FICO Shares Plummet $4 Billion Following FHFA Director's Mortgage Pricing Announcement

FICO shares dropped over 30% on September 28, wiping out more than $4 billion in market capitalization after Bill Pulte, director of the Federal Housing Finance Agency, announced that Fannie Mae and Freddie Mac will move to a single pricing grid that includes VantageScore 4.0 alongside FICO Classic. Rocket Mortgage subsequently announced it would default to VantageScore 4.0 for eligible loans starting in the fourth quarter, citing potential savings for applicants. FICO stock has declined 46% since the beginning of September.