FAIR ISAAC CORP (FICO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FICO - US3032501047 - Common Stock
1748.43 USD
-12.98 (-0.74%)
1748.43 USD
0 (0%)
Taking everything into account, FICO scores 6 out of 10 in our fundamental rating. FICO was compared to 281 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 valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year FICO was profitable.
In the past year FICO had a positive cash flow from operations.
FICO had positive earnings in each of the past 5 years.
Each year in the past 5 years FICO had a positive operating cash flow.
1.2 Ratios
FICO's Return On Assets of 34.90% is amongst the best of the industry. FICO outperforms 98.57% of its industry peers.
FICO has a better Return On Invested Capital (73.98%) than 100.00% of its industry peers.
FICO had an Average Return On Invested Capital over the past 3 years of 53.64%. This is significantly above the industry average of 10.73%.
The 3 year average ROIC (53.64%) for FICO is below the current ROIC(73.98%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 34.9% | ||
| ROE | N/A | ||
| ROIC | 73.98% |
ROA(3y)30.67%
ROA(5y)28.58%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)53.64%
ROIC(5y)46.65%
1.3 Margins
FICO has a Profit Margin of 32.75%. This is amongst the best in the industry. FICO outperforms 92.14% of its industry peers.
In the last couple of years the Profit Margin of FICO has grown nicely.
With an excellent Operating Margin value of 47.00%, FICO belongs to the best of the industry, outperforming 97.14% of the companies in the same industry.
FICO's Operating Margin has improved in the last couple of years.
FICO's Gross Margin of 82.23% is amongst the best of the industry. FICO outperforms 87.86% of its industry peers.
In the last couple of years the Gross Margin of FICO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47% | ||
| PM (TTM) | 32.75% | ||
| GM | 82.23% |
OM growth 3Y6.07%
OM growth 5Y12.28%
PM growth 3Y6.48%
PM growth 5Y12.39%
GM growth 3Y1.75%
GM growth 5Y2.67%
2. Health
2.1 Basic Checks
FICO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, FICO has less shares outstanding
Compared to 5 years ago, FICO has less shares outstanding
FICO has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 12.97 indicates that FICO is not in any danger for bankruptcy at the moment.
FICO's Altman-Z score of 12.97 is amongst the best of the industry. FICO outperforms 92.14% of its industry peers.
FICO has a debt to FCF ratio of 4.14. This is a neutral value as FICO would need 4.14 years to pay back of all of its debts.
The Debt to FCF ratio of FICO (4.14) is better than 61.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.14 | ||
| Altman-Z | 12.97 |
ROIC/WACC6.88
WACC10.75%
2.3 Liquidity
A Current Ratio of 0.83 indicates that FICO may have some problems paying its short term obligations.
FICO has a worse Current ratio (0.83) than 82.86% of its industry peers.
A Quick Ratio of 0.83 indicates that FICO may have some problems paying its short term obligations.
FICO's Quick ratio of 0.83 is on the low side compared to the rest of the industry. FICO is outperformed by 82.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
FICO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.99%, which is quite impressive.
Measured over the past years, FICO shows a very strong growth in Earnings Per Share. The EPS has been growing by 25.08% on average per year.
FICO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.91%.
The Revenue has been growing by 8.99% on average over the past years. This is quite good.
EPS 1Y (TTM)25.99%
EPS 3Y20.14%
EPS 5Y25.08%
EPS Q2Q%18.35%
Revenue 1Y (TTM)15.91%
Revenue growth 3Y13.07%
Revenue growth 5Y8.99%
Sales Q2Q%13.65%
3.2 Future
FICO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.50% yearly.
The Revenue is expected to grow by 14.69% on average over the next years. This is quite good.
EPS Next Y38.72%
EPS Next 2Y33.23%
EPS Next 3Y28.66%
EPS Next 5Y22.5%
Revenue Next Year22.49%
Revenue Next 2Y19.99%
Revenue Next 3Y17.66%
Revenue Next 5Y14.69%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 58.46, FICO can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of FICO is on the same level as its industry peers.
FICO's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.38.
The Price/Forward Earnings ratio is 42.14, which means the current valuation is very expensive for FICO.
FICO's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of FICO to the average of the S&P500 Index (23.83), we can say FICO is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.46 | ||
| Fwd PE | 42.14 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FICO indicates a somewhat cheap valuation: FICO is cheaper than 62.50% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as FICO.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 56.07 | ||
| EV/EBITDA | 47.01 |
4.3 Compensation for Growth
FICO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of FICO may justify a higher PE ratio.
A more expensive valuation may be justified as FICO's earnings are expected to grow with 28.66% in the coming years.
