Calculation
| P/E | = | Share price1, 2, 3 | ÷ | Earnings per share1 (EPS) | EPS1 | = | Net income1 (in thousands) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Nov 6, 2024 | 99.26 | = | 2,090.63 | ÷ | 21.06 | 21.06 | = | 512,811 | ÷ | 24,347,903 | |
| Nov 8, 2023 | 54.13 | = | 940.43 | ÷ | 17.37 | 17.37 | = | 429,375 | ÷ | 24,713,557 | |
| Nov 9, 2022 | 29.67 | = | 443.77 | ÷ | 14.96 | 14.96 | = | 373,541 | ÷ | 24,975,618 | |
| Nov 10, 2021 | 27.12 | = | 388.61 | ÷ | 14.33 | 14.33 | = | 392,084 | ÷ | 27,358,353 | |
| Nov 12, 2020 | 56.83 | = | 461.72 | ÷ | 8.12 | 8.12 | = | 236,411 | ÷ | 29,098,177 | |
| Nov 8, 2019 | 49.99 | = | 331.59 | ÷ | 6.63 | 6.63 | = | 192,124 | ÷ | 28,961,612 | |
| Nov 9, 2018 | 39.92 | = | 196.33 | ÷ | 4.92 | 4.92 | = | 142,415 | ÷ | 28,955,028 | |
| Nov 9, 2017 | 35.95 | = | 153.76 | ÷ | 4.28 | 4.28 | = | 128,256 | ÷ | 29,990,221 | |
| Nov 10, 2016 | 32.00 | = | 113.19 | ÷ | 3.54 | 3.54 | = | 109,448 | ÷ | 30,940,696 | |
| Nov 10, 2015 | 31.32 | = | 87.19 | ÷ | 2.78 | 2.78 | = | 86,502 | ÷ | 31,076,089 | |
| Nov 10, 2014 | 23.93 | = | 70.73 | ÷ | 2.96 | 2.96 | = | 94,879 | ÷ | 32,106,155 | |
| Nov 12, 2013 | 21.77 | = | 56.73 | ÷ | 2.61 | 2.61 | = | 90,095 | ÷ | 34,567,208 | |
| Nov 16, 2012 | 15.63 | = | 41.19 | ÷ | 2.64 | 2.64 | = | 92,004 | ÷ | 34,915,741 | |
| Nov 18, 2011 | 17.14 | = | 34.36 | ÷ | 2.00 | 2.00 | = | 71,562 | ÷ | 35,701,425 | |
| Nov 23, 2010 | 14.55 | = | 23.52 | ÷ | 1.62 | 1.62 | = | 64,457 | ÷ | 39,887,143 | |
| Nov 24, 2009 | 14.37 | = | 19.42 | ÷ | 1.35 | 1.35 | = | 65,102 | ÷ | 48,180,993 | |
| Nov 26, 2008 | 7.84 | = | 13.57 | ÷ | 1.73 | 1.73 | = | 83,952 | ÷ | 48,477,989 | |
| Nov 28, 2007 | 18.13 | = | 37.72 | ÷ | 2.08 | 2.08 | = | 104,650 | ÷ | 50,299,240 | |
| Dec 8, 2006 | 23.17 | = | 41.49 | ÷ | 1.79 | 1.79 | = | 103,486 | ÷ | 57,788,824 | |
| Dec 14, 2005 | 21.23 | = | 44.30 | ÷ | 2.09 | 2.09 | = | 134,548 | ÷ | 64,484,661 |
Based on: 10-K (reporting date: 2024-09-30), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Fair Isaac Corp. Annual Report.
The valuation profile of Fair Isaac Corp. over the last two decades is characterized by a transition from modest multiples to a period of extreme valuation expansion. While earnings per share have grown consistently since 2009, the share price has accelerated at a significantly faster rate, leading to a substantial increase in the price-to-earnings (P/E) ratio.
- Initial Volatility and the 2008 Contraction
- Between 2005 and 2007, the P/E ratio fluctuated within a range of 18.13 to 23.17. A significant contraction occurred in 2008, where the ratio fell to a historical low of 7.84. This decline was driven by a sharp decrease in share price, which dropped from 37.72 in 2007 to 13.57 in 2008, despite earnings per share remaining relatively resilient at 1.73.
