Fair Isaac Corporation
Find Ratings ReportsFAIR ISAAC CORP's gross profit margin for the first quarter of its fiscal year 2024 is essentially unchanged when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its subsector this quarter as compared to the same quarter a year ago. FAIR ISAAC CORP has average liquidity. Currently, the Quick Ratio is 1.22 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has increased by 9.51% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
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Income Statement | Q1 FY24 | Q1 FY23 |
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Net Sales ($mil) | 382.06 | 344.87 |
EBITDA ($mil) | 153.33 | 141.82 |
EBIT ($mil) | 151.36 | 138.4 |
Net Income ($mil) | 121.07 | 97.64 |
Balance Sheet | Q1 FY24 | Q1 FY23 |
---|---|---|
Cash & Equiv. ($mil) | 160.42 | 139.86 |
Total Assets ($mil) | 1593.52 | 1458.69 |
Total Debt ($mil) | 1989.2 | 1971.43 |
Equity ($mil) | -725.77 | -802.1 |
Profitability | Q1 FY24 | Q1 FY23 |
---|---|---|
Gross Profit Margin | 78.6 | 78.71 |
EBITDA Margin | 40.13 | 41.12 |
Operating Margin | 39.62 | 40.13 |
Sales Turnover | 0.97 | 0.96 |
Return on Assets | 28.41 | 26.47 |
Return on Equity | 0.0 | 0.0 |
Debt | Q1 FY24 | Q1 FY23 |
---|---|---|
Current Ratio | 1.31 | 1.36 |
Debt/Capital | 1.57 | 1.69 |
Interest Expense | 24.16 | 22.8 |
Interest Coverage | 6.26 | 6.07 |
Share Data | Q1 FY24 | Q1 FY23 |
---|---|---|
Shares outstanding (mil) | 24.88 | 25.16 |
Div / share | 0.0 | 0.0 |
EPS | 4.8 | 3.84 |
Book value / share | -29.17 | -31.89 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 175914.0 | 198588.0 |
BUY. FAIR ISAAC CORP's P/E ratio indicates a significant premium compared to an average of 40.26 for the Professional, Scientific, and Technical Services subsector and a significant premium compared to the S&P 500 average of 27.95. Normally, for additional comaprison, we would look at the price-to-book ratio; however, this company's price-to-book ratio is negative making the value useless for comparisons. The price-to-sales ratio is well above both the S&P 500 average and the subsector average, indicating a premium. Upon assessment of these and other key valuation criteria, FAIR ISAAC CORP seems to be trading at a premium to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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FICO 67.19 | Peers 40.26 | FICO 59.61 | Peers 33.12 | |||||||||||||||||||||
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations. FICO is trading at a significant premium to its peers. |
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. FICO is trading at a significant premium to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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FICO 40.53 | Peers 25.54 | FICO 1.72 | Peers 6.56 | |||||||||||||||||||||
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations. FICO is trading at a significant premium to its peers. |
Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. FICO trades at a significant discount to its peers. |
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Price/Book |
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Earnings Growth |
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FICO NM | Peers 13.30 | FICO 19.66 | Peers 3.25 | |||||||||||||||||||||
Neutral. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. FICO's P/B is negative making this valuation measure meaningless. |
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. FICO is expected to have an earnings growth rate that significantly exceeds its peers. |
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Price/Sales |
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Sales Growth |
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FICO 19.28 | Peers 4.53 | FICO 10.78 | Peers 6.63 | |||||||||||||||||||||
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. FICO is trading at a significant premium to its subsector. |
Higher. A sales growth rate that exceeds the subsector implies that a company is gaining market share. FICO has a sales growth rate that significantly exceeds its peers. |
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