Home > Comparison > Technology > FICO vs MNDY
The strategic rivalry between Fair Isaac Corporation and monday.com Ltd. defines the current trajectory of the software application sector. Fair Isaac operates as a mature analytics and decision management provider, leveraging decades of data expertise. In contrast, monday.com delivers a fast-growing, cloud-based work operating system focused on modular workflow solutions. This analysis will assess which model offers superior risk-adjusted returns for a diversified portfolio amid evolving technology demands.
Table of contents
Companies Overview
Fair Isaac Corporation and monday.com Ltd. both hold significant roles in the global software landscape, shaping decision-making and workflow management.
Fair Isaac Corporation: Analytics and Decision Automation Leader
Fair Isaac Corporation dominates the analytic and decision management software sector. Its core revenue streams come from business-to-business scoring solutions and modular decision software that enhances marketing, fraud detection, and compliance processes. In 2026, the company focuses on expanding its FICO Platform to support advanced analytics tailored for diverse business use cases.
monday.com Ltd.: Cloud-Based Work Operating System Innovator
monday.com Ltd. leads with its cloud-based Work OS, offering modular blocks to build custom work management tools. It drives revenue by delivering solutions across marketing, CRM, project management, and software development. The company’s 2026 strategy centers on broadening its global footprint and enhancing product versatility for organizations and educational institutions.
Strategic Collision: Similarities & Divergences
Fair Isaac embraces a data-driven decision automation model, while monday.com champions open, customizable workflow infrastructure. Both compete in software applications but target different operational challenges—decision management versus work coordination. Their distinct market approaches create unique investment profiles, with Fair Isaac leaning on analytic depth and monday.com on platform flexibility.
Income Statement Comparison
The following data dissects the core profitability and scalability of both corporate engines to reveal who dominates the bottom line:
| Metric | Fair Isaac Corporation (FICO) | monday.com Ltd. (MNDY) |
|---|---|---|
| Revenue | 1.99B | 972M |
| Cost of Revenue | 354M | 104M |
| Operating Expenses | 712M | 889M |
| Gross Profit | 1.64B | 868M |
| EBITDA | 951M | 58M |
| EBIT | 936M | 40M |
| Interest Expense | 134M | 0 |
| Net Income | 652M | 32M |
| EPS | 26.9 | 0.65 |
| Fiscal Year | 2025 | 2024 |
Income Statement Analysis: The Bottom-Line Duel
This income statement comparison reveals which company drives superior profitability and operational efficiency in their respective markets.
Fair Isaac Corporation Analysis
Fair Isaac Corporation (FICO) shows strong revenue growth from $1.32B in 2021 to nearly $2B in 2025. Net income surged 66% over five years, reaching $652M in 2025. Gross margin remains robust at 82.2%, supporting a healthy 32.8% net margin. The company sustains high operational efficiency with a 47% EBIT margin, reflecting solid momentum and margin expansion.
monday.com Ltd. Analysis
monday.com Ltd. (MNDY) posted rapid revenue growth of 503% from $161M in 2020 to $972M in 2024. However, net income remains modest at $32M in 2024, with a slim 3.3% net margin despite an excellent 89.3% gross margin. EBIT margin stands low at 4.1%, though recent improvements signal operational leverage gains after years of losses.
Margin Strength vs. Growth Scale
FICO clearly leads in profitability with superior net and EBIT margins backed by steady revenue and income expansion. monday.com excels in top-line growth but struggles to convert scale into meaningful profits yet. Investors seeking robust earnings and margin stability may favor FICO’s proven efficiency over monday.com’s high-growth, lower-margin profile.
Financial Ratios Comparison
These vital ratios act as a diagnostic tool to expose the underlying fiscal health, valuation premiums, and capital efficiency of the companies compared below:
| Ratios | Fair Isaac Corporation (FICO) | monday.com Ltd. (MNDY) |
|---|---|---|
| ROE | -37.3% (2025) | 3.14% (2024) |
| ROIC | 53.0% (2025) | -1.73% (2024) |
| P/E | 55.6x (2025) | 363x (2024) |
| P/B | -20.8x (2025) | 11.4x (2024) |
| Current Ratio | 0.83 (2025) | 2.66 (2024) |
| Quick Ratio | 0.83 (2025) | 2.66 (2024) |
| D/E | -1.76 (2025) | 0.10 (2024) |
| Debt-to-Assets | 164.6% (2025) | 6.3% (2024) |
| Interest Coverage | 6.92x (2025) | 0x (2024) |
| Asset Turnover | 1.07 (2025) | 0.58 (2024) |
| Fixed Asset Turnover | 21.2 (2025) | 7.13 (2024) |
| Payout ratio | 0% (2025) | 0% (2024) |
| Dividend yield | 0% (2025) | 0% (2024) |
| Fiscal Year | 2025 | 2024 |
Efficiency & Valuation Duel: The Vital Signs
Ratios serve as a company’s financial DNA, exposing hidden risks and revealing operational excellence that raw numbers alone cannot show.
