Should You Be Optimistic on Fair Isaac Corporation (FICO)?

Carillon Tower Advisers, an investment management company, released its “Carillon Eagle Mid Cap Growth Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the third quarter, the equity markets continued their rally, fueled by enthusiasm for AI, limited evidence of inflationary effects from tariffs, and expectations for further interest rate cuts from the U.S. Federal Reserve. Mid-cap stocks also maintained their positive gains during the quarter. The Russell Midcap Growth Index (up 2.78%) underperformed the Russell Midcap® Value Index (up 6.16%) in the quarter. The letter further shared the firm’s detailed views on Cyclicals, Healthcare, Information Technology, Financials, and Consumer sectors. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its third-quarter 2025 investor letter, Carillon Eagle Mid Cap Growth Fund highlighted stocks such as Fair Isaac Corporation (NYSE:FICO). Fair Isaac Corporation (NYSE:FICO) develops analytic, software, and digital decision-making technologies and services. The one-month return of Fair Isaac Corporation (NYSE:FICO) was 4.90%, and its shares lost Fair Isaac% of their value over the last 52 weeks.  On November 24, 2025, Fair Isaac Corporation (NYSE:FICO) stock closed at $1,748.25 per share, with a market capitalization of $41.964 billion.

Carillon Eagle Mid Cap Growth Fund stated the following regarding Fair Isaac Corporation (NYSE:FICO) in its third quarter 2025 investor letter:

“Fair Isaac Corporation (NYSE:FICO) is a leading analytics and software company best known for its FICO credit score, widely used in consumer lending decisions. The stock sold off after the Federal Housing Finance Agency announced that lenders would be allowed to use competing credit-scoring products to determine a customer’s credit-worthiness. Despite the challenge to FICO’s longstanding dominance in mortgage credit scoring, management just made Fair Isaac’s largest single-quarter stock buyback in history and raised guidance. We remain optimistic about the value of the company’s data and its ability to monetize it.”

Fair Isaac Corporation (NYSE:FICO) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 74 hedge fund portfolios held Fair Isaac Corporation (NYSE:FICO) at the end of the second quarter, which was 68 in the previous quarter. While we acknowledge the potential of Fair Isaac Corporation (NYSE:FICO) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.