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Fair Isaac
NYSE: FICO Technology IT 🔎 Screen
S&P 500
$28.1B
Market Cap
56.4
P/E
1.59
PEG
63.8%
ROCE
-48.1%
ROE
-1.53
D/E
46.5%
OPM
-37.9%
% from 52W High
24
α RS
🔍 FICO is showing a high-conviction setup because it matches 13 of 37 tracked screener presets and an ECS of 55.1 last quarter. Net: Partial signal stack, not a recommendation. ? Conviction ECS
Sources
Conviction 13/37 · ECS 55.1
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🌏 Global Investor Returns
Currency-adjusted total returns for FICO including FX impact
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📈 Price History
Ratio Health
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About

Fair Isaac Corporation provides analytics software in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.

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📈 Growth Pattern
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⭐ Superinvestors Holding FICO
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Manager Shares Value % of Fund Period
Steve Cohen Point72 Asset Management 9.3K $10.0M 0.01% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q3 2026
Revenue
$0.674B
+26% YoY
Net Income
$0.237B
+30% YoY
Non-GAAP EPS
$12.18
+42% YoY
Free Cash Flow
$0.370B
+34% YoY
What Went Right
  • Scores revenue grew 41% YoY to $459M, driven by a 97% surge in mortgage origination revenue
  • Platform ARR surpassed non-platform ARR for the first time, with platform ARR up 62% to $413M
  • Record capital returns: $1.96B share repurchases in Q3; FY26 guidance raised to $2.53B revenue
What to Watch
  • Mortgage volumes grew only low-single-digit YoY as rates and affordability remain challenging
  • Non-platform revenue declined 25% YoY and non-platform ARR fell 17%, with NRR of 82%
  • Direct License Program remains stuck awaiting GSE certification; VantageScore gaming/Lender Choice is a live competitive risk
Management Guidance
  • FY26 revenue guidance raised to $2.53B, up 20% YoY
  • FY26 GAAP EPS guidance raised to $36.86; non-GAAP EPS to $42.43
  • Q4 operating expenses modestly above Q3 due to Accenture partnership marketing and one-time restructuring charges
Investor Lens
The thesis is stronger after this call: Q3 beat expectations, FY26 guidance was raised, and the platform mix shift milestone (platform ARR > non-platform ARR) validates the software strategy. Record buybacks and strong FCF support shareholder returns, but near-term risks remain — mortgage volume growth is tepid and the Direct License Program is still awaiting GSE sign-off, which delays the performance-pricing opportunity. Watch for continued non-platform decay and any further share loss to VantageScore gaming. Overall, the core Scores pricing power and Platform momentum give management multiple levers for growth.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Revenue up 26%, EPS up 42%, guidance raised — a strong quarter
Revenue
Revenue rose 26% YoY to $674M. Scores revenue grew 41% to $459M, driven by B2B mortgage origination (up 97%), while Software revenue grew 2% to $215M with platform revenue up 66%.
Profitability
GAAP net income was $237M, up 30% YoY, and non-GAAP net income was $277M, up 31%. GAAP EPS was $10.45 and non-GAAP EPS was $12.18, up 41% and 42% YoY respectively.
Margins
Non-GAAP operating margin was 62%, up 479 basis points YoY. Operating expenses were $312M vs $289M in the prior year, with an 8% increase driven by FICO World marketing and personnel costs.
Balance Sheet
Cash and marketable investments were $305M; total debt was $5.58B at a 5.64% weighted average rate. Q3 free cash flow was $370M, and a $1.5B term loan funded the accelerated share repurchase; Q4 interest expense is expected to be higher.
Key Risks
Management flagged low-single-digit mortgage volume growth, a 25% decline in non-platform software revenue, and continued delay in GSE certification for the Direct License Program. Analysts also probed VantageScore score-shopping/gaming in the conforming mortgage market.
Outlook
Management raised FY26 revenue guidance to $2.53B (up 20% YoY) and non-GAAP EPS to $42.43. Q4 operating expenses are expected to be modestly higher due to Accenture launch marketing and restructuring charges.
Generated by AI · Q3 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q3 2026 Q3 2026 2026-07-29
Q3 2026 saw 26% revenue growth and 30% higher GAAP net income, with record share repurchases and raised full-year guidance. Scores segment led with 41% growth, while Platform ARR surpassed non-platform for the first time. Mortgage market remains challenged, but strategic innovation and partnerships drive momentum.
Q2 2026 Q2 2026 2026-04-28
Q2 saw 39% revenue growth and 63% net income growth, driven by strong mortgage and platform performance. Full-year guidance was raised, with no expected volume loss to VantageScore and continued robust capital returns through record share repurchases.
Q1 2026 Q1 2026 2026-01-28
Q1 2026 saw 16% revenue growth and strong margin expansion, with robust performance in both Scores and Software segments. Five major resellers joined the Direct License Program, and platform ARR grew 33%. Guidance is reiterated amid macro uncertainty, with management confident in exceeding targets.
Q4 2025 Q4 2025 2025-11-05
Q4 and FY 2025 saw double-digit revenue and earnings growth, record free cash flow, and strong segment performance. FY 2026 guidance projects continued robust growth, with conservative assumptions due to macro uncertainty and new pricing models in the mortgage segment.
Q3 2025 Q3 2025 2025-07-30
Q3 revenue grew 20% year-over-year to $536M, with GAAP net income up 44% and record free cash flow. Score segment led growth, especially in mortgage originations, while software ARR and platform adoption also increased. Full-year guidance was raised amid ongoing innovation and robust capital returns.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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