Fair IsaacFRA:FRI 87 Net Margin % is 38.23% as of Mar. 2026, which is 68% above its 10-year median of 22.69. GuruFocus rates FRA:FRI with a GF Score™ of 87/100 and a GF Value™ of €1,777.34 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,827 Software companies, Fair Isaac ranks better than 96.22% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Fair Isaac's Net Income for the
three
months ended in Mar. 2026 was €229 Mil. Fair Isaac's Revenue for the
three
months ended in Mar. 2026 was €598 Mil. Therefore, Fair Isaac's net margin for the quarter that ended in Mar. 2026 was 38.23%.
The historical rank and industry rank for Fair Isaac's Net Margin % or its related term are showing as below:
FRA:FRI'
s Net Margin % Range Over the Past 10 Years
Min: 12.42 Med: 22.69 Max: 33.68
Current: 33.68
FRA:FRI's Net Margin % is ranked better than 96.22% of 2827
companies
in the Software industry
Industry Median: 2.54
vs FRA:FRI: 33.68
Fair Isaac (FRA:FRI) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Fair Isaac Net Margin % Related Terms
Fair Isaac Net Margin % Historical Data
* Premium members only.
The historical data trend for Fair Isaac's Net Margin % 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.
For the Software - Application subindustry, Fair Isaac's Net Margin %, along with its competitors' market caps and Net Margin % 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 Net Margin % vs Software Industry
For the Software industry and Technology sector, Fair Isaac's Net Margin % distribution charts can be found below:
* The bar in red indicates where Fair Isaac's Net Margin % falls into.
* 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.
Fair Isaac (FRA:FRI) has a Net Margin % of 38.23% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Fair Isaac and its competitors. This is 68% above median its historical median of 22.69. Over the past decade, Fair Isaac's Net Margin % has ranged from 12.42 to 33.68. According to the industry distribution chart, Fair Isaac ranks #107 out of 2827 companies in the Software industry, placing it in the top 3.8%.
Is Fair Isaac's Net Margin % too high?
Fair Isaac's current Net Margin % of 38.23% is 68% above median its 10-year median of 22.69. Over the past 10 years, this metric has ranged from a low of 12.42 to a high of 33.68. The Software industry median Net Margin % is 2.54. Fair Isaac's value of 38.23% is 1405.1% above this industry median. Based on the distribution chart, Fair Isaac ranks #107 out of 2827 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Fair Isaac has a GF Score™ of 87/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Fair Isaac's Net Margin % compare to ZM and TEAM?
According to the Software industry distribution chart, Fair Isaac ranks #107 out of 2827 companies for Net Margin %. This places Fair Isaac in the top 4% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.54. Fair Isaac's value of 38.23% is 1405.1% above this benchmark. Historically, Fair Isaac's own Net Margin % has ranged from 12.42 to 33.68 over the past decade. While the company's 10-year median is 22.69 vs. the industry median of 2.54, Fair Isaac has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Software company?
The median Net Margin % among Software companies is 2.54, based on 2,827 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Fair Isaac's current Net Margin % of 38.23% is 1405.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Fair Isaac and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fair Isaac's current Net Margin % is 38.23%, which is 68% above median its own 10-year median of 22.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fair Isaac stock overvalued right now?
Based on GuruFocus' analysis, Fair Isaac (FRA:FRI) is currently considered Significantly Undervalued. The stock's GF Value™ is €1,777.34, compared to a current price of €1,012.00 — trading 43.1% below its estimated fair value. The current Net Margin % is 38.23%, which is 68% above median its 10-year median of 22.69 and 1405.1% above the Software industry median of 2.54. Fair Isaac's overall GF Score™ is 87/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Fair Isaac (FRA:FRI), the current Net Margin % is 38.23% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Fair Isaac (FRA:FRI) Overvalued in 2026?
Based on GuruFocus' analysis, Fair Isaac stock appears to be undervalued.
The current stock price of €1,012.00 is trading 43.1% below its estimated GF Value™ of €1,777.34.
GuruFocus considers Fair Isaac to be Significantly Undervalued.
Key valuation signals for FRA:FRI:
Net Margin %: 38.23% (68% above median its 10-year median of 22.69)
GF Value™: €1,777.34 vs. price of €1,012.00 (43.1% below fair value)
Industry Position: 1405.1% above the Software median (#107 of 2827)
No single metric tells the full story. See the FRA:FRI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1956, Fair Isaac Corporation is a leading applied analytics company. Fair Isaac is primarily known for its FICO credit scores, which is a widely used industry benchmark to determine the creditworthiness of an individual consumer. The firm's US-centric credit scores business accounts for most of the firm's revenue and profits and consists of business-to-business and business-to-consumer services. In addition to scores, Fair Isaac also sells software primarily to financial institutions for areas such as analytics, decision-making, customer workflows, and fraud.
87GF Score
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