FICO Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
Fair Isaac Corp (FICO) is a good buy for a beginner investor with a long-term strategy and $50,000-$100,000 to invest. The company has strong financial performance, positive analyst ratings with high price targets, and a solid growth outlook. Despite some short-term technical weakness, the long-term fundamentals and positive catalysts outweigh the negatives.
The technical indicators show bearish trends with the MACD histogram at -5.14 and negatively contracting, RSI at 27.776 in the neutral zone, and bearish moving averages (SMA_200 > SMA_20 > SMA_5). The stock is trading below key pivot levels, with support at 1303.691 and resistance at 1392.189. This indicates short-term weakness but does not negate the long-term potential.
Strong Q1 financial performance with revenue up 16.36% YoY, net income up 3.83% YoY, and EPS up 7.65% YoY.
Positive analyst ratings with multiple firms reiterating Buy ratings and high price targets ranging from $1,777 to $2,
Continued market leadership and adoption of FICO 10T, along with pricing power driving growth.
Broader adoption of the FICO Mortgage Direct License Program, engaging with 90% of U.S. mortgage volume.
Regulatory concerns and competitive threats from VantageScore, though analysts believe these will pass in 12-18 months.
Short-term bearish technical indicators and cautious sentiment in options trading.
In Q1 2026, FICO reported revenue growth of 16.36% YoY to $511.96M, net income growth of 3.83% YoY to $158.37M, and EPS growth of 7.65% YoY to $6.61. Gross margin increased to 82.96%, up 3.51% YoY, reflecting strong operational efficiency.
Analysts are overwhelmingly positive on FICO, with multiple Buy ratings and price targets ranging from $1,777 to $2,200. Analysts highlight strong fundamentals, market leadership, and potential for 20%-30% EPS CAGR over the next 3-5 years. Regulatory concerns are noted but are expected to subside in the medium term.
