Citigroup upgrades Fair Isaac (FIC ) to buy from hold.
Analyst Tony Wible says, while the company still faces risks tied to Financial Services consolidation, he's upgrading due to a number of reasons.
He cites, among other reasons, a more muted impact on earnings from Fair and Accurate Credit Transactions Act of 2003 (FACTA) legislation due to slower-than-expected FACTA adoption trends. He also sees acceleration in organic growth at the company's Strategy Machines operations now that certain negative events in that arena have lapsed.
Wible raises $1.70 fiscal 2005 (ending September) earnings per share estimate to $1.72, and $1.94 fiscal 2006 earnings per share to $1.98. He boosts his $35 target to $43.