Movement Alert|Fair Isaac Falls 5.18% in Regular Trading, Multiple Banks Lower Price Targets Amid Revenue Guidance Shortfall

Market Focus
Sep 02

On September 2, Fair Isaac declined 5.18% in regular trading, trading at $1,086.69 per share, with turnover of $145 million. The stock has been under sustained downward pressure as a wave of analyst target price cuts continues in the wake of disappointing fiscal Q3 revenue and below-consensus full-year guidance.

The most recent cut came from HSBC, which lowered its price target to $696 from $707 while maintaining a Reduce rating. Prior to that, Rothschild & Co Redburn trimmed its target to $1,224 from $1,293, UBS cut to $1,130 from $1,200, Barclays lowered to $1,700 from $1,950, and BMO Capital reduced to $1,550 from $1,700. The downgrades trace back to Fair Isaac's fiscal Q3 results reported in late July, where adjusted EPS of $12.18 beat the $11.73 consensus estimate, but revenue of $674 million fell short of the $678.9 million expectation. More critically, full-year revenue guidance of $2.53 billion came in below the Street's $2.56 billion estimate, triggering an extended valuation de-rating cycle across the analyst community.

Fair Isaac Corporation is a global analytics software leader whose FICO Score is used by financial institutions across more than 80 countries for credit and risk decisions.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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