Fair Isaac Corporation
Fair Isaac displays a robust net margin of 32.75%, signaling strong profitability despite a negative ROE of -37.34%. Its P/E ratio at 55.64 marks the stock as expensive. The firm boasts an impressive ROIC of 52.96%, far exceeding its WACC of 9.39%, reflecting efficient capital allocation. It pays no dividends, instead reinvesting heavily in R&D for growth.
monday.com Ltd.
monday.com reports a modest net margin of 3.33% and a positive but low ROE of 3.14%. Its valuation is stretched with a P/E of 362.98 and a high P/B of 11.41, suggesting overvaluation. The company maintains a strong liquidity position (current ratio 2.66) and focuses on growth through significant R&D spending, foregoing dividends for reinvestment.
Premium Valuation vs. Operational Safety
Fair Isaac’s solid profitability and efficient capital returns contrast with monday.com’s stretched valuation and weaker margins. FICO offers a better risk-reward balance due to strong cash flow and capital efficiency. Investors seeking operational safety and proven returns may prefer FICO’s profile, while growth-focused investors face higher risks with monday.com.
Which one offers the Superior Shareholder Reward?
Fair Isaac Corporation (FICO) and monday.com Ltd. (MNDY) both forgo dividends, focusing shareholder returns on share buybacks and reinvestment. FICO’s zero payout ratio contrasts with no dividend yield, but it showcases strong free cash flow coverage (near 99%) and substantial buyback capacity. MNDY also pays no dividends and reinvests heavily into growth, reflected in its negative profit margins and high operating leverage. FICO’s buyback activity and robust free cash flow suggest a more sustainable shareholder reward model than MNDY’s growth-first approach, which carries higher execution risk. Historically, firms like FICO with disciplined capital allocation and strong cash flow outperform peers. I conclude FICO offers a superior total return profile in 2026.
Comparative Score Analysis: The Strategic Profile
The radar chart reveals the fundamental DNA and trade-offs of Fair Isaac Corporation and monday.com Ltd., highlighting their core financial strengths and weaknesses:
Fair Isaac Corporation shows a polarized profile with strong asset utilization (ROA: 5) but weak equity returns (ROE: 1) and a fragile debt position (Debt/Equity: 1). monday.com Ltd. presents a more balanced approach, with moderate scores across DCF, ROE, ROA, and debt metrics. Fair Isaac relies heavily on efficient asset use, while monday.com delivers steadier overall financial health.
Bankruptcy Risk: Solvency Showdown
Fair Isaac’s Altman Z-Score of 12.2 vastly outperforms monday.com’s 5.9, signaling superior long-term solvency and financial resilience in this cycle:
Financial Health: Quality of Operations
With a Piotroski F-Score of 7, Fair Isaac exhibits stronger operational quality and fewer red flags compared to monday.com’s average score of 5, suggesting more robust internal financial controls:
How are the two companies positioned?
This section dissects the operational DNA of FICO and MNDY by comparing their revenue distribution and internal dynamics. The goal is to confront their economic moats to identify which model offers the most resilient competitive advantage today.
Revenue Segmentation: The Strategic Mix
This visual comparison dissects how Fair Isaac Corporation and monday.com Ltd. diversify their income streams and where their primary sector bets lie:
Fair Isaac Corporation pivots on two key segments: Scores and Software/Applications. In 2025, Scores generated $1.17B, slightly dwarfing Applications at $822M, showing a balanced yet concentrated approach. monday.com Ltd. lacks available segment data, preventing direct diversification comparison. FICO’s mix suggests ecosystem lock-in via credit scoring dominance, but its reliance on two segments implies moderate concentration risk amid evolving fintech landscapes.
