Topic: How To Invest

Power Growth Investor Hotline – Friday, August 11, 2023

Article Excerpt

FAIR ISAAC CORP., $860.11, is a buy for our subscribers. Investors in this stock draw gains from a company (symbol FICO on New York) best known for its FICO Scores software. It lets lenders make better decisions about customer creditworthiness. Fair Isaac also makes programs that help credit-card issuers reduce fraud and analyze the spending patterns of cardholders. For the quarter ended June 30, 2023, revenue rose 14.2%, to $398.7 million from $349.0 million a year earlier. Software revenues, which include the company’s analytics and digital decision-making technology, were up 16%. Meanwhile, Scores revenue, which includes the company’s business-to-business (B2B) scoring solutions and its business-to-consumer (B2C) solutions, rose 13%. Excluding one-time items, Fair Isaac earned $143.4 million in the quarter. That was up 24.0% from $115.7 million. Per-share earnings jumped 26.6%, to $5.66 from $4.47, on fewer shares outstanding. In response to rising unemployment in some industries due to COVID-19, the company launched the FICO Resilience Index. This new Index takes into account general economic…