Barron's Streetwise What’s Behind FICO’s Bodacious Stock Returns?
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May 16, 2025 Explore how the humble credit score catapulted investors to returns exceeding 100,000%. Discover the cultural significance and stellar history behind FICO, paired with a lively performance from rapper Nelly. Delve into Wolfspeed's staggering $6.5 billion debt and the complexities surrounding it. Finally, navigate the unpredictable world of high-stakes trading, understanding short squeezes and how panic can dramatically inflate stock prices.
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FICO World with Nelly
- Fair Isaac's FICO World conference featured the musical guest Nelly, known for his 2002 hit "Hot in Here."
- The event brought together 1,500 credit industry professionals for workshops and a nostalgic party atmosphere.
FICO's Remarkable Stock Returns
- Fair Isaac's stock has generated returns exceeding 170,000% since its 1987 IPO.
- It has outperformed notable companies like Oracle, Home Depot, and Apple over this long period.
FICO's Dominance and Scalability
- FICO dominates the credit industry by providing scores used in over 10 billion decisions yearly by 90% of U.S. lenders.
- It benefits from scalable, high-margin cloud software and credit scoring businesses with rising prices and low employee count.