Royal Bank of Canada Sells 54,573 Shares of Fair Isaac Corporation $FICO

Key Points

• Royal Bank of Canada cut its Fair Isaac stake by 44.2% in the first quarter, selling 54,573 shares and retaining 68,788 shares valued at approximately $73.4 million. Institutional investors collectively own 85.75% of FICO.
• Fair Isaac reported a quarterly EPS beat of $12.18 and 25.7% year-over-year revenue growth to $674.2 million, while raising fiscal 2026 EPS guidance to $42.43. Growth was led by strong demand for FICO Scores, although revenue came in below expectations.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $1,600.93, but softer mortgage activity and slower software growth have created near-term pressure on the stock.

Royal Bank of Canada decreased its holdings in shares of Fair Isaac Corporation (NYSE:FICO - Free Report) by 44.2% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 68,788 shares of the technology company's stock after selling 54,573 shares during the quarter. Royal Bank of Canada owned about 0.30% of Fair Isaac worth $73,434,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also modified their holdings of the business. Bayban bought a new position in Fair Isaac in the fourth quarter valued at approximately $25,000. Physician Wealth Advisors Inc. grew its holdings in Fair Isaac by 166.7% during the 4th quarter. Physician Wealth Advisors Inc. now owns 16 shares of the technology company's stock worth $27,000 after acquiring an additional 10 shares during the period. Torren Management LLC bought a new stake in shares of Fair Isaac during the 4th quarter valued at $30,000. Elyxium Wealth LLC bought a new stake in shares of Fair Isaac during the 4th quarter valued at $42,000. Finally, Rakuten Securities Inc. lifted its stake in shares of Fair Isaac by 100.0% in the 2nd quarter. Rakuten Securities Inc. now owns 24 shares of the technology company's stock valued at $44,000 after purchasing an additional 12 shares during the period. 85.75% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several research analysts have recently issued reports on FICO shares. Weiss Ratings lowered Fair Isaac from a "hold (c)" rating to a "hold (c-)" rating in a research report on Thursday. Bank of America dropped their price objective on Fair Isaac from $1,550.00 to $1,400.00 and set a "buy" rating for the company in a report on Tuesday, May 19th. Jefferies Financial Group cut their target price on Fair Isaac from $1,800.00 to $1,700.00 and set a "buy" rating on the stock in a research note on Monday, May 4th. Mizuho started coverage on Fair Isaac in a report on Thursday, April 16th. They set an "outperform" rating and a $1,416.00 target price on the stock. Finally, Robert W. Baird set a $1,549.00 target price on Fair Isaac in a research report on Wednesday, April 29th. Twelve analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, Fair Isaac presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,600.93.

Fair Isaac News Summary

Here are the key news stories impacting Fair Isaac this week:

• Positive Sentiment: FICO beat earnings expectations and raised its outlook. Fiscal third-quarter EPS was $12.18, above the roughly $11.76–$12.02 consensus range, while revenue increased 25.7% year over year to $674.2 million. The company raised fiscal 2026 EPS guidance to $42.43, slightly ahead of the $42.06 consensus, with revenue guidance of approximately $2.5 billion. Fair Isaac Raises Guidance As FICO Score Business Drives Growth
• Positive Sentiment: The Scores business remained the key growth engine. Demand for FICO Scores drove revenue growth, operating leverage and margin expansion. Operating profit rose 38.1% year over year to $362.6 million, and operating cash flow increased 32.9% to $380.4 million. Fair Isaac Q3 Earnings Beat Estimates on Scores, Revenues Up Year Over Year
• Positive Sentiment: Analysts remained constructive. Wolfe Research maintained a Buy rating with a $1,450 price target, citing earnings strength, margin expansion and growing platform annual recurring revenue. Needham also reaffirmed its Buy rating with a $1,650 target. Analyst Maintains Buy on FICO
• Neutral Sentiment: Performance was mixed across business lines. Revenue fell short of analyst expectations near $679 million to $692 million, depending on the estimate cited. Strong Scores demand and profitability were partly offset by softer software growth.
• Negative Sentiment: Near-term mortgage headwinds and downside guidance details pressured the stock. Investors appear concerned that weaker mortgage activity and slower software momentum could limit growth, making the revenue miss more important than the EPS beat. The sharp reaction marked the stock’s weakest performance in several years. FICO Stock Drops the Most in 6 Years

Insider Buying and Selling at Fair Isaac

In related news, Director Eva Manolis sold 967 shares of the business's stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $1,400.00, for a total value of $1,353,800.00. Following the completion of the transaction, the director directly owned 498 shares in the company, valued at approximately $697,200. The trade was a 66.01% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 3.02% of the stock is owned by company insiders.

Fair Isaac Stock Performance

FICO opened at $1,124.66 on Friday. Fair Isaac Corporation has a twelve month low of $870.01 and a twelve month high of $1,998.01. The firm has a market cap of $24.29 billion, a PE ratio of 32.49, a price-to-earnings-growth ratio of 1.00 and a beta of 1.29. The firm's fifty day moving average is $1,216.52 and its two-hundred day moving average is $1,233.28.

Fair Isaac (NYSE:FICO - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The technology company reported $12.18 EPS for the quarter, beating analysts' consensus estimates of $11.76 by $0.42. The business had revenue of $674.19 million during the quarter, compared to analysts' expectations of $679.17 million. Fair Isaac had a net margin of 34.05% and a negative return on equity of 32.51%. The firm's quarterly revenue was up 25.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $8.57 EPS. Fair Isaac has set its FY 2026 guidance at 42.430-42.430 EPS. Equities analysts forecast that Fair Isaac Corporation will post 38 EPS for the current fiscal year.

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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