Strengths and Weaknesses Comparison
This table compares the Strengths and Weaknesses of Fair Isaac Corporation and monday.com Ltd.:
FICO Strengths
- High net margin at 32.75%
- Strong ROIC at 52.96%, exceeding WACC
- Favorable asset turnover and fixed asset turnover
- Low debt-to-equity ratio at -1.76
- Significant revenue diversity across Americas, EMEA, Asia Pacific
MNDY Strengths
- Strong liquidity with current and quick ratios at 2.66
- Low debt-to-assets at 6.29%
- Infinite interest coverage ratio
- Favorable fixed asset turnover
- Positive debt-to-equity ratio at 0.1
FICO Weaknesses
- Negative ROE at -37.34% indicates weak equity returns
- High debt-to-assets at 164.6% signals leverage risk
- Low current ratio at 0.83 hints liquidity concerns
- Unfavorable P/E at 55.64 and zero dividend yield
- Negative price-to-book ratio
MNDY Weaknesses
- Low net margin at 3.33% and negative ROIC at -1.73%
- Unfavorable P/E at 362.98 and high price-to-book at 11.41
- Low profitability ratios suggest operational challenges
- Zero dividend yield despite liquidity strength
Overall, FICO demonstrates strong profitability and capital efficiency but faces leverage and liquidity risks. Monday.com shows solid liquidity and low leverage but struggles with profitability and valuation metrics. These factors highlight differing strategic priorities and financial health profiles for each company.
The Moat Duel: Analyzing Competitive Defensibility
Structural moats protect long-term profits from relentless competitive pressure. Without them, market advantages erode quickly:
Fair Isaac Corporation (FICO): Intangible Assets Moat
FICO’s moat stems from proprietary analytics and scoring models. It shows margin stability and ROIC well above WACC. New decision management products in 2026 could deepen this advantage.
monday.com Ltd. (MNDY): Network Effects Moat
monday.com leverages a growing user base and platform stickiness. Unlike FICO, its ROIC lags WACC, but rapid revenue and margin expansion signal strengthening competitive positioning and market disruption potential.
Intangible Assets vs. Network Effects: The Moat Showdown
FICO’s deeper moat centers on durable intellectual property and high-value analytics. monday.com’s moat is emerging but remains financially less robust. FICO is better equipped to defend its market share long term.
Which stock offers better returns?
Over the past 12 months, Fair Isaac Corporation’s stock showed a bullish trend with notable price gains, while monday.com Ltd. experienced a marked bearish decline with accelerating losses in recent months.
Trend Comparison
Fair Isaac Corporation’s stock rose 12.51% over 12 months, marking a bullish trend with decelerating momentum and high volatility. The price peaked at 2375.03 and bottomed at 1110.85.
monday.com Ltd. declined 47.95% in the same period, reflecting a bearish trend with decelerating losses. Its stock ranged between 324.31 and 114.75, showing lower volatility than Fair Isaac.
Fair Isaac Corporation outperformed monday.com Ltd., delivering the highest market returns and a more resilient price trend over the past year.
Target Prices
Analysts set a clear upside potential for both Fair Isaac Corporation and monday.com Ltd.
| Company | Target Low | Target High | Consensus |
|---|---|---|---|
| Fair Isaac Corporation | 1640 | 2400 | 2115 |
| monday.com Ltd. | 194 | 310 | 251 |
Fair Isaac’s consensus target is 45% above its current 1463 price, signaling strong growth expectations. monday.com’s 251 target suggests a 119% upside from its 114.75 market price, reflecting high bullish sentiment.
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How do institutions grade them?
Here is a summary of the latest institutional grades for both companies:
Fair Isaac Corporation Grades
The table below shows recent analyst grades for Fair Isaac Corporation (FICO):
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Needham | Maintain | Buy | 2026-01-29 |
| Jefferies | Maintain | Buy | 2026-01-16 |
| Wells Fargo | Maintain | Overweight | 2026-01-14 |
| JP Morgan | Maintain | Neutral | 2025-11-06 |
| Baird | Maintain | Outperform | 2025-11-06 |
| Jefferies | Maintain | Buy | 2025-11-06 |
| BMO Capital | Maintain | Outperform | 2025-11-06 |
| Wells Fargo | Maintain | Overweight | 2025-10-14 |
| Barclays | Maintain | Overweight | 2025-10-02 |
| Needham | Maintain | Buy | 2025-10-02 |
monday.com Ltd. Grades
The table below shows recent analyst grades for monday.com Ltd. (MNDY):
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Morgan Stanley | Maintain | Overweight | 2026-01-27 |
| Keybanc | Maintain | Overweight | 2026-01-22 |
| BTIG | Maintain | Buy | 2026-01-15 |
| Barclays | Maintain | Overweight | 2026-01-12 |
| Jefferies | Maintain | Buy | 2026-01-05 |
| Citigroup | Maintain | Buy | 2025-12-23 |
| Tigress Financial | Maintain | Buy | 2025-12-11 |
| DA Davidson | Maintain | Buy | 2025-11-11 |
| JP Morgan | Maintain | Overweight | 2025-11-11 |
| Jefferies | Maintain | Buy | 2025-11-11 |
Which company has the best grades?
Both companies receive predominantly positive grades, but Fair Isaac Corporation has more “Buy” and “Outperform” ratings, while monday.com holds mainly “Buy” and “Overweight” grades. FICO’s broader analyst consensus could imply stronger institutional confidence, affecting investor perception of stability and growth potential.
Risks specific to each company
The following categories identify the critical pressure points and systemic threats facing both firms in the 2026 market environment:
1. Market & Competition
Fair Isaac Corporation (FICO)
- Operates in mature analytics and decision software markets with strong incumbents; faces pricing pressure and innovation demands.
monday.com Ltd. (MNDY)
- Competes in fast-evolving cloud work management with aggressive SaaS rivals; faces high customer churn risk.
2. Capital Structure & Debt
Fair Isaac Corporation (FICO)
- Elevated debt-to-assets ratio at 165% signals heavy leverage risk despite favorable interest coverage.
monday.com Ltd. (MNDY)
- Low debt levels with 6.3% debt-to-assets ratio indicate prudent capital structure and manageable financial risk.
3. Stock Volatility
Fair Isaac Corporation (FICO)
- Beta of 1.29 suggests above-market volatility; price range shows significant downside since peak.
monday.com Ltd. (MNDY)
- Beta at 1.26 also signals heightened volatility; wide price range reflects investor uncertainty and growth speculation.
4. Regulatory & Legal
Fair Isaac Corporation (FICO)
- Subject to data privacy and compliance regulations across multiple jurisdictions; legacy contracts may add legal complexity.
monday.com Ltd. (MNDY)
- Faces regulatory scrutiny typical for cloud providers; evolving international data laws may impact operational flexibility.
5. Supply Chain & Operations
Fair Isaac Corporation (FICO)
- Relies on software development talent and data infrastructure; risks include talent retention and platform stability.
monday.com Ltd. (MNDY)
- Cloud-based SaaS delivery depends on third-party cloud providers; operational risks include service outages and scalability challenges.
6. ESG & Climate Transition
Fair Isaac Corporation (FICO)
- Limited direct environmental footprint; risks focused on governance and data ethics standards compliance.
monday.com Ltd. (MNDY)
- Increasing pressure to meet ESG standards in technology sector; climate transition risks tied to energy consumption of cloud services.
7. Geopolitical Exposure
Fair Isaac Corporation (FICO)
- US headquarters with global presence; exposed to trade tensions and regional regulatory shifts especially in EMEA and APAC.
monday.com Ltd. (MNDY)
- Israeli base with international markets; geopolitical tensions in Middle East and data sovereignty laws present risks.
Which company shows a better risk-adjusted profile?
Fair Isaac’s highest risk lies in its stretched capital structure, posing financial vulnerability despite strong operational metrics. monday.com’s biggest concern is intense market competition and stock volatility, reflecting growth uncertainty. Overall, monday.com offers a cleaner balance sheet but faces greater execution risk. Fair Isaac’s extreme leverage demands cautious risk management despite solid profitability. The recent surge in Fair Isaac’s debt-to-assets ratio to 165% starkly contrasts with monday.com’s conservative 6.3%, justifying heightened concern for Fair Isaac’s financial stability.
Final Verdict: Which stock to choose?
Fair Isaac Corporation (FICO) stands out as a cash-generating powerhouse with a durable moat. Its exceptional return on invested capital signals efficient capital allocation and value creation. However, its low current ratio warrants caution as a liquidity risk. FICO suits an aggressive growth portfolio seeking quality with a premium.
monday.com Ltd. (MNDY) shines through its strategic moat in recurring revenue and strong balance sheet safety. Despite a weaker profitability profile and elevated valuation multiples, its robust liquidity and improving cash flows make it appealing for a GARP (Growth at a Reasonable Price) strategy. MNDY offers more stability than FICO in turbulent markets.
If you prioritize long-term value creation and can stomach short-term liquidity concerns, FICO outshines with its superior profitability and economic moat. However, if you seek a safer growth play with solid liquidity and a pathway to profitability, MNDY offers better stability despite its current valuation premium.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of Fair Isaac Corporation and monday.com Ltd. to enhance your investment decisions:
