and a consensus price target of $2,163.14.

Fair Isaac Price Performance

The firm has a market capitalization of $32.02 billion, a P/E ratio of 52.18, a PEG ratio of 2.57 and a beta of 1.28. The company has a fifty day moving average of $1,632.49 and a 200 day moving average of $1,781.71.

Fair Isaac (NYSE:FICO) last posted its quarterly earnings data on Wednesday, July 30th. The technology company reported $8.57 EPS for the quarter, beating analysts’ consensus estimates of $7.75 by $0.82. Fair Isaac had a net margin of 32.80% and a negative return on equity of 48.88%. The company had revenue of $536.42 million for the quarter, compared to analyst estimates of $520.40 million. During the same period in the prior year, the firm posted $6.25 EPS. The company’s quarterly revenue was up 19.8% on a year-over-year basis. On average, sell-side analysts forecast that Fair Isaac Corporation will post 24.15 EPS for the current year.

Fair Isaac announced that its Board of Directors has authorized a share buyback program on Thursday, June 19th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the technology company to purchase up to 2.3% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s management believes its stock is undervalued.

Insider Activity

In other Fair Isaac news, CFO Steven P. Weber sold 1,000 shares of the business’s stock in a transaction that occurred on Monday, June 9th. The stock was sold at an average price of $1,738.25, for a total value of $1,738,250.00. Following the transaction, the chief financial officer directly owned 1,862 shares of the company’s stock, valued at approximately $3,236,621.50. The trade was a 34.94% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO William J. Lansing sold 6,010 shares of the firm’s stock in a transaction that occurred on Tuesday, June 10th. The stock was sold at an average price of $1,767.82, for a total transaction of $10,624,598.20. Following the sale, the chief executive officer directly owned 42,138 shares of the company’s stock, valued at approximately $74,492,399.16. This trade represents a 12.48% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 13,021 shares of company stock valued at $22,247,892. Corporate insiders own 3.46% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Vanguard Group Inc. increased its holdings in shares of Fair Isaac by 1.2% during the second quarter. Vanguard Group Inc. now owns 2,997,525 shares of the technology company’s stock valued at $5,479,356,000 after acquiring an additional 35,091 shares in the last quarter. Price T Rowe Associates Inc. MD grew its position in Fair Isaac by 0.4% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 823,574 shares of the technology company’s stock valued at $1,518,803,000 after purchasing an additional 3,677 shares during the period. Geode Capital Management LLC increased its stake in Fair Isaac by 2.0% during the 2nd quarter. Geode Capital Management LLC now owns 712,699 shares of the technology company’s stock valued at $1,299,727,000 after purchasing an additional 13,906 shares in the last quarter. American Century Companies Inc. increased its stake in Fair Isaac by 2.8% during the 2nd quarter. American Century Companies Inc. now owns 397,389 shares of the technology company’s stock valued at $726,411,000 after purchasing an additional 10,771 shares in the last quarter. Finally, Principal Financial Group Inc. raised its holdings in Fair Isaac by 7.3% during the first quarter. Principal Financial Group Inc. now owns 391,823 shares of the technology company’s stock worth $722,585,000 after buying an additional 26,811 shares during the last quarter. Institutional investors and hedge funds own 85.75% of the company’s stock.

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.