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Why the quality investor may take a look at NYSE:FICO.

By Mill Chart

Last update: Aug 7, 2023

In this article we will dive into FAIR ISAAC CORP (NYSE:FICO) as a possible candidate for quality investing. Investors should always do their own research, but we noticed FAIR ISAAC CORP showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Looking into the quality metrics of FAIR ISAAC CORP

  • FAIR ISAAC CORP has achieved substantial revenue growth over the past 5 years, with a 8.12% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
  • FAIR ISAAC CORP demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 197.0% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
  • The Debt/Free Cash Flow Ratio of FAIR ISAAC CORP stands at 4.39, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
  • The Profit Quality (5-year) of FAIR ISAAC CORP stands at 132.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
  • With a robust 5-year EBIT growth of 24.45%, FAIR ISAAC CORP showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
  • With EBIT 5-year growth outpacing its Revenue 5-year growth, FAIR ISAAC CORP showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

A complete fundamental analysis of NYSE:FICO

ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.

We assign a fundamental rating of 6 out of 10 to FICO. FICO was compared to 289 industry peers in the Software industry. While FICO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. FICO is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes FICO very considerable for growth investing!

Check the latest full fundamental report of FICO for a complete fundamental analysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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