Investment Thesis
Fair Isaac (FICO) develops decision management software and credit scoring analytics. FICO platform subscription model and high-margin Scores division deliver outsized profitability.
- Scores Franchise: Consumer reporting agency agreements provide recurring royalties.
- Platform Modernization: FICO Platform unifies decisioning, AI, and workflow automation.
- Price Increases: Renegotiated CRA contracts and direct-to-consumer pricing boost revenue.