- Period of Steady Multiple Expansion
- From 2009 through 2020, a sustained upward trend in valuation is observed. The P/E ratio climbed from 14.37 in 2009 to 56.83 in 2020. This expansion was supported by steady growth in earnings per share, which rose from 1.35 to 8.12 over the same period. This phase indicates a shift in market sentiment, with investors assigning a progressively higher premium to the company's earnings.
- Recent Valuation Acceleration
- Following a sharp correction in 2021, where the P/E ratio dropped to 27.12, the valuation entered a phase of rapid escalation. By November 2024, the P/E ratio reached 99.26, the highest level in the analyzed period. This surge is primarily attributed to an exponential increase in share price, which rose from 388.61 in 2021 to 2,090.63 in 2024, far outpacing the growth of earnings per share, which increased from 14.33 to 21.06 during that timeframe.
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Comparison to Competitors
| Fair Isaac Corp. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | Datadog Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Nov 6, 2024 | 99.26 | 31.07 | 31.98 | 68.97 | 67.09 | 235.49 | 39.68 | 58.94 | 35.67 | 37.63 | 632.38 | 42.42 | 71.24 | 146.40 | 33.69 | 50.53 |
| Nov 8, 2023 | 54.13 | 27.81 | 49.64 | 56.56 | 78.64 | 884.97 | 22.50 | 64.61 | 33.96 | 38.96 | 246.77 | 170.35 | 879.57 | 90.80 | 70.08 | — |
| Nov 9, 2022 | 29.67 | 22.93 | 33.15 | — | 59.70 | — | 71.56 | 57.31 | 28.34 | 26.85 | — | — | 135.68 | 284.29 | 51.76 | 1,957.29 |
| Nov 10, 2021 | 27.12 | 36.58 | 48.90 | 472.35 | 53.88 | — | 19.40 | 75.17 | 35.14 | 15.84 | — | — | 48.20 | 487.70 | 73.37 | — |
| Nov 12, 2020 | 56.83 | 28.32 | 41.69 | — | 62.89 | — | 19.30 | 49.52 | 35.04 | 16.69 | — | — | 1,204.70 | 978.49 | 55.92 | — |
| Nov 8, 2019 | 49.99 | 24.58 | 57.17 | — | 20.22 | — | 13.35 | 48.17 | 26.86 | 16.89 | — | — | 107.70 | 106.89 | 39.55 | — |
| Nov 9, 2018 | 39.92 | 24.10 | 46.11 | — | 46.59 | — | 14.25 | 46.88 | 50.00 | 45.90 | — | — | 731.11 | — | 29.60 | — |
| Nov 9, 2017 | 35.95 | 26.18 | 57.41 | — | 55.67 | — | 25.07 | 37.26 | 26.25 | 22.49 | — | — | 324.94 | — | 95.81 | — |
| Nov 10, 2016 | 32.00 | 18.07 | 46.80 | — | 40.53 | — | 14.29 | 29.60 | 26.08 | 18.53 | — | — | — | — | 33.71 | — |
| Nov 10, 2015 | 31.32 | 22.75 | 70.59 | — | 25.14 | — | 9.65 | 63.89 | 30.63 | 17.92 | — | — | — | — | 30.45 | — |
| Nov 10, 2014 | 23.93 | 17.46 | 132.73 | — | 34.03 | — | 13.55 | 26.44 | 16.11 | 16.33 | — | — | — | — | 25.00 | — |
| Nov 12, 2013 | 21.77 | 15.20 | 104.21 | — | 26.30 | — | 11.58 | 21.73 | 12.14 | 12.78 | — | — | — | — | 24.68 | — |
| Nov 16, 2012 | 15.63 | 17.95 | 22.73 | — | 9.11 | — | 13.37 | 22.37 | 14.40 | 13.61 | — | 6,057.94 | — | — | 26.53 | — |
