Fair Isaac Earnings Preview: What to Expect

With a market cap of $46.1 billion, Fair Isaac Corporation (FICO) is an applied analytics software company that enables businesses to automate, enhance, and connect decisions. Based in Bozeman, Montana, the company operates through Scores and Software segments.

The data analytics giant is expected to release its Q2 2025 earnings on Thursday, Apr. 24. Ahead of this event, analysts project FICO to report a non-GAAP profit of $6.11 per share, representing a growth of 20% from $5.09 per share in the year-ago quarter. The company has surpassed Wall Street's bottom-line estimates in one of the past four quarters while missing on three other occasions.

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For the full fiscal 2025, analysts forecast Fair Isaac to report non-GAAP EPS of $23.89, marking an impressive 34.4% increase from $17.78 in fiscal 2024. In fiscal 2026, its earnings are expected to further surge 31.5% year-over-year to $31.41 per share.

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FICO stock has soared nearly 58.5% over the past 52 weeks, significantly outperforming the S&P 500 Index’s ($SPX3.2% gain and the Technology Select Sector SPDR Fund’s (XLK5% drop during the same time frame.

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Despite reporting weaker-than-expected Q1 2025 results on Feb. 4, the shares of Fair Isaac rose 2.1% the next day. Driven by higher unit prices and increased mortgage origination volumes, FICO's Scores segment's revenues surged 22.7% year-over-year to $235.7 million. Meanwhile, its overall topline increased by an impressive 15.2% year-over-year to $440 million. However, the figure fell short of Street's expectations by a notable margin. Furthermore, its non-GAAP net income increased by a solid 18.6% year-over-year to $143.8 million but failed to meet analysts' projections.

On a more positive note, the company has maintained its full-year revenue guidance of $1.98 billion and non-GAAP EPS of $28.58.

Analysts' consensus view on FICO stock is moderately optimistic, with a "Moderate Buy" rating overall. Out of 15 analysts covering the stock, opinions include eight "Strong Buys," three "Moderate Buys," and four "Holds.” Its mean price target of $2,121.21 suggests a 12.3% upside potential from current price levels.

On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

 

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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