Fair Isaac Corporation (FICO) vs JFrog Ltd. (FROG)

Fair Isaac Corporation and JFrog Ltd. are both Software Application companies. Fair Isaac Corporation is the larger, with a market value of $15.3B against $12.2B — 1.3× the size. JFrog Ltd. has negative trailing earnings, so its P/E is not meaningful; Fair Isaac Corporation trades at 20.5×. JFrog Ltd. grew revenue faster over the last twelve months: 26.4% against 24.1%. Fair Isaac Corporation has the higher net margin (34.1% vs −7.35%) and the higher return on invested capital (62.5% vs −31.7%). Across the 19 metrics below, Fair Isaac Corporation leads on 15 and JFrog Ltd. on 4.

Valuation

Metric FICO FROG Software Application median
P/E 20.45 n/m 26.76
P/S 6.74 19.29 2.99
P/B n/m 12.04 2.59
Price to free cash flow 16.80 68.31 18.02
EV/EBITDA 17.15 n/m 16.06
EV/Sales 8.97 17.91 2.92
Earnings yield 4.89% (0.39%) 0.00%
Free cash flow yield 5.95% 1.46% 2.00%

Profitability

Metric FICO FROG Software Application median
Gross margin 85.10% 77.86% 67.03%
Operating margin 51.65% (11.52%) 0.00%
Net margin 34.05% (7.35%) 0.00%
Free cash flow margin 40.14% 28.29% 5.71%
Return on equity (29.67%) (4.93%) 0.00%
Return on assets 41.80% (3.27%) 0.00%
Return on invested capital 62.47% (31.70%) 0.00%

Growth

Metric FICO FROG Software Application median
Revenue growth (TTM) 24.09% 26.37% 12.43%
EPS growth (last fiscal year) 29.78% 1.59% 31.92%
Revenue growth, 5-year CAGR 8.99% 28.66% 14.34%
Net income growth, 5-year CAGR 22.49% 0.00% 0.00%

Health

Metric FICO FROG Software Application median
Debt to equity (1.36) 0.00 0.03
Current ratio 1.18 2.14 1.56
Net debt to EBITDA 3.11 9.70 0.08

Dividend

Metric FICO FROG Software Application median
Dividend yield — — 0.93%
Payout ratio — — 0.29

Size

Metric FICO FROG Software Application median
Market cap 15.32b 12.19b 423.97m

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