| Nov 18, 2011 | 17.14 | 17.60 | 18.49 | — | 44.80 | — | 14.47 | 22.53 | 10.03 | 19.17 | — | — | 251.73 | — | 17.51 | — |
| Nov 23, 2010 | 14.55 | 17.62 | 22.05 | — | 20.39 | — | 13.32 | 24.82 | 11.91 | 17.66 | — | — | 118.88 | — | 17.09 | — |
| Nov 24, 2009 | 14.37 | 17.45 | 46.62 | — | — | — | 12.24 | 20.01 | 14.56 | 19.25 | — | — | 87.39 | — | 18.86 | — |
| Nov 26, 2008 | 7.84 | 13.74 | 11.84 | — | — | — | 9.40 | 20.68 | 13.28 | 19.44 | — | — | 388.13 | — | 13.55 | — |
| Nov 28, 2007 | 18.13 | 24.38 | 27.23 | — | 10.43 | — | 15.20 | 21.92 | 74.58 | 23.58 | — | — | 10,271.10 | — | 29.39 | — |
| Dec 8, 2006 | 23.17 | 26.95 | 44.72 | — | 41.15 | — | 14.90 | 27.35 | 63.21 | 23.43 | — | — | 151.60 | — | 156.86 | — |
| Dec 14, 2005 | 21.23 | 24.06 | 38.61 | — | 103.88 | — | 15.85 | 21.02 | 70.27 | 23.70 | — | — | 207.38 | — | — | — |
Based on: 10-K (reporting date: 2024-09-30), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).
Comparison to Sector (Software & Services)
| Fair Isaac Corp. | Software & Services | |
|---|---|---|
| Nov 6, 2024 | 99.26 | 41.55 |
| Nov 8, 2023 | 54.13 | 40.00 |
| Nov 9, 2022 | 29.67 | 34.25 |
| Nov 10, 2021 | 27.12 | 37.62 |
| Nov 12, 2020 | 56.83 | 38.46 |
| Nov 8, 2019 | 49.99 | 28.30 |
| Nov 9, 2018 | 39.92 | 43.31 |
| Nov 9, 2017 | 35.95 | 30.27 |
| Nov 10, 2016 | 32.00 | 23.96 |
| Nov 10, 2015 | 31.32 | 23.38 |
| Nov 10, 2014 | 23.93 | 18.36 |
| Nov 12, 2013 | 21.77 | 14.09 |
| Nov 16, 2012 | 15.63 | 14.97 |
| Nov 18, 2011 | 17.14 | 13.91 |
| Nov 23, 2010 | 14.55 | 14.04 |
| Nov 24, 2009 | 14.37 | 15.17 |
| Nov 26, 2008 | 7.84 | 13.87 |
| Nov 28, 2007 | 18.13 | 43.67 |
| Dec 8, 2006 | 23.17 | 39.59 |
| Dec 14, 2005 | 21.23 | 44.69 |
Based on: 10-K (reporting date: 2024-09-30), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).
Comparison to Industry (Information Technology)
| Fair Isaac Corp. | Information Technology | |
|---|---|---|
| Nov 6, 2024 | 99.26 | 45.43 |
| Nov 8, 2023 | 54.13 | 36.13 |
| Nov 9, 2022 | 29.67 | 26.99 |
| Nov 10, 2021 | 27.12 | 29.75 |
| Nov 12, 2020 | 56.83 | 30.97 |
| Nov 8, 2019 | 49.99 | 23.40 |
| Nov 9, 2018 | 39.92 | 23.17 |
| Nov 9, 2017 | 35.95 | 23.55 |
| Nov 10, 2016 | 32.00 | 19.69 |
| Nov 10, 2015 | 31.32 | 16.54 |
| Nov 10, 2014 | 23.93 | 17.14 |
| Nov 12, 2013 | 21.77 | 14.15 |
| Nov 16, 2012 | 15.63 | 14.37 |
| Nov 18, 2011 | 17.14 | 13.71 |
| Nov 23, 2010 | 14.55 | 15.08 |
| Nov 24, 2009 | 14.37 | 21.50 |
| Nov 26, 2008 | 7.84 | 15.83 |
| Nov 28, 2007 | 18.13 | 36.48 |
| Dec 8, 2006 | 23.17 | 32.07 |
| Dec 14, 2005 | 21.23 | 33.76 |
Based on: 10-K (reporting date: 2024-09-30), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).