Fair, Isaac Corp. (FICO)

Fair, Isaac Corp. (FICO) stock dropped by 6.85% due to following the release of its Q1 fiscal 2024 earnings report. Although the company reported earnings of $4.81 per share, reflecting a 13% year-over-year increase, it fell slightly short of expectations.

• Revenues for the quarter reached $382.1 million, indicating a 10.8% growth compared to the previous year but still lagging behind consensus estimates.
• In terms of regional contributions, the Americas accounted for 85% of total revenues, while EMEA and Asia Pacific contributed 9% and 6%, respectively. The report highlighted segment-specific revenue performance, with mortgage originations revenue surging by 188%, auto originations revenue declining by 3% year-over-year, and credit card and personal loan revenue dropping by 5%.
• In addition, FICO provided guidance for fiscal 2024, with revenue expected to reach $1.675 billion and non-GAAP earnings projected at $22.45 per share for the fiscal year. Despite the stock decline, FICO's shares have shown resilience, outperforming the Computer & Technology sector with a year-to-date gain of 47% compared to the sector's 38.4% increase.

Shares of Fair Isaac Corporation (FICO) dropped by 7.02% from $927.19 to $862.12 in the trading on Tuesday, October 24, 2023. The reason why FICO stock down is due to the drop in TransUnion (TRU) shares, which plummeted by 24.8%. This decline follows TransUnion's announcement of weaker-than-expected third-quarter financial results and revised guidance. TransUnion missed earnings estimates at 91 cents per share (vs. 94 cents) and sales at $968.70 million (vs. $982.27 million). They also lowered 2023 revenue and earnings projections.