Fiserv (NasdaqGS:FISV) - Share price, News & Analysis

FISV fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	2/6
Past Performance	5/6
Financial Health	3/6
Dividends	0/6

FISV Stock Overview

Fiserv, Inc., together with its subsidiaries, provides payment and financial services technology worldwide.

Rewards

Trading at 46.3% below our estimate of its fair value

Earnings are forecast to grow 18.34% per year

Earnings grew by 95.3% over the past year

Risk Analysis

Debt is not well covered by operating cash flow

Fiserv Competitors

Visa

NYSE:V

US$415.0b

Mastercard

NYSE:MA

US$323.7b

PayPal Holdings

NasdaqGS:PYPL

US$91.3b

Automatic Data Processing

NasdaqGS:ADP

US$87.2b

Price History & Performance

Summary of all time highs, changes and price drops for Fiserv
Historical stock prices
Current Share Price	US$96.17
52 Week High	US$119.86
52 Week Low	US$89.91
Beta	0.79
1 Month Change	-3.51%
3 Month Change	-1.76%
1 Year Change	-15.94%
3 Year Change	10.16%
5 Year Change	59.38%
Change since IPO	20,280.23%

Recent News & Updates

May 09

Fiserv: Quietly Securing Its Leading Position

As high growth stocks are getting hammered, profitable businesses with solid competitive advantages are once again in the spotlight. Proceeds from Fiserv's legacy businesses are used to secure the company's leading position over the long-term. At the same time, the company remains very conservatively priced relative to peers.

Shareholder Returns

	FISV	US IT	US Market
7D	0.5%	-2.3%	-2.5%
1Y	-15.9%	-26.4%	-10.4%

Return vs Industry: FISV exceeded the US IT industry which returned -26.4% over the past year.

Return vs Market: FISV underperformed the US Market which returned -10.4% over the past year.

Price Volatility

Is FISV's price volatile compared to industry and market?
FISV volatility
FISV Average Weekly Movement	4.6%
IT Industry Average Movement	10.2%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.7%
10% least volatile stocks in US Market	2.8%

Stable Share Price: FISV is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: FISV's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1984	44,000	Frank Bisignano	https://www.fiserv.com

Fiserv, Inc., together with its subsidiaries, provides payment and financial services technology worldwide. The company operates through Acceptance, Fintech, and Payments segments. The Acceptance segment provides point-of-sale merchant acquiring and digital commerce services; mobile payment services; security and fraud protection products; Carat, an omnichannel commerce solution; Clover, a cloud-based point-of-sale and business management platform; and Clover Connect, an independent software vendors platform.

Fiserv Fundamentals Summary

How do Fiserv's earnings and revenue compare to its market cap?
FISV fundamental statistics
Market Cap	US$62.16b
Earnings (TTM)	US$1.70b
Revenue (TTM)	US$16.61b

36.6x

P/E Ratio

3.7x

P/S Ratio

Is FISV overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FISV income statement (TTM)
Revenue	US$16.61b
Cost of Revenue	US$8.19b
Gross Profit	US$8.42b
Other Expenses	US$6.72b
Earnings	US$1.70b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	2.63
Gross Margin	50.67%
Net Profit Margin	10.23%
Debt/Equity Ratio	63.2%

How did FISV perform over the long term?

See historical performance and comparison

Valuation

Is Fiserv undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

46.3%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: FISV ($96.17) is trading below our estimate of fair value ($179.07)

Significantly Below Fair Value: FISV is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: FISV is poor value based on its PE Ratio (36.6x) compared to the US IT industry average (26.3x).

PE vs Market: FISV is poor value based on its PE Ratio (36.6x) compared to the US market (15.5x).

Price to Earnings Growth Ratio

PEG Ratio: FISV is poor value based on its PEG Ratio (2x)

Price to Book Ratio

PB vs Industry: FISV is good value based on its PB Ratio (2x) compared to the US IT industry average (3.1x).

Future Growth

How is Fiserv forecast to perform in the next 1 to 3 years based on estimates from 28 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

18.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: FISV's forecast earnings growth (18.3% per year) is above the savings rate (1.9%).

Earnings vs Market: FISV's earnings (18.3% per year) are forecast to grow faster than the US market (12.6% per year).

High Growth Earnings: FISV's earnings are forecast to grow, but not significantly.

Revenue vs Market: FISV's revenue (6.6% per year) is forecast to grow slower than the US market (8% per year).

High Growth Revenue: FISV's revenue (6.6% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: FISV's Return on Equity is forecast to be low in 3 years time (13.4%).

Past Performance

How has Fiserv performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

2.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: FISV has high quality earnings.

Growing Profit Margin: FISV's current net profit margins (10.2%) are higher than last year (5.9%).

Past Earnings Growth Analysis

Earnings Trend: FISV's earnings have grown by 2.7% per year over the past 5 years.

Accelerating Growth: FISV's earnings growth over the past year (95.3%) exceeds its 5-year average (2.7% per year).

Earnings vs Industry: FISV earnings growth over the past year (95.3%) exceeded the IT industry 21.9%.

Return on Equity

High ROE: FISV's Return on Equity (5.5%) is considered low.

Financial Health

How is Fiserv's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: FISV's short term assets ($18.4B) exceed its short term liabilities ($17.7B).

Long Term Liabilities: FISV's short term assets ($18.4B) do not cover its long term liabilities ($25.6B).

Debt to Equity History and Analysis

Debt Level: FISV's net debt to equity ratio (54.4%) is considered high.

Reducing Debt: FISV's debt to equity ratio has reduced from 191.4% to 63.2% over the past 5 years.

Debt Coverage: FISV's debt is not well covered by operating cash flow (19.2%).

Interest Coverage: FISV's interest payments on its debt are well covered by EBIT (3.7x coverage).

Balance Sheet

Dividend

What is Fiserv current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate FISV's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate FISV's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if FISV's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FISV's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as FISV has not reported any payouts.

Next Steps

Explore strong dividend paying companies in the Software industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure

CEO

Frank Bisignano (62 yo)

2.83yrs

Tenure

US$20,385,208

Compensation

Mr. Frank J. Bisignano serves as the Chief Executive Officer at Fiserv, Inc. July 1, 2020. Mr. Bisignano serves as the Chief Executive Officer at FDGS Group, LLC and FundsXpress Financial Network, Inc. Mr....

CEO Compensation Analysis

Compensation vs Market: Frank's total compensation ($USD20.39M) is above average for companies of similar size in the US market ($USD13.26M).

Compensation vs Earnings: Frank's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: FISV's management team is considered experienced (2.8 years average tenure).

Board Members

Experienced Board: FISV's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/15 00:00
End of Day Share Price	2022/05/13 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31