King Luther Capital Management Corp Takes $7.65 Million Position in Fair Isaac Corporation (NYSE:FICO)

Key Points

• King Luther Capital Management Corp has invested approximately $7.65 million in Fair Isaac Corporation, acquiring 4,146 shares during the first quarter.
• The consensus rating for Fair Isaac's stock is "Buy," with a consensus target price set at $2,163.14, as ten analysts have given it a buy rating.
• Fair Isaac recently announced a $1 billion stock repurchase program, indicating that its board believes the stock is currently undervalued.

King Luther Capital Management Corp acquired a new position in shares of Fair Isaac Corporation (NYSE:FICO - Free Report) during the 1st quarter, according to its most recent 13F filing with the SEC. The fund acquired 4,146 shares of the technology company's stock, valued at approximately $7,646,000.

Several other hedge funds and other institutional investors also recently bought and sold shares of the business. N.E.W. Advisory Services LLC acquired a new position in Fair Isaac during the 1st quarter valued at approximately $30,000. Meeder Asset Management Inc. boosted its position in Fair Isaac by 41.7% during the 1st 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 during the period. Mechanics Financial Corp acquired a new position in Fair Isaac during the 1st quarter valued at approximately $46,000. Colonial Trust Co SC boosted its position in Fair Isaac by 71.4% during the 4th 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 during the period. Finally, Hollencrest Capital Management boosted its position in Fair Isaac by 766.7% during the 1st quarter. Hollencrest Capital Management now owns 26 shares of the technology company's stock valued at $48,000 after purchasing an additional 23 shares during the period. 85.75% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In related news, CFO Steven P. Weber sold 1,000 shares of Fair Isaac stock in a transaction on Monday, June 9th. The stock was sold at an average price of $1,738.25, for a total value of $1,738,250.00. Following the transaction, the chief financial officer directly owned 1,862 shares in the company, valued at $3,236,621.50. The trade was a 34.94% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO William J. Lansing sold 6,010 shares of Fair Isaac stock in a transaction on Tuesday, June 10th. The stock was sold at an average price of $1,767.82, for a total value of $10,624,598.20. Following the completion of the transaction, the chief executive officer owned 42,138 shares in the company, valued at $74,492,399.16. The trade was a 12.48% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 13,021 shares of company stock worth $22,247,892 over the last 90 days. Insiders own 3.46% of the company's stock.

Fair Isaac Price Performance

Shares of FICO traded up $8.76 during midday trading on Tuesday, reaching $1,320.02. The stock had a trading volume of 191,450 shares, compared to its average volume of 360,923. The company has a market capitalization of $31.68 billion, a P/E ratio of 51.62, a P/E/G ratio of 2.55 and a beta of 1.28. The firm's 50 day moving average price is $1,640.95 and its 200-day moving average price is $1,784.82. Fair Isaac Corporation has a 52 week low of $1,301.01 and a 52 week high of $2,402.51.

Fair Isaac (NYSE:FICO - Get Free Report) last issued its earnings results on Wednesday, July 30th. The technology company reported $8.57 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $7.75 by $0.82. The business had revenue of $536.42 million for the quarter, compared to analysts' expectations of $520.40 million. Fair Isaac had a negative return on equity of 48.88% and a net margin of 32.80%. The company's quarterly revenue was up 19.8% on a year-over-year basis. During the same period in the previous year, the firm posted $6.25 EPS. On average, equities analysts forecast that Fair Isaac Corporation will post 24.15 earnings per share for the current year.

Fair Isaac declared that its Board of Directors has authorized a share repurchase plan on Thursday, June 19th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the technology company to buy up to 2.3% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on FICO. Needham & Company LLC reduced their price objective on Fair Isaac from $2,575.00 to $1,950.00 and set a "buy" rating for the company in a research report on Wednesday, July 16th. Wells Fargo & Company cut their target price 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. BMO Capital Markets raised Fair Isaac to a "strong-buy" rating in a research note on Thursday, July 10th. Jefferies Financial Group reaffirmed a "buy" rating on shares of Fair Isaac in a research note on Thursday, July 17th. Finally, Raymond James Financial cut their target price on Fair Isaac from $2,230.00 to $1,800.00 and set an "outperform" rating on the stock in a research note on Thursday, July 31st. Two equities 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 company's stock. According to data from MarketBeat.com, the stock has an average rating of "Buy" and a consensus price target of $2,163.14.

Fair Isaac 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.