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Should you consider NYSE:FICO for quality investing?

By Mill Chart

Last update: Jan 9, 2024

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.

Why NYSE:FICO may be interesting for quality investors.

  • The 5-year revenue growth of FAIR ISAAC CORP has been remarkable, with 8.64% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
  • With a robust ROIC excluding cash and goodwill at 169.0%, FAIR ISAAC CORP showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
  • The Debt/Free Cash Flow Ratio of FAIR ISAAC CORP stands at 4.06, 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.
  • FAIR ISAAC CORP demonstrates consistent Profit Quality over the past 5 years, with a strong 123.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
  • The 5-year EBIT growth of FAIR ISAAC CORP has been remarkable, with 29.58% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • FAIR ISAAC CORP demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

What else is there to say on the fundamentals of NYSE:FICO?

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

We assign a fundamental rating of 6 out of 10 to FICO. FICO was compared to 279 industry peers in the Software industry. FICO scores excellent on profitability, but 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! These ratings would make FICO suitable for growth investing!

For an up to date full fundamental analysis you can check the fundamental report of FICO

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

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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