How Low Can Fair Isaac Stock Go In A Market Crash

Fair Isaac (FICO) has historically underperformed the S&P 500 during major market downturns, typically experiencing larger declines. For instance, it fell 76% in the Global Financial Crisis versus the S&P’s 57% drop, and 51% during the COVID pandemic compared to 34% for the S&P. On average, FICO declined by 49% in these crises, demonstrating its vulnerability to market volatility. The time to reach a bottom varies, ranging from 1 month during COVID to 26 months in the Global Financial Crisis. Recovery durations also differ, with FICO recovering to pre-crisis levels in as little as 2 months post-2018 correction, but taking 37 months after the Global Financial Crisis. Overall, Fair Isaac’s performance underscores its sensitivity to market downturns rather than resilience.

Fair Isaac Stock Performance In Market Crashes:

Worried that FICO is yet to hit the bottom? You could take a look at the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.