Fair Isaac (FICO) shares tumbled 8.60% over the past 24 hours, with the majority of the decline occurring in post-market trading on Wednesday after the company released its fiscal third-quarter results and forward-looking guidance.
The sell-off was triggered by the company's full-year fiscal 2026 revenue outlook of $2.53 billion and adjusted earnings per share forecast of $42.43, both of which fell short of consensus analyst estimates of $2.56 billion and $43.09, respectively. While the company's quarterly adjusted EPS of $12.18 beat the consensus estimate of $11.73, the top-line figure of $674.19 million slightly missed expectations, and the below-consensus guidance weighed heavily on investor sentiment.
The negative reaction was exacerbated by elevated market expectations heading into the report, with the stock having rallied during the regular session on optimism. The guidance miss acted as a catalyst for profit-taking, reversing the earlier gains and sending the shares sharply lower in after-hours trading, contributing to the 24-hour plunge.