Analysts on Wall Street project that Fair Isaac (FICO) will announce quarterly earnings of $7.34 per share in its forthcoming report, representing an increase of 12.2% year over year. Revenues are projected to reach $511.78 million, increasing 12.8% from the same quarter last year.
The current level reflects a downward revision of 2.7% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
That said, let's delve into the average estimates of some Fair Isaac metrics that Wall Street analysts commonly model and monitor.
Based on the collective assessment of analysts, 'Revenues- Scores' should arrive at $303.78 million. The estimate suggests a change of +21.9% year over year.
The collective assessment of analysts points to an estimated 'Revenues- Software' of $210.53 million. The estimate points to a change of +2.9% from the year-ago quarter.
Analysts expect 'Revenues- Professional services' to come in at $21.87 million. The estimate points to a change of -4.5% from the year-ago quarter.
The consensus among analysts is that 'Revenues- Scores- Business-to-consumer' will reach $57.73 million. The estimate points to a change of +10.9% from the year-ago quarter.
According to the collective judgment of analysts, 'Revenues- On-premises and SaaS software' should come in at $189.13 million. The estimate indicates a change of +4.1% from the prior-year quarter.
Analysts' assessment points toward 'Revenues- Scores- Business-to-business' reaching $247.78 million. The estimate indicates a change of +25.7% from the prior-year quarter.
It is projected by analysts that the 'Annual Recurring Revenue (ARR) - Platform' will reach $267.65 million. Compared to the present estimate, the company reported $227.00 million in the same quarter last year.
The combined assessment of analysts suggests that 'Annual Recurring Revenue (ARR) - Total' will likely reach $761.69 million. Compared to the present estimate, the company reported $721.20 million in the same quarter last year.
The consensus estimate for 'Annual Recurring Revenue (ARR) - Non-Platform' stands at $494.05 million. Compared to the current estimate, the company reported $494.20 million in the same quarter of the previous year.
View all Key Company Metrics for Fair Isaac here>>>
Shares of Fair Isaac have experienced a change of -11.2% in the past month compared to the +2.1% move of the Zacks S&P 500 composite. With a Zacks Rank #1 (Strong Buy), FICO is expected to outperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Fair Isaac Corporation (FICO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
