Bank of America Lowers Fair Isaac (NYSE:FICO) Price Target to $1,400.00

Key Points

• Bank of America cut its price target on Fair Isaac (FICO) from $1,550 to $1,400 while keeping a buy rating, implying about 17.5% upside from the current price.
• Other analysts have also turned more cautious, including Wall Street Zen downgrading FICO to hold and several firms lowering targets, though the broader consensus remains Moderate Buy with a $1,619.36 average target.
• FICO reported strong quarterly results, beating EPS and revenue estimates, and the company has authorized a $1.5 billion share buyback, signaling management confidence in the stock.

Fair Isaac (NYSE:FICO - Get Free Report) had its price target decreased by investment analysts at Bank of America from $1,550.00 to $1,400.00 in a report issued on Tuesday,Benzinga reports. The brokerage presently has a "buy" rating on the technology company's stock. Bank of America's price target points to a potential upside of 17.48% from the company's current price.

FICO has been the topic of several other reports. Wall Street Zen lowered Fair Isaac from a "buy" rating to a "hold" rating in a research report on Sunday. Raymond James Financial restated an "outperform" rating and set a $1,750.00 price target on shares of Fair Isaac in a research report on Wednesday, April 29th. Barclays decreased their price target on Fair Isaac from $2,400.00 to $1,950.00 and set an "overweight" rating on the stock in a research report on Friday, April 10th. Wells Fargo & Company decreased their price target on Fair Isaac from $1,650.00 to $1,400.00 and set an "overweight" rating on the stock in a research report on Thursday, April 30th. Finally, Jefferies Financial Group decreased their price target on Fair Isaac from $1,800.00 to $1,700.00 and set a "buy" rating on the stock in a research report on Monday, May 4th. Ten equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $1,619.36.

Fair Isaac Stock Performance

Shares of NYSE FICO traded up $9.91 during mid-day trading on Tuesday, reaching $1,191.73. The company had a trading volume of 298,826 shares, compared to its average volume of 357,018. The company has a market capitalization of $27.64 billion, a price-to-earnings ratio of 37.73, a PEG ratio of 0.97 and a beta of 1.24. The stock has a fifty day moving average of $1,089.37 and a two-hundred day moving average of $1,424.37. Fair Isaac has a 12-month low of $870.01 and a 12-month high of $2,199.92.

Fair Isaac (NYSE:FICO - Get Free Report) last released its quarterly earnings results on Tuesday, April 28th. The technology company reported $12.50 EPS for the quarter, beating analysts' consensus estimates of $11.03 by $1.47. Fair Isaac had a net margin of 33.67% and a negative return on equity of 41.04%. The company had revenue of $691.68 million for the quarter, compared to analyst estimates of $630.21 million. During the same quarter last year, the firm posted $7.81 earnings per share. The company's quarterly revenue was up 38.7% compared to the same quarter last year. Fair Isaac has set its FY 2026 guidance at 40.450-40.450 EPS. Sell-side analysts forecast that Fair Isaac will post 37.99 earnings per share for the current fiscal year.

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

Insider Buying and Selling at Fair Isaac

In other news, Director Eva Manolis sold 520 shares of the firm's stock in a transaction dated Wednesday, February 25th. The stock was sold at an average price of $1,227.63, for a total value of $638,367.60. Following the completion of the transaction, the director owned 344 shares in the company, valued at $422,304.72. This trade represents a 60.19% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 3.02% of the stock is owned by insiders.

Hedge Funds Weigh In On Fair Isaac

Hedge funds have recently modified their holdings of the stock. Bayban acquired a new stake in shares of Fair Isaac in the fourth quarter valued at approximately $25,000. Physician Wealth Advisors Inc. raised its position 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 buying an additional 10 shares in the last quarter. Root Financial Partners LLC acquired a new stake in shares of Fair Isaac in the third quarter valued at approximately $30,000. Cornerstone Planning Group LLC raised its position in shares of Fair Isaac by 280.0% in the third 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 in the last quarter. Finally, Torren Management LLC acquired a new stake in shares of Fair Isaac in the fourth quarter valued at approximately $30,000. Institutional investors own 85.75% of the company's stock.

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.

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