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Fair Isaac Earnings Yield (Joel Greenblatt) %

: 4.36% (As of Jun. 2022)
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Fair Isaac's Enterprise Value for the quarter that ended in Jun. 2022 was $11,968 Mil. Fair Isaac's EBIT for the trailing twelve months (TTM) ended in Jun. 2022 was $522 Mil. Fair Isaac's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2022 was 4.36%.

The historical rank and industry rank for Fair Isaac's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

FICO' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 1.9   Med: 3.92   Max: 11.71
Current: 3.72

During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of Fair Isaac was 11.71%. The lowest was 1.90%. And the median was 3.92%.

FICO's Earnings Yield (Joel Greenblatt) % is ranked better than
63.4% of 2743 companies
in the Software industry
Industry Median: 1.31 vs FICO: 3.72

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Fair Isaac's Forward Rate of Return (Yacktman) % for the quarter that ended in Jun. 2022 was 22.70%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Fair Isaac Earnings Yield (Joel Greenblatt) % Historical Data

The historical data trend for Fair Isaac's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Fair Isaac Annual Data
Trend Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21
Earnings Yield (Joel Greenblatt) %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.81 2.58 2.69 2.28 4.25

Fair Isaac Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Earnings Yield (Joel Greenblatt) % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.19 4.25 4.09 4.21 4.36

Competitive Comparison

For the Software - Application subindustry, Fair Isaac's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Fair Isaac Earnings Yield (Joel Greenblatt) % Distribution

For the Software industry and Technology sector, Fair Isaac's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Fair Isaac's Earnings Yield (Joel Greenblatt) % falls into.



Fair Isaac Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

Fair Isaacs Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Sep. 2021 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=513.234/12087.46824
=4.25 %

Fair Isaac's EBIT for the trailing twelve months (TTM) ended in Jun. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $522 Mil.



Fair Isaac  (NYSE:FICO) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


Fair Isaac Earnings Yield (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of Fair Isaac's Earnings Yield (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


Fair Isaac Business Description

Fair Isaac logo
Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Fair Isaac Corp (NYSE:FICO) » Definitions » Earnings Yield (Joel Greenblatt) %
Traded in Other Exchanges
Address
5 West Mendenhall, Suite 105, Bozeman, MT, USA, 59715
Fair Isaac Corp is an applied analytics company. The firm operates in two segments: Software segment that includes pre-configured analytic and decision management solutions designed for a specific type of business need or process - such as account origination, customer management, customer engagement, fraud detection, financial crimes compliance, and marketing - as well as associated professional services. Scores segment includes business-to-business scoring solutions and services which give clients access to predictive credit and other scores.
Executives
Covert Stephanie officer: Executive Vice President 181 METRO DR. SAN JOSE CA 95110
Bowers Thomas A. officer: Executive Vice President 181 METRO DR. #600 SAN JOSE CA 95110
Arredondo Fabiola R director ONE CAMPBELL PLACE CAMDEN NJ 08103
Moldt Claus officer: Executive Vice President & CTO 181 METRO DR. #600 SAN JOSE CA 95110
Mclaughlin Michael I. officer: Executive Vice President & CFO 181 METRO DR. SUITE 600 SAN JOSE CA 95110
Manolis Eva director C/O SHUTTERFLY, INC. 2800 BRIDGE PARKWAY REDWOOD CITY CA 94065
Begor Mark W director 181 METRO DRIVE SAN JOSE CA 95110
Mcmorris Marc F director 181 METRO DRIVE SAN JOSE CA 95110
Rees Joanna director LEAPFROG ENTERPRISES, INC. 6401 HOLLIS STREET SUITE 100 EMERYVILLE CA 94608
Huyard Wayne Elliot officer: Executive Vice President 181 METRO DRIVE SAN JOSE CA 95110
Gianforte Greg R director C/O FAIR ISAAC CORPORATION 181 METRO DRIVE SAN JOSE CA 95110
Kelly Braden R director 181 METRO DRIVE SAN JOSE CA 95110
Gordon Michael J officer: Executive Vice President 181 METRO DRIVE SAN JOSE CA 95110
Wells Stuart officer: Executive Vice President 181 METRO DRIVE SAN JOSE CA 95110
Wehmann James M officer: Executive Vice President 181 METRO DRIVE SAN JOSE CA 95110

Fair Isaac Headlines

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