On July 27, 2026, Fair Isaac Corp FICO shares rose 3.5% today to a current price of $1280.57. This price movement comes amid a 52-week range of $870.01 to $1998.01, reflecting significant volatility in the stock over the past year.
- GF Valueâ„¢ verdict: Current price of $1280.57 is 40.2% below GF Valueâ„¢ of $2140.97.
- GF Scoreâ„¢ of 88/100 indicates a strong overall ranking with potential for long-term returns.
- No insider transactions have been reported in the last three months, suggesting a lack of recent insider confidence.
Is FICO Overvalued or Undervalued?
Fair Isaac Corp FICO is currently trading at $1280.57, which is significantly below its GF Value™ estimate of $2140.97, indicating that it is 40.2% undervalued. This substantial margin of safety presents a compelling opportunity for potential investors. The GF Valuation label categorizes FICO as significantly undervalued, which suggests that the stock price may not fully reflect the company’s intrinsic value based on its historical performance and future growth prospects. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.
While the undervaluation appears attractive, it is essential to consider the broader market trends and company-specific factors that may have contributed to the stock’s current price. The significant drop of 24.2% year-to-date (YTD) and a 16.4% decline over the past year raises questions about the reasons behind this underperformance, highlighting potential risks that could affect the stock's recovery.
How Does FICO's Valuation Compare to Its History?
| Metric | Current | Historical |
|---|---|---|
| P/E (TTM) | 40.6x | 51.7x |
| Forward P/E | 23.5x | N/A |
FICO's current P/E ratio of 40.6x is 22% below its 5-year median P/E of 51.7x, indicating that the stock is trading at a lower valuation compared to its historical levels. The forward P/E of 23.5x further supports this notion of undervaluation. This P/E analysis aligns with the GF Valueâ„¢ verdict, reinforcing the perception that FICO is significantly undervalued in the market.
What Does FICO's GF Scoreâ„¢ Tell Us?
| Metric | Rating |
|---|---|
| GF Scoreâ„¢ | 88/100 |
| Financial Strength | 4/10 |
| Profitability | 10/10 |
| Growth | 10/10 |
| Valuation | 4/10 |
| Momentum | 5/10 |
The GF Scoreâ„¢ of 88/100 indicates a strong overall assessment of FICO, reflecting its solid profitability and growth ranks of 10/10, which are the strongest areas for the company. However, the financial strength and valuation ranks are relatively weaker at 4/10, suggesting potential concerns in these areas. Overall, the high GF Scoreâ„¢ suggests that FICO has the potential to deliver strong long-term returns, but challenges in financial strength and valuation warrant careful consideration.
What Are Insiders Doing with FICO Stock?
In the last three months, there have been no insider transactions reported for Fair Isaac Corp FICO. This lack of activity may suggest a neutral sentiment among insiders regarding the company's future prospects. Typically, insider buying can be a bullish sign, while selling might indicate concerns. The absence of transactions leaves the current sentiment somewhat ambiguous, as there are no signals from insiders to indicate confidence or lack thereof in the stock's future performance.
What This Means for Investors
Based on the analysis, Fair Isaac Corp FICO is currently undervalued with a GF Valueâ„¢ indicating a significant upside potential from its current trading price. While the stock has experienced considerable volatility and a downturn in recent performance, the strong GF Scoreâ„¢ and favorable valuation metrics suggest that there may be a compelling opportunity for long-term investors.
For the complete analysis, visit the Fair Isaac Corp FICO stock page. You can also explore the GF Valueâ„¢ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions
What is FICO's GF Scoreâ„¢?
FICO's GF Scoreâ„¢ is 88/100, indicating a strong overall ranking based on various factors that contribute to long-term returns.
Is FICO overvalued or undervalued?
FICO is currently undervalued, with a GF Valueâ„¢ estimated at $2140.97, which is 40.2% higher than the current price of $1280.57.
What is FICO's P/E ratio?
FICO's current P/E (TTM) ratio is 40.6x, which is 22% below its 5-year median P/E of 51.7x, indicating it is trading at a lower valuation compared to historical levels.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
