Fair Isaac (NYSE:FICO) Trading Down 4.7% After Insider Selling

Key Points

• Fair Isaac Corporation's shares fell 4.7% after CEO William J. Lansing sold 6,011 shares, representing a 12.48% decrease in his holdings, which totaled over $9 million.
• Various research firms have adjusted their price targets for Fair Isaac, with Wells Fargo reducing it from $2,600 to $2,300, while Oppenheimer cut theirs from $2,300 to $1,953.
• The company reported an EPS of $8.57 for the last quarter, exceeding analyst expectations, and plans to repurchase up to $1 billion of its outstanding shares, indicating confidence in its stock value.

Fair Isaac Corporation (NYSE:FICO - Get Free Report) shares fell 4.7% during mid-day trading on Friday after an insider sold shares in the company. The stock traded as low as $1,533.93 and last traded at $1,521.24. 33,519 shares were traded during trading, a decline of 88% from the average session volume of 273,185 shares. The stock had previously closed at $1,596.56.

Specifically, CEO William J. Lansing sold 6,011 shares of the stock in a transaction that occurred on Tuesday, September 9th. The shares were sold at an average price of $1,537.50, for a total transaction of $9,241,912.50. Following the completion of the transaction, the chief executive officer owned 42,138 shares of the company's stock, valued at approximately $64,787,175. This trade represents a 12.48% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink.

Analyst Ratings Changes

A number of research firms have commented on FICO. Wells Fargo & Company decreased their price target on Fair Isaac from $2,600.00 to $2,300.00 and set an "overweight" rating on the stock in a research note on Wednesday, July 9th. Oppenheimer cut their price objective on Fair Isaac from $2,300.00 to $1,953.00 and set an "outperform" rating on the stock in a report on Thursday, July 31st. UBS Group raised their target price on Fair Isaac from $1,540.00 to $1,590.00 and gave the company a "neutral" rating in a report on Monday. Jefferies Financial Group reaffirmed a "buy" rating on shares of Fair Isaac in a research report on Thursday, July 17th. Finally, Barclays reduced their price target on shares of Fair Isaac from $2,250.00 to $2,000.00 and set an "overweight" rating on the stock in a research report on Wednesday, July 9th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $2,098.14.

Fair Isaac Stock Down 4.5%

The company's fifty day moving average is $1,483.99 and its two-hundred day moving average is $1,730.80. The stock has a market cap of $36.59 billion, a price-to-earnings ratio of 59.53, a PEG ratio of 2.98 and a beta of 1.35.

Fair Isaac (NYSE:FICO - Get Free Report) last posted its quarterly earnings results on Wednesday, July 30th. The technology company reported $8.57 EPS for the quarter, topping the consensus estimate of $7.75 by $0.82. Fair Isaac had a net margin of 32.80% and a negative return on equity of 48.88%. The company had revenue of $536.42 million during the quarter, compared to analysts' expectations of $520.40 million. During the same quarter in the previous year, the business posted $6.25 EPS. The firm's revenue was up 19.8% on a year-over-year basis. Fair Isaac has set its FY 2025 guidance at 29.150-29.150 EPS. Sell-side analysts predict that Fair Isaac Corporation will post 24.15 EPS for the current fiscal year.

Fair Isaac declared that its board has approved a share repurchase plan on Thursday, June 19th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the technology company to reacquire up to 2.3% of its stock through open market purchases. Stock repurchase plans are often an indication that the company's board believes its stock is undervalued.

Institutional Investors Weigh In On Fair Isaac

Institutional investors have recently added to or reduced their stakes in the business. Westside Investment Management Inc. purchased a new position in Fair Isaac in the second quarter valued at approximately $26,000. Geo Capital Gestora de Recursos Ltd acquired a new position in shares of Fair Isaac in the 1st quarter valued at $28,000. ORG Partners LLC purchased a new position in shares of Fair Isaac in the 2nd quarter valued at $27,000. Hilltop National Bank purchased a new position in shares of Fair Isaac in the 2nd quarter valued at $27,000. Finally, N.E.W. Advisory Services LLC acquired a new stake in Fair Isaac during the 1st quarter worth $30,000. Hedge funds and other institutional investors own 85.75% of the company's stock.

Fair Isaac Company Profile

Fair Isaac Corporation develops analytic, software, and digital decisioning technologies and services that enable businesses to automate, enhance, and connect decisions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates in two segments, Scores and Software. The Software segment provides pre-configured analytic and decision management solution designed for various business needs or processes, such as account origination, customer management, customer engagement, fraud detection, financial crimes compliance, and marketing, as well as associated professional services.

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