FICO vs VRSK

For growth investors, Fair Isaac Corporation (FICO) is the stronger pick with 15.

9% revenue growth year-over-year, versus 6. 6% for Verisk Analytics, Inc. (VRSK). Verisk Analytics, Inc. (VRSK) offers the better valuation at 26. 3x trailing P/E (22. 4x forward), making it the more compelling value choice. Analysts rate Fair Isaac Corporation (FICO) a "Buy" — based on 18 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Verisk Analytics, Inc.

(VRSK) is the cheapest at 26. 3x versus Fair Isaac Corporation at 40. 2x. On forward P/E, Verisk Analytics, Inc. is actually cheaper at 22. 4x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Fair Isaac Corporation wins at 0. 91x versus Verisk Analytics, Inc. 's 2. 62x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Fair Isaac Corporation (FICO) delivered a total return of +115.

9%, compared to +1. 8% for Verisk Analytics, Inc. (VRSK). Over 10 years, the gap is even starker: FICO returned +906. 5% versus VRSK's +132. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Verisk Analytics, Inc.

(VRSK) is the lower-risk stock at -0. 04β versus Fair Isaac Corporation's 0. 86β — meaning FICO is approximately -2491% more volatile than VRSK relative to the S&P 500.

By revenue growth (latest reported year), Fair Isaac Corporation (FICO) is pulling ahead at 15.

9% versus 6. 6% for Verisk Analytics, Inc. (VRSK). On earnings-per-share growth, the picture is similar: Fair Isaac Corporation grew EPS 29. 8% year-over-year, compared to -3. 3% for Verisk Analytics, Inc.. Over a 3-year CAGR, FICO leads at 13. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Fair Isaac Corporation (FICO) is the more profitable company, earning 32.

7% net margin versus 29. 6% for Verisk Analytics, Inc. — meaning it keeps 32. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: FICO leads at 46. 5% versus 44. 6% for VRSK. At the gross margin level — before operating expenses — FICO leads at 82. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Fair Isaac Corporation (FICO) is the more undervalued stock at a PEG of 0. 91x versus Verisk Analytics, Inc. 's 2. 62x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Verisk Analytics, Inc. (VRSK) trades at 22. 4x forward P/E versus 25. 0x for Fair Isaac Corporation — 2. 6x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for FICO: 54. 6% to $1649. 11.

In this comparison, VRSK (1.

1% yield) pays a dividend. FICO does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Verisk Analytics, Inc.

(VRSK) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0. 04), 1. 1% yield, +132. 0% 10Y return). Both have compounded well over 10 years (VRSK: +132. 0%, FICO: +906. 5%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (FICO (Technology) and VRSK (Industrials)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: FICO is a mid-cap high-growth stock; VRSK is a mid-cap quality compounder stock. VRSK pays a dividend while FICO does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.