$FICO Share Price Divergence
$FICO has recently had a pretty significant diversion from ntm EBITDA vs their share price. I believe most of this diversion is due to concern around an FHFA ruling. An adverse ruling does not change my long-term thesis.

Modern Growth Investing's avatar
What was the ruling?
Young Money Capital's avatar
@growthinvesting hasn’t been ruled yet.
Joshua Simka's avatar
I believe a decision related to this was expected from the FHFA the week of April 19. Did that come through? Found a Seeking Alpha article on it here: https://seekingalpha.com/news/3824333-fico-upcoming-fhfa-decision-credit-score-models

The Federal Housing Finance Agency, the overseer of mortgage giants Fannie Mae and Freddie Mac, is expected to announce this week its decision on the type of credit score that the government-sponsored enterprises require when they purchase mortgages.
Young Money Capital's avatar
@tomato yup that’s the ruling!