Fair Isaac (NYSE:FICO) Shares Down 5.9% – What’s Next?

Shares of Fair Isaac Corporation (NYSE:FICO) dropped 5.9% during mid-day trading on Tuesday . The company traded as low as $1,325.88 and last traded at $1,355.6950. Approximately 77,302 shares changed hands during trading, a decline of 74% from the average daily volume of 298,107 shares. The stock had previously closed at $1,441.20.

Analysts Set New Price Targets

A number of analysts have weighed in on the company. Needham & Company LLC reiterated a “buy” rating on shares of Fair Isaac in a research report on Thursday, February 26th. The Goldman Sachs Group reduced their target price on shares of 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. Bank of America began coverage on Fair Isaac in a report on Tuesday, February 17th. They set a “buy” rating and a $1,900.00 price objective on the stock. Weiss Ratings restated a “hold (c+)” rating on shares of Fair Isaac in a research note on Monday, December 29th. Finally, Wells Fargo & Company upped their price objective on shares of Fair Isaac from $2,400.00 to $2,500.00 and gave the stock an “overweight” rating in a research note on Wednesday, January 14th. Nine investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Fair Isaac has an average rating of “Moderate Buy” and an average target price of $1,994.62.

Fair Isaac Stock Performance

The firm’s 50 day moving average is $1,478.95 and its 200 day moving average is $1,596.27. The stock has a market cap of $31.44 billion, a P/E ratio of 49.02, a price-to-earnings-growth ratio of 1.42 and a beta of 1.28.

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

Fair Isaac declared that its Board of Directors has initiated a share buyback program on Wednesday, February 25th that permits the company to repurchase $1.50 billion in shares. This repurchase authorization permits the technology company to reacquire up to 5.2% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other news, CFO Steven P. Weber sold 1,426 shares of the company’s stock in a transaction on 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 sale, the chief financial officer directly owned 2,804 shares of the company’s stock, valued at $5,075,240. This represents a 33.71% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Eva Manolis sold 521 shares of the firm’s stock in a transaction on Friday, December 12th. The stock was sold at an average price of $1,825.83, for a total transaction of $951,257.43. Following the transaction, the director directly owned 344 shares of the company’s stock, valued at approximately $628,085.52. This trade represents a 60.23% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 2,825 shares of company stock valued at $4,657,565. 3.02% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Bayban acquired a new position in shares of Fair Isaac during the fourth quarter valued at approximately $25,000. Physician Wealth Advisors Inc. grew its holdings in shares of Fair Isaac by 166.7% in the fourth quarter. Physician Wealth Advisors Inc. now owns 16 shares of the technology company’s stock valued at $27,000 after purchasing an additional 10 shares during the period. Torren Management LLC purchased a new position in Fair Isaac during the fourth quarter worth about $30,000. Cornerstone Planning Group LLC grew its stake in shares of Fair Isaac by 280.0% in the 3rd quarter. Cornerstone Planning Group LLC now owns 19 shares of the technology company’s stock valued at $30,000 after buying an additional 14 shares during the period. Finally, Ransom Advisory Ltd purchased a new stake in shares of Fair Isaac during the 3rd quarter valued at approximately $30,000. 85.75% of the stock is owned by hedge funds and other institutional investors.

About Fair Isaac

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.