Why Fair Isaac Stock Bounced Almost 3% Skyward on Wednesday

Investors were more than fair to credit analysis specialist Fair Isaac's (NYSE: FICO) stock on Wednesday. They traded it up by nearly 3%, following a bullish upgrade by an analyst. That sub-3% improvement was notably better than the S&P 500 index's performance; the closely followed index registered only a marginal gain on the day.The pundit behind the move was RBC Capital's Ashish Sabadra, who, in the very early morning hours of Wednesday, pulled the lever on that recommendation change. Sabadra has deemed Fair Isaac worthy of an outperform (buy, in other words) rating, which is up from his previous sector perform designation. The analyst also increased his price target on the shares to $2,170 apiece from his previous $2,040. According to reports, Sabadra's change is due to his new view that the stock has become undervalued. He feels that the market is not taking into sufficient account the company's dominance in scoring mortgages, particularly given that this provides it with strong pricing power.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool