Fair Isaac (NYSE:FICO) Trading Down 5.7% – Should You Sell?

Fair Isaac Corporation (NYSE:FICO)’s stock price traded down 5.7% during trading on Tuesday . The company traded as low as $1,211.11 and last traded at $1,208.1020. 170,134 shares traded hands during mid-day trading, a decline of 44% from the average session volume of 305,761 shares. The stock had previously closed at $1,281.64.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on FICO. Needham & Company LLC reiterated a “buy” rating on shares of Fair Isaac in a report on Thursday. The Goldman Sachs Group lowered their target price on Fair Isaac from $2,070.00 to $1,777.00 and set a “buy” rating on the stock in a research report on Monday, February 2nd. Jefferies Financial Group lifted their price target on shares of Fair Isaac from $2,100.00 to $2,200.00 and gave the company a “buy” rating in a research report on Friday, January 16th. Zacks Research lowered shares of Fair Isaac from a “strong-buy” rating to a “hold” rating in a research note on Monday, December 1st. Finally, Bank of America began coverage on shares of Fair Isaac in a research note on Tuesday, February 17th. They issued a “buy” rating and a $1,900.00 price objective on the stock. Nine equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $1,994.62.

Fair Isaac Price Performance

The firm’s fifty day moving average is $1,528.01 and its two-hundred day moving average is $1,589.12. The firm has a market capitalization of $32.95 billion, a PE ratio of 51.41, a PEG ratio of 1.18 and a beta of 1.27.

Fair Isaac (NYSE:FICO) last posted its earnings results on Wednesday, January 28th. The technology company reported $7.33 EPS for the quarter, topping the consensus estimate of $7.08 by $0.25. The firm had revenue of $766.00 million for the quarter, compared to analysts’ expectations of $501.05 million. Fair Isaac had a net margin of 31.89% and a negative return on equity of 40.98%. The company’s quarterly revenue was up 16.4% compared to the same quarter last year. During the same quarter last year, the firm earned $5.79 EPS. Fair Isaac has set its FY 2026 guidance at 38.170-38.170 EPS. As a group, equities research analysts predict that Fair Isaac Corporation will post 24.15 EPS for the current fiscal year.

Fair Isaac declared that its board has authorized a stock buyback plan on Wednesday, February 25th that authorizes the company to buyback $1.50 billion in shares. This buyback authorization authorizes the technology company to reacquire up to 5.2% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s board believes its shares are undervalued.

Insiders Place Their Bets

In other Fair Isaac news, CFO Steven P. Weber sold 1,426 shares of the business’s stock in a transaction dated Wednesday, December 17th. The shares were sold at an average price of $1,810.00, for a total value of $2,581,060.00. Following the transaction, the chief financial officer directly owned 2,804 shares in the company, valued at $5,075,240. The trade was a 33.71% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Joanna Rees sold 358 shares of Fair Isaac stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $1,360.00, for a total transaction of $486,880.00. Following the completion of the sale, the director directly owned 11,204 shares in the company, valued at $15,237,440. This trade represents a 3.10% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 2,305 shares of company stock valued at $4,019,197. Company insiders own 3.02% of the company’s stock.

Hedge Funds Weigh In On Fair Isaac

A number of large investors have recently made changes to their positions in the stock. Brighton Jones LLC grew its position in Fair Isaac by 168.7% during the fourth quarter. Brighton Jones LLC now owns 481 shares of the technology company’s stock worth $958,000 after buying an additional 302 shares in the last quarter. Great Lakes Advisors LLC raised its holdings in shares of Fair Isaac by 5.7% in the 1st quarter. Great Lakes Advisors LLC now owns 112 shares of the technology company’s stock valued at $207,000 after acquiring an additional 6 shares in the last quarter. Woodline Partners LP boosted its position in shares of Fair Isaac by 46.1% during the 1st quarter. Woodline Partners LP now owns 2,138 shares of the technology company’s stock valued at $3,943,000 after acquiring an additional 675 shares during the last quarter. AlphaQuest LLC grew its holdings in shares of Fair Isaac by 512.0% during the second quarter. AlphaQuest LLC now owns 306 shares of the technology company’s stock worth $559,000 after purchasing an additional 256 shares in the last quarter. Finally, Envestnet Asset Management Inc. increased its position in shares of Fair Isaac by 20.7% in the second quarter. Envestnet Asset Management Inc. now owns 47,729 shares of the technology company’s stock worth $87,247,000 after purchasing an additional 8,199 shares during the last quarter. 85.75% of the stock is owned by institutional investors.

Fair Isaac Company Profile

Fair Isaac Corporation, commonly known as FICO, is a data analytics and software company best known for its FICO Score, a widely used credit-scoring system that helps lenders assess consumer credit risk. Founded in 1956 by Bill Fair and Earl Isaac, the company has evolved from its origins in statistical credit scoring to a broader focus on predictive analytics, decision management and artificial intelligence-driven solutions for financial services and other industries. FICO is headquartered in San Jose, California, and operates globally, serving clients across North America, Latin America, Europe, the Middle East, Africa and the Asia-Pacific region.

FICO’s product portfolio centers on analytics and decisioning technologies.