PEG (NY)1.51
PEG (5Y)2.33
EPS Next 2Y33.23%
EPS Next 3Y28.66%
5. Dividend
5.1 Amount
No dividends for FICO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
1748.43
-12.98 (-0.74%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners91.13%
Inst Owner Change2.33%
Ins Owners2.4%
Ins Owner Change1.46%
Market Cap41.46B
Revenue(TTM)1.99B
Net Income(TTM)651.95M
Analysts77.86
Price Target2061.14 (17.89%)
Short Float %4.48%
Short Ratio4.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.24%
Min EPS beat(2)3.35%
Max EPS beat(2)9.13%
EPS beat(4)3
Avg EPS beat(4)2.24%
Min EPS beat(4)-6.46%
Max EPS beat(4)9.13%
EPS beat(8)5
Avg EPS beat(8)0.38%
EPS beat(12)6
Avg EPS beat(12)-0.32%
EPS beat(16)10
Avg EPS beat(16)2.61%
Revenue beat(2)1
Avg Revenue beat(2)0.29%
Min Revenue beat(2)-1.51%
Max Revenue beat(2)2.08%
Revenue beat(4)1
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-4.62%
Max Revenue beat(4)2.08%
Revenue beat(8)1
Avg Revenue beat(8)-1.57%
Revenue beat(12)2
Avg Revenue beat(12)-1.16%
Revenue beat(16)3
Avg Revenue beat(16)-0.91%
PT rev (1m)0.85%
PT rev (3m)7.37%
EPS NQ rev (1m)0.27%
EPS NQ rev (3m)-0.23%
EPS NY rev (1m)5.99%
EPS NY rev (3m)14.36%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-0.57%
Revenue NY rev (1m)3.28%
Revenue NY rev (3m)7.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.46 | ||
| Fwd PE | 42.14 | ||
| P/S | 20.82 | ||
| P/FCF | 56.07 | ||
| P/OCF | 53.23 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 47.01 |
EPS(TTM)29.91
EY1.71%
EPS(NY)41.49
Fwd EY2.37%
FCF(TTM)31.19
FCFY1.78%
OCF(TTM)32.85
OCFY1.88%
SpS83.97
BVpS-73.63
TBVpS-106.67
PEG (NY)1.51
PEG (5Y)2.33
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 34.9% | ||
| ROE | N/A | ||
| ROCE | 91.84% | ||
| ROIC | 73.98% | ||
| ROICexc | 85.19% | ||
| ROICexgc | 743.07% | ||
| OM | 47% | ||
| PM (TTM) | 32.75% | ||
| GM | 82.23% | ||
| FCFM | 37.14% |
ROA(3y)30.67%
ROA(5y)28.58%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)53.64%
ROIC(5y)46.65%
ROICexc(3y)61.06%
ROICexc(5y)53.77%
ROICexgc(3y)354.45%
ROICexgc(5y)571.57%
ROCE(3y)66.59%
ROCE(5y)57.92%
ROICexgc growth 3Y53.89%
ROICexgc growth 5Y41.9%
ROICexc growth 3Y23.98%
ROICexc growth 5Y26.25%
OM growth 3Y6.07%
OM growth 5Y12.28%
PM growth 3Y6.48%
PM growth 5Y12.39%
GM growth 3Y1.75%
GM growth 5Y2.67%
F-Score7
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.14 | ||
| Debt/EBITDA | 2.8 | ||
| Cap/Depr | 263.56% | ||
| Cap/Sales | 1.98% | ||
| Interest Coverage | 9.04 | ||
| Cash Conversion | 81.92% | ||
| Profit Quality | 113.41% | ||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 12.97 |
F-Score7
WACC10.75%
ROIC/WACC6.88
Cap/Depr(3y)173.05%
Cap/Depr(5y)115.64%
Cap/Sales(3y)1.38%
Cap/Sales(5y)1.03%
Profit Quality(3y)112.89%
Profit Quality(5y)115.92%
High Growth Momentum
Growth
EPS 1Y (TTM)25.99%
EPS 3Y20.14%
EPS 5Y25.08%
EPS Q2Q%18.35%
EPS Next Y38.72%
EPS Next 2Y33.23%
EPS Next 3Y28.66%
EPS Next 5Y22.5%
Revenue 1Y (TTM)15.91%
Revenue growth 3Y13.07%
Revenue growth 5Y8.99%
Sales Q2Q%13.65%
Revenue Next Year22.49%
Revenue Next 2Y19.99%
Revenue Next 3Y17.66%
Revenue Next 5Y14.69%
EBIT growth 1Y27.55%
EBIT growth 3Y19.94%
EBIT growth 5Y22.37%
EBIT Next Year32.76%
EBIT Next 3Y24.44%
EBIT Next 5Y19.58%
FCF growth 1Y21.73%
FCF growth 3Y13.67%
FCF growth 5Y16.61%
OCF growth 1Y23.04%
OCF growth 3Y15.2%
OCF growth 5Y16.37%
FAIR ISAAC CORP / FICO FAQ
What is the ChartMill fundamental rating of FAIR ISAAC CORP (FICO) stock?
ChartMill assigns a fundamental rating of 6 / 10 to FICO.
What is the valuation status for FICO stock?
ChartMill assigns a valuation rating of 3 / 10 to FAIR ISAAC CORP (FICO). This can be considered as Overvalued.
Can you provide the profitability details for FAIR ISAAC CORP?
FAIR ISAAC CORP (FICO) has a profitability rating of 9 / 10.
Can you provide the expected EPS growth for FICO stock?
The Earnings per Share (EPS) of FAIR ISAAC CORP (FICO) is expected to grow by 38.72% in the next year.
Can you provide the dividend sustainability for FICO stock?
The dividend rating of FAIR ISAAC CORP (FICO) is 0 / 10 and the dividend payout ratio is 0%.