FICO Valuation

Fair Isaac Corp

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1361.720

+17.61(1.310%)1D

Overview
Forecast
Valuation
Earnings

FICO Relative Valuation

FICO's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, FICO is overvalued; if below, it's undervalued.

Historical Valuation

Fair Isaac Corp (FICO) is now in the Fair zone, suggesting that its current forward PE ratio of 40.02 is considered Fairly compared with the five-year average of 41.48. The fair price of Fair Isaac Corp (FICO) is between 978.04 to 1730.53 according to relative valuation methord.

Relative Value

Fair Zone

978.04-1730.53

Current Price：1343.23

Fair

40.54

Trailing

Forward

27.70

EV/EBITDA

Fair Isaac Corp. (FICO) has a current EV/EBITDA of 27.70. The 5-year average EV/EBITDA is 28.90. The thresholds are as follows: Strongly Undervalued below 11.25, Undervalued between 11.25 and 20.08, Fairly Valued between 37.72 and 20.08, Overvalued between 37.72 and 46.54, and Strongly Overvalued above 46.54. The current Forward EV/EBITDA of 27.70 falls within the Historic Trend Line -Fairly Valued range.

28.46

EV/EBIT

Fair Isaac Corp. (FICO) has a current EV/EBIT of 28.46. The 5-year average EV/EBIT is 31.16. The thresholds are as follows: Strongly Undervalued below 13.64, Undervalued between 13.64 and 22.40, Fairly Valued between 39.93 and 22.40, Overvalued between 39.93 and 48.69, and Strongly Overvalued above 48.69. The current Forward EV/EBIT of 28.46 falls within the Historic Trend Line -Fairly Valued range.

14.72

Fair Isaac Corp. (FICO) has a current PS of 14.72. The 5-year average PS is 13.65. The thresholds are as follows: Strongly Undervalued below 2.35, Undervalued between 2.35 and 8.00, Fairly Valued between 19.30 and 8.00, Overvalued between 19.30 and 24.95, and Strongly Overvalued above 24.95. The current Forward PS of 14.72 falls within the Historic Trend Line -Fairly Valued range.

35.28

P/OCF

Fair Isaac Corp. (FICO) has a current P/OCF of 35.28. The 5-year average P/OCF is 34.22. The thresholds are as follows: Strongly Undervalued below -0.39, Undervalued between -0.39 and 16.91, Fairly Valued between 51.53 and 16.91, Overvalued between 51.53 and 68.83, and Strongly Overvalued above 68.83. The current Forward P/OCF of 35.28 falls within the Historic Trend Line -Fairly Valued range.

38.24

P/FCF

Fair Isaac Corp. (FICO) has a current P/FCF of 38.24. The 5-year average P/FCF is 38.59. The thresholds are as follows: Strongly Undervalued below -3.04, Undervalued between -3.04 and 17.77, Fairly Valued between 59.40 and 17.77, Overvalued between 59.40 and 80.21, and Strongly Overvalued above 80.21. The current Forward P/FCF of 38.24 falls within the Historic Trend Line -Fairly Valued range.

Fair Isaac Corp (FICO) has a current Price-to-Book (P/B) ratio of -23.18. Compared to its 3-year average P/B ratio of -35.58 , the current P/B ratio is approximately -34.87% higher. Relative to its 5-year average P/B ratio of -14.50, the current P/B ratio is about 59.85% higher. Fair Isaac Corp (FICO) has a Forward Free Cash Flow (FCF) yield of approximately 2.33%. Compared to its 3-year average FCF yield of 2.05%, the current FCF yield is approximately 13.68% lower. Relative to its 5-year average FCF yield of 2.57% , the current FCF yield is about -9.31% lower.

-23.48

P/B

Median3y

-35.58

Median5y

-14.50

2.40

FCF Yield

Median3y

2.05

Median5y

2.57

Competitors Valuation Multiple

The average P/S ratio for FICO's competitors is 9.20, providing a benchmark for relative valuation. Fair Isaac Corp Corp (FICO) exhibits a P/S ratio of 14.72, which is 60.07% above the industry average. Given its robust revenue growth of 19.78%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of FICO decreased by 21.30% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 28.19 to 33.89.

The secondary factor is the Revenue Growth, contributed 19.78%to the performance.

Overall, the performance of FICO in the past 1 year is driven by Margin Expansion. Which is more sustainable.

19.78%

447.85M → 536.42M

Revenue Growth

20.22%

28.19 → 33.89

Margin Expansion

-61.30%

137.70 → 53.29

P/E Change

-21.30%