Fair Isaac Corporation (FICO) vs Zoom Communications, Inc. (ZM)

Fair Isaac Corporation and Zoom Communications, Inc. are both Software Application companies. Zoom Communications, Inc. is the larger, with a market value of $26.5B against $18.6B — 1.4× the size. Zoom Communications, Inc. trades at the lower P/E: 8.1× against 24.8×. Fair Isaac Corporation grew revenue faster over the last twelve months: 24.1% against 5.04%. Zoom Communications, Inc. has the higher net margin (65.2% vs 34.1%) and the lower return on invested capital (18.3% vs 62.5%). Across the 21 metrics below, Zoom Communications, Inc. leads on 14 and Fair Isaac Corporation on 7.

Valuation

Metric FICO ZM Software Application median
P/E 24.79 8.12 24.79
P/S 8.17 5.26 2.67
P/B n/m 2.32 3.01
Price to free cash flow 20.36 13.64 16.59
EV/EBITDA 19.88 12.13 14.40
EV/Sales 10.40 3.81 2.62
Earnings yield 4.03% 12.31% 0.00%
Free cash flow yield 4.91% 7.33% 1.91%

Profitability

Metric FICO ZM Software Application median
Gross margin 85.10% 77.30% 67.03%
Operating margin 51.65% 23.73% 0.00%
Net margin 34.05% 65.19% 0.00%
Free cash flow margin 40.14% 38.55% 4.32%
Return on equity (29.67%) 32.14% 0.00%
Return on assets 41.80% 26.43% 0.00%
Return on invested capital 62.47% 18.27% 0.00%

Growth

Metric FICO ZM Software Application median
Revenue growth (TTM) 24.09% 5.04% 12.40%
EPS growth (last fiscal year) 29.78% 92.52% —
Revenue growth, 5-year CAGR 8.99% 12.92% 13.72%
Net income growth, 5-year CAGR 22.49% 23.12% 0.00%

Health

Metric FICO ZM Software Application median
Debt to equity (1.36) 0.00 0.02
Current ratio 1.18 3.83 1.55
Net debt to EBITDA 3.11 (5.08) 0.06

Dividend

Metric FICO ZM Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 0.00 0.00

Size

Metric FICO ZM Software Application median
Market cap 18.57b 26.49b 396.11m

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