NICE Ltd American Depositary Shares (NICE)

FairStock Score: 86/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at NICE as a software company selling AI-powered cloud platforms for customer engagement and financial crime and compliance, with 9,626 employees and two segments. The balance sheet is a comfort: debt-to-equity is only 0.02, and trailing free cash flow is $561.5M, a 9.5% FCF yield at the 2026-10-13 close of $114.95. In the latest filed quarter, fiscal Q2 2026, revenue was $782.3M and net income was $83.2M, a 10.64% net margin. However, the supplied growth figures show revenue up 7.65% but profit down 55.59%, so profitability is the weak spot. Returns are only moderate: FairStock calculations show ROE 11.33% and ROCE 6.96%, while its P/B at that close is 44.73, leaving almost no book-value floor. At the same close, FairStock's P/E is 16.73, EV/EBITDA 7.07, Graham Number $99.83, and margin of safety -15.15%, so the price is above that conservative estimate. The Piotroski F-Score is 6/9 and Altman Z-Score 2.94, neither alarming nor fortress-like. FairStock Score is 86/100, but its Lynch category is none because only 0 years of filed annual results exist and 3 are needed. I see a cash-generative business priced for modest improvement, not a classic Graham bargain. The central question is whether the sharp profit decline is temporary or structural.

In plain English: NICE makes AI-powered software that helps companies handle customer service and fight financial crime. Sales are still growing, but profits fell sharply from a year earlier, and the latest quarter was profitable. At the recent price, the shares look roughly fair to a bit expensive compared with the company's earnings and accounting value, even though the business generates solid cash.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer