Which is better, ARM or FICO?

On the Buffett-Fit framework, Fair Isaac Corporation (FICO) currently grades higher than ARM — 85/100 (A grade) vs 46/100 (D). That said, "better" depends on which framework you trust — ARM wins on none; FICO wins on Warren Buffett, Benjamin Graham, Philip Fisher, Peter Lynch, Joel Greenblatt, Charlie Munger, and Terry Smith. The full pillar breakdown is on this page.

Should I buy ARM or FICO?

This page is an educational comparison, not investment advice. Both ARM and FICO are graded against the same Buffett 5-pillar framework (moat, earnings durability, management quality, financial health, valuation) plus six other documented investor frameworks. Read the side-by-side breakdown to see which one matches the criteria you care about most — and always do your own research before making any investment decision.

Is ARM better than FICO for value investing?

On the Buffett-style value-investing framework, FICO currently grades higher — 85/100 vs 46/100, a 39-point gap. The gap is driven by which pillars each stock passes; the table on this page shows moat, durability, management, financial health, and valuation side-by-side.

What's the difference between ARM and FICO on Warren Buffett's framework?

Both stocks are evaluated on the same five pillars: economic moat (durable competitive advantage), earnings durability (consistent profitability), management quality (capital allocation), financial health (conservative balance sheet), and valuation (margin of safety). ARM currently scores 46/100 (D grade); FICO scores 85/100 (A grade). The "Where each wins" section on this page breaks down which pillar each stock dominates.

Which has the stronger moat, ARM or FICO?

Moat strength is one of the five pillars in the Buffett-Fit score on this page. ARM and FICO are each scored on ROIC sustainability, gross-margin durability, and qualitative signals like brand strength, switching costs, network effects, and regulatory barriers. The pillar breakdown on this page shows the moat sub-score side-by-side so you can see which one has the more durable competitive advantage.

Which is more undervalued, ARM or FICO?

Valuation is one of the five Buffett-Fit pillars on this page. Both stocks are scored on owner-earnings yield, price-to-intrinsic-value vs the underlying compounding rate, and the margin of safety relative to a conservative DCF. The valuation sub-score in the table below tells you which one currently trades at a more attractive price relative to its underlying business quality.

Are ARM and FICO both Technology stocks?

Yes — both Arm Holdings plc American Depositary Shares (ARM) and Fair Isaac Corporation (FICO) operate in the Technology sector. That makes this a direct sector-peer comparison, which is the apples-to-apples way to use the Buffett-Fit framework: the score weighs each stock against its sector's specific quality and valuation benchmarks (sector-relative bonus), so the cross-stock comparison isn't distorted by inter-sector base-rate differences.

Is this ARM vs FICO comparison investment advice?

No. This page is an educational pattern-match against documented public frameworks (Buffett, Graham, Fisher, Lynch, Greenblatt, Munger, Smith), not personalised investment advice. The scores reflect how closely each stock matches each framework's documented criteria — they are not buy/hold/sell recommendations. Always do your own research and consult a licensed financial adviser for personalised advice.

Stock comparison

Arm Holdings

Fair Isaac

Scored across Buffett, Graham, Lynch and Greenblatt - plus a side-by-side metric table covering valuation, quality, growth and balance sheet.

ARM

Arm Holdings

Market cap

$300.42B

Sector

Technology

FICO

Fair Isaac

Market cap

$28.48B

Sector

Technology

Overall winner

Fair Isaac FICO

Wins on the combined sum of fit scores across all four strategies. Per-strategy breakdown below.

Fit scores by strategy

Strategy	ARM	FICO	Winner
Warren Buffett	46D	85A	FICO
Benjamin Graham	80A	88A	FICO
Philip Fisher	63C	85A	FICO
Peter Lynch	54C	70B	FICO
Joel Greenblatt	10F	94C	FICO
Charlie Munger	52D	91A	FICO
Terry Smith	56D	95A	FICO

Side-by-side metrics

Metric	ARM	FICO
Market cap	$300.42B	$28.48B
P/E (TTM)	332.0x	33.8x
EV/EBIT	328.3x	30.9x
ROIC (TTM)	7.26%	53.2%
Gross margin	94.63%	84.16%
Net margin	18.37%	33.67%
Revenue CAGR 5y	16.15%	10.89%
EPS CAGR 5y	12.01%	18.48%
Debt / Equity	0.1x	-
Dividend yield	0.0%	0.0%

Where each one wins

The metrics with the biggest gap between the two - sorted so the most decisive edges read first.

ARM leads on

Market cap$300.42Bvs $28.48B+91%
Revenue CAGR 5y16.15%vs 10.89%+33%
Gross margin94.63%vs 84.16%+11%

FICO leads on

Debt / Equity-vs 0.1x+103%
EV/EBIT30.9xvs 328.3x+91%
P/E (TTM)33.8xvs 332.0x+90%
ROIC (TTM)53.2%vs 7.26%+86%

More like ARM

ARM vs FTNT ARM vs KLAC ARM vs CDNS ARM vs NP ARM vs 6920.T ARM vs APP

More like FICO

FICO vs FTNT FICO vs KLAC FICO vs CDNS FICO vs NP FICO vs 6920.T FICO vs APP

Read the full Buffett-Brain analysis for ARM Read the full Buffett-Brain analysis for FICO

Related on invest-like

Strongest Moat Highest ROIC Warren Buffett strategy Economic Moat

Key terms in this analysis

ROIC Free Cash Flow (FCF)Economic Moat P/E Ratio Margin of Safety Quality Score

Educational tool. Fit scores are deterministic projections from public financials onto each investor's published criteria - not personal recommendations or advice.

Stock comparison

Arm Holdings

Fair Isaac

Scored across Buffett, Graham, Lynch and Greenblatt - plus a side-by-side metric table covering valuation, quality, growth and balance sheet.

ARM

Arm Holdings

Market cap

$300.42B

Sector

Technology

FICO

Fair Isaac

Market cap

$28.48B

Sector

Technology

Overall winner

Fair Isaac FICO

Wins on the combined sum of fit scores across all four strategies. Per-strategy breakdown below.

Fit scores by strategy

Strategy	ARM	FICO	Winner
Warren Buffett	46D	85A	FICO
Benjamin Graham	80A	88A	FICO
Philip Fisher	63C	85A	FICO
Peter Lynch	54C	70B	FICO
Joel Greenblatt	10F	94C	FICO
Charlie Munger	52D	91A	FICO
Terry Smith	56D	95A	FICO

Side-by-side metrics

Metric	ARM	FICO
Market cap	$300.42B	$28.48B
P/E (TTM)	332.0x	33.8x
EV/EBIT	328.3x	30.9x
ROIC (TTM)	7.26%	53.2%
Gross margin	94.63%	84.16%
Net margin	18.37%	33.67%
Revenue CAGR 5y	16.15%	10.89%
EPS CAGR 5y	12.01%	18.48%
Debt / Equity	0.1x	-
Dividend yield	0.0%	0.0%

Where each one wins

The metrics with the biggest gap between the two - sorted so the most decisive edges read first.

ARM leads on

Market cap$300.42Bvs $28.48B+91%
Revenue CAGR 5y16.15%vs 10.89%+33%
Gross margin94.63%vs 84.16%+11%

FICO leads on

Debt / Equity-vs 0.1x+103%
EV/EBIT30.9xvs 328.3x+91%
P/E (TTM)33.8xvs 332.0x+90%
ROIC (TTM)53.2%vs 7.26%+86%

More like ARM

ARM vs FTNT ARM vs KLAC ARM vs CDNS ARM vs NP ARM vs 6920.T ARM vs APP

More like FICO

FICO vs FTNT FICO vs KLAC FICO vs CDNS FICO vs NP FICO vs 6920.T FICO vs APP

Read the full Buffett-Brain analysis for ARM Read the full Buffett-Brain analysis for FICO

Related on invest-like

Strongest Moat Highest ROIC Warren Buffett strategy Economic Moat

Key terms in this analysis

ROIC Free Cash Flow (FCF)Economic Moat P/E Ratio Margin of Safety Quality Score

Educational tool. Fit scores are deterministic projections from public financials onto each investor's published criteria - not personal recommendations or advice.