Brown Advisory Large-Cap Growth Strategy’s Updates on Fair Isaac Corporation (FICO)

FICO +0.19%

Brown Advisory, an investment management company, released its “Brown Advisory Large-Cap Growth Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy returned -0.88% (net) during the third quarter, underperforming the benchmark, the Russell 1000 Growth Index. Even though the portfolio has significant exposure to AI, its underweight to the most speculative momentum-driven parts of the trade was a headwind to performance. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Brown Advisory Large-Cap Growth Strategy highlighted stocks such as Fair Isaac Corporation (NYSE:FICO). Fair Isaac Corporation (NYSE:FICO) develops analytic, software, and digital decision-making technologies and services. The one-month return of Fair Isaac Corporation (NYSE:FICO) was 6.20%, and its shares lost 24.86% of their value over the last 52 weeks. On December 02, 2025, Fair Isaac Corporation (NYSE:FICO) stock closed at $1,778.71 per share, with a market capitalization of $42.696 billion.

Brown Advisory Large-Cap Growth Strategy stated the following regarding Fair Isaac Corporation (NYSE:FICO) in its third quarter 2025 investor letter:

"Fair Isaac Corporation (NYSE:FICO) traded down more than 20% in July following an announcement from the Federal Housing Finance Agency (FHFA) approving the use of the VantageScore for conforming loans. FICO continues to provide the most predictive scores in the market and remains dominant in non-conforming loan credit scoring (90–95% of non-conforming loans use FICO scores), which adds to our conviction in its ability to maintain share and drive strong pricing over the long term. The stock rebounded more than 20% in early October following the launch of its FICO Mortgage Direct License Program."

Fair Isaac Corporation (NYSE:FICO) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 72 hedge fund portfolios held Fair Isaac Corporation (NYSE:FICO) at the end of the third quarter, which was 74 in the previous quarter. While we acknowledge the potential of Fair Isaac Corporation (NYSE:FICO) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered Fair Isaac Corporation (NYSE:FICO) and shared Carillon Eagle Mid Cap Growth Fund's views on the company. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.