Fair Isaac (FICO Quick QuoteFICO - Free Report) recently announced its integration with Teradata (TDC Quick QuoteTDC - Free Report) to bring advanced analytic solutions for real-time payments fraud, insurance claims, and supply chain optimization.

FICO and Teradata designed a fraud solution that brings together FICO’s Falcon Fraud Manager and TDC’s capabilities in enterprise-scale AI and prescriptive analytics. This will provide a holistic view of a banking customer’s transactional and payments activity and will help mitigate the increasing scams and payments fraud in retail banking accounts.

Apart from the fraud solution, the companies are working together in bringing other solutions like improving outcomes for complex medical claims, decision automation solution to accelerate the inclusion of patient insights and enhancing supply chain efficiency and increasing resilience.

The relationship is expected to deliver reduced costs, improved profits, increased risk mitigation and greater customer satisfaction for Teradata/FICO customers.

Strong Partnership’s to Aid FICO’s Product Line

FICO continues to focus on helping clients maximize the customer experience by predicting, analyzing and optimizing customer interactions in real time to make better customer decisions across the enterprise. Strong demand for its software is well reflected in its strong net-retention rate of current customers.

FICO is riding on a strong product portfolio, providing smarter decision-making capabilities, streamlining operations and improving the overall experience of its partners and clients.

It has a strong partner base with notable enterprises like Amazon (AMZN Quick QuoteAMZN - Free Report) and CISCO Systems (CSCO Quick QuoteCSCO - Free Report) , creating opportunities to provide AI-powered solutions to their clients.

FICO’s partnership with Amazon’s cloud arm, Amazon Web Services, enables companies to obtain large-scale cloud computing capacity instead of running it on their servers. This collaboration offers FICO’s cloud customers to achieve greater business agility, improved capabilities in AI and ML and analytics.

Its partnership with CISCO has helped organizations tackle IT complexity by delivering a firm solution to their joint customers. FICO’s Decision Management Suite was made available on CISCO UCS thereby aligning decision management with IT capabilities.

FICO’s Performance to Aid Prospects

FICO shares have gained 28% year to date outperforming the Zacks Computer and Technology sector’s increase of 24.8% over the same time frame.

The company experienced strong growth in its scores business despite volatile macro environment. It is also scaling its latest analytic and AI technology to optimize consumer interactions and revolutionize businesses through digital transformation.

FICO’s revenues reported a 6.5% year-over-year increase and totaled $380.3 million in second-quarter fiscal 2023.

This Zacks Rank #3 (Hold) company’s earnings of $4.78 per share increased 2.1% year over year. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for third-quarter fiscal revenues is pegged at $380.68 million, indicating 9.09% growth from the year-ago quarter’s reported figure.

The consensus mark for third-quarter fiscal 2023 earnings remained unchanged at $5.32 per share in the past 30 days, indicating a year-over-year rise of 19.02%.

FICO raised its guidance for fiscal 2023. It expects total revenues of $1.48 billion, suggesting a 5.7% growth over fiscal 2022. Earnings are pegged at $19.45 per share.