Charles Schwab Investment Management Inc. Acquires 8,312 Shares of Fair Isaac Corporation (NYSE:FICO)

Key Points

• Charles Schwab Investment Management Inc. increased its shares in Fair Isaac Corporation by 5.0% during the first quarter, owning a total of 174,089 shares valued at approximately $321 million.
• Fair Isaac's recent quarterly earnings beat analyst expectations, reporting $8.57 EPS and $536.42 million in revenue, reflecting a 19.8% increase compared to the previous year.
• The company has initiated a $1 billion share repurchase program, indicating that its board believes the stock is undervalued.

Charles Schwab Investment Management Inc. increased its holdings in shares of Fair Isaac Corporation (NYSE:FICO - Free Report) by 5.0% in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 174,089 shares of the technology company's stock after buying an additional 8,312 shares during the period. Charles Schwab Investment Management Inc. owned 0.72% of Fair Isaac worth $321,048,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also modified their holdings of FICO. N.E.W. Advisory Services LLC bought a new stake in Fair Isaac in the first quarter valued at approximately $30,000. Meeder Asset Management Inc. increased its stake in Fair Isaac by 41.7% in the first quarter. Meeder Asset Management Inc. now owns 17 shares of the technology company's stock valued at $31,000 after purchasing an additional 5 shares in the last quarter. Mechanics Financial Corp bought a new stake in Fair Isaac in the first quarter valued at approximately $46,000. Colonial Trust Co SC increased its stake in Fair Isaac by 71.4% in the fourth quarter. Colonial Trust Co SC now owns 24 shares of the technology company's stock valued at $48,000 after purchasing an additional 10 shares in the last quarter. Finally, Hollencrest Capital Management increased its stake in Fair Isaac by 766.7% in the first quarter. Hollencrest Capital Management now owns 26 shares of the technology company's stock valued at $48,000 after purchasing an additional 23 shares in the last quarter. 85.75% of the stock is owned by institutional investors.

Fair Isaac Trading Down 1.1%

Shares of FICO opened at $1,319.28 on Friday. Fair Isaac Corporation has a 12 month low of $1,313.69 and a 12 month high of $2,402.51. The firm has a fifty day simple moving average of $1,658.17 and a 200 day simple moving average of $1,792.59. The stock has a market capitalization of $31.66 billion, a price-to-earnings ratio of 51.59, a PEG ratio of 2.60 and a beta of 1.28.

Fair Isaac (NYSE:FICO - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The technology company reported $8.57 EPS for the quarter, beating analysts' consensus estimates of $7.75 by $0.82. The firm had revenue of $536.42 million during the quarter, compared to analysts' expectations of $520.40 million. Fair Isaac had a net margin of 32.80% and a negative return on equity of 48.88%. The company's revenue for the quarter was up 19.8% compared to the same quarter last year. During the same quarter last year, the company posted $6.25 earnings per share. As a group, research analysts predict that Fair Isaac Corporation will post 24.15 earnings per share for the current fiscal year.

Fair Isaac announced that its board has initiated a share repurchase program on Thursday, June 19th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the technology company to reacquire up to 2.3% of its stock through open market purchases. Stock buyback programs are often an indication that the company's board believes its stock is undervalued.

Analyst Upgrades and Downgrades

FICO has been the subject of several research analyst reports. Jefferies Financial Group reiterated a "buy" rating on shares of Fair Isaac in a report on Thursday, July 17th. Oppenheimer reduced their price target on shares of Fair Isaac from $2,300.00 to $1,953.00 and set an "outperform" rating for the company in a report on Thursday, July 31st. Needham & Company LLC reduced their price target on shares of Fair Isaac from $2,575.00 to $1,950.00 and set a "buy" rating for the company in a report on Wednesday, July 16th. Barclays reduced their price target on shares of Fair Isaac from $2,250.00 to $2,000.00 and set an "overweight" rating for the company in a report on Wednesday, July 9th. Finally, BMO Capital Markets upgraded shares of Fair Isaac to a "strong-buy" rating in a report on Thursday, July 10th. Two research analysts have rated the stock with a hold rating, ten have issued a buy rating and two have given a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Buy" and a consensus price target of $2,163.14.

Insiders Place Their Bets

In other Fair Isaac news, CFO Steven P. Weber sold 1,000 shares of the stock in a transaction on Monday, June 9th. The shares were sold at an average price of $1,738.25, for a total value of $1,738,250.00. Following the completion of the sale, the chief financial officer owned 1,862 shares in the company, valued at $3,236,621.50. This trade represents a 34.94% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO William J. Lansing sold 3,811 shares of the stock in a transaction on Tuesday, July 8th. The shares were sold at an average price of $1,565.99, for a total transaction of $5,967,987.89. Following the completion of the sale, the chief executive officer owned 44,338 shares of the company's stock, valued at approximately $69,432,864.62. This represents a 7.92% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 19,032 shares of company stock valued at $35,172,583. Corporate insiders own 3.46% of the company's stock.

About Fair Isaac

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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