Fair Isaac (NYSE:FICO) to Repurchase $1.00 billion in Stock

Fair Isaac (NYSE:FICO) declared that its Board of Directors has authorized a share repurchase plan on Thursday, June 19th, RTT News reports. The company plans to repurchase $1.00 billion in shares. This repurchase authorization allows the technology company to buy up to 2.3% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board believes its stock is undervalued.

Fair Isaac Trading Up 2.5%

Shares of NYSE:FICO opened at $1,807.89 on Friday. The company has a market capitalization of $44.00 billion, a PE ratio of 77.86, a P/E/G ratio of 2.96 and a beta of 1.29. Fair Isaac has a twelve month low of $1,410.66 and a twelve month high of $2,402.52. The firm has a 50 day simple moving average of $1,888.42 and a 200-day simple moving average of $1,898.92.

Fair Isaac (NYSE:FICO) last issued its quarterly earnings data on Tuesday, April 29th. The technology company reported $7.81 earnings per share for the quarter, topping the consensus estimate of $7.33 by $0.48. The business had revenue of $498.74 million during the quarter, compared to the consensus estimate of $500.45 million. Fair Isaac had a net margin of 31.36% and a negative return on equity of 51.41%. The company’s revenue was up 15.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $6.14 EPS. As a group, equities research analysts predict that Fair Isaac will post 24.15 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on FICO. Needham & Company LLC restated a “buy” rating and issued a $2,575.00 price objective on shares of Fair Isaac in a report on Friday. Barclays dropped their price objective on shares of Fair Isaac from $2,350.00 to $2,250.00 and set an “overweight” rating for the company in a report on Friday, April 4th. Jefferies Financial Group restated a “buy” rating and issued a $2,500.00 price objective (up previously from $2,225.00) on shares of Fair Isaac in a report on Wednesday, May 14th. Royal Bank Of Canada upgraded shares of Fair Isaac from a “sector perform” rating to an “outperform” rating and boosted their price target for the stock from $2,040.00 to $2,170.00 in a report on Wednesday, February 26th. Finally, Robert W. Baird upgraded shares of Fair Isaac from a “neutral” rating to an “outperform” rating and lowered their price target for the stock from $2,021.00 to $1,900.00 in a report on Wednesday, May 28th. Two investment analysts have rated the stock with a hold rating, eleven have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $2,304.15.

Insider Transactions at Fair Isaac

In related news, CEO William J. Lansing sold 592 shares of the company’s stock in a transaction on Tuesday, May 13th. The shares were sold at an average price of $2,170.34, for a total value of $1,284,841.28. Following the completion of the sale, the chief executive officer now owns 42,138 shares in the company, valued at $91,453,786.92. This represents a 1.39% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Marc F. Mcmorris sold 797 shares of the company’s stock in a transaction on Friday, May 9th. The shares were sold at an average price of $2,087.50, for a total transaction of $1,663,737.50. Following the completion of the sale, the director now owns 242 shares of the company’s stock, valued at approximately $505,175. This trade represents a 76.71% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 20,851 shares of company stock worth $40,543,770. 3.46% of the stock is currently owned by insiders.

Fair Isaac Company Profile

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.