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First Data

NYSE:FDC
Snowflake Description

Mediocre balance sheet with questionable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
FDC
NYSE
$24B
Market Cap
  1. Home
  2. US
  3. Software
Company description

First Data Corporation provides commerce enabled technology and solutions for merchants, financial institutions, and card issuers in the United States, Canada, Europe, the Middle East, Africa, Latin America, and the Asia Pacific. The last earnings update was 16 days ago. More info.


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FDC Share Price and Events
7 Day Returns
1.1%
NYSE:FDC
-2.7%
US IT
-3.9%
US Market
1 Year Returns
31.8%
NYSE:FDC
16.2%
US IT
1.4%
US Market
FDC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
First Data (FDC) 1.1% 1.5% -0.5% 31.8% 132.3% -
US IT -2.7% -2.7% 7.3% 16.2% 78.2% 98.8%
US Market -3.9% -3.6% 1.8% 1.4% 35.8% 40.8%
1 Year Return vs Industry and Market
  • FDC outperformed the IT industry which returned 16.2% over the past year.
  • FDC outperformed the Market in United States of America which returned 1.4% over the past year.
Price Volatility
FDC
Industry
5yr Volatility vs Market

FDC Value

 Is First Data undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of First Data to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for First Data.

NYSE:FDC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 22 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 11.3%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:FDC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
IT Unlevered Beta Simply Wall St/ S&P Global 1.06
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.056 (1 + (1- 21%) (72.65%))
1.444
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.44
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.444 * 5.96%)
11.34%

Discounted Cash Flow Calculation for NYSE:FDC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for First Data is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:FDC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 11.34%)
2019 1,675.71 Analyst x7 1,505.10
2020 1,835.88 Analyst x8 1,481.07
2021 2,034.67 Analyst x3 1,474.32
2022 2,107.00 Analyst x1 1,371.29
2023 2,175.81 Est @ 3.27% 1,271.90
2024 2,243.37 Est @ 3.1% 1,177.87
2025 2,310.50 Est @ 2.99% 1,089.61
2026 2,377.82 Est @ 2.91% 1,007.19
2027 2,445.79 Est @ 2.86% 930.50
2028 2,514.77 Est @ 2.82% 859.33
Present value of next 10 years cash flows $12,168.20
NYSE:FDC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $2,514.77 × (1 + 2.73%) ÷ (11.34% – 2.73%)
$30,020.63
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $30,020.63 ÷ (1 + 11.34%)10
$10,258.50
NYSE:FDC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $12,168.20 + $10,258.50
$22,426.70
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $22,426.70 / 943.72
$23.76
NYSE:FDC Discount to Share Price
Calculation Result
Value per share (USD) From above. $23.76
Current discount Discount to share price of $25.44
= -1 x ($25.44 - $23.76) / $23.76
-7.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of First Data is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for First Data's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are First Data's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:FDC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $1.15
NYSE:FDC Share Price ** NYSE (2019-05-15) in USD $25.44
United States of America IT Industry PE Ratio Median Figure of 77 Publicly-Listed IT Companies 31.21x
United States of America Market PE Ratio Median Figure of 3,087 Publicly-Listed Companies 17.79x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of First Data.

NYSE:FDC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:FDC Share Price ÷ EPS (both in USD)

= 25.44 ÷ 1.15

22.11x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • First Data is good value based on earnings compared to the US IT industry average.
  • First Data is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does First Data's expected growth come at a high price?
Raw Data
NYSE:FDC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 22.11x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts
16.4%per year
United States of America IT Industry PEG Ratio Median Figure of 65 Publicly-Listed IT Companies 2.21x
United States of America Market PEG Ratio Median Figure of 2,113 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NYSE:FDC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 22.11x ÷ 16.4%

1.35x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • First Data is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on First Data's assets?
Raw Data
NYSE:FDC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $4.64
NYSE:FDC Share Price * NYSE (2019-05-15) in USD $25.44
United States of America IT Industry PB Ratio Median Figure of 125 Publicly-Listed IT Companies 4.45x
United States of America Market PB Ratio Median Figure of 5,195 Publicly-Listed Companies 1.83x
NYSE:FDC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:FDC Share Price ÷ Book Value per Share (both in USD)

= 25.44 ÷ 4.64

5.49x

* Primary Listing of First Data.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • First Data is overvalued based on assets compared to the US IT industry average.
X
Value checks
We assess First Data's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. First Data has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

FDC Future Performance

 How is First Data expected to perform in the next 1 to 3 years based on estimates from 22 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is First Data expected to grow at an attractive rate?
  • First Data's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • First Data's earnings growth is expected to exceed the United States of America market average.
  • First Data's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:FDC Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:FDC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts 16.4%
NYSE:FDC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 22 Analysts 6.1%
United States of America IT Industry Earnings Growth Rate Market Cap Weighted Average 16.2%
United States of America IT Industry Revenue Growth Rate Market Cap Weighted Average 10.1%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:FDC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:FDC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 11,326 3,167 1,683 1
2021-12-31 10,128 2,935 1,477 5
2020-12-31 9,527 2,685 1,262 21
2019-12-31 9,015 2,531 1,021 22
NYSE:FDC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 8,719 2,388 1,073
2018-12-31 8,679 2,307 1,005
2018-09-30 8,617 2,274 1,791
2018-06-30 8,540 2,184 1,686
2018-03-31 8,331 2,160 1,530
2017-12-31 8,129 2,047 1,465
2017-09-30 7,991 2,033 709
2017-06-30 7,910 2,204 545
2017-03-31 7,851 2,146 512
2016-12-31 7,839 2,111 420
2016-09-30 7,860 1,768 -989
2016-06-30 7,842 1,250 -1,247

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • First Data's earnings are expected to grow by 16.4% yearly, however this is not considered high growth (20% yearly).
  • First Data's revenue is expected to grow by 6.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:FDC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below

All data from First Data Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:FDC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31 1.87 1.87 1.87 1.00
2021-12-31 1.52 1.58 1.49 4.00
2020-12-31 1.34 1.73 1.21 9.00
2019-12-31 1.07 1.30 0.95 11.00
NYSE:FDC Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 1.15
2018-12-31 1.08
2018-09-30 1.93
2018-06-30 1.83
2018-03-31 1.66
2017-12-31 1.60
2017-09-30 0.78
2017-06-30 0.60
2017-03-31 0.57
2016-12-31 0.47
2016-09-30 -1.09
2016-06-30 -1.37

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • First Data is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess First Data's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
First Data has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

FDC Past Performance

  How has First Data performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare First Data's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • First Data has delivered over 20% year on year earnings growth in the past 5 years.
  • First Data's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • First Data's 1-year earnings growth is negative, it can't be compared to the US IT industry average.
Earnings and Revenue History
First Data's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from First Data Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:FDC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 8,719.00 1,073.00 2,663.00
2018-12-31 8,679.00 1,005.00 2,642.00
2018-09-30 8,617.00 1,791.00 2,562.00
2018-06-30 8,540.00 1,686.00 2,462.00
2018-03-31 8,331.00 1,530.00 2,294.00
2017-12-31 8,129.00 1,465.00 2,172.00
2017-09-30 7,991.00 709.00 2,083.00
2017-06-30 7,910.00 545.00 2,017.00
2017-03-31 7,851.00 512.00 1,996.00
2016-12-31 7,839.00 420.00 2,045.00
2016-09-30 7,860.00 -989.00 2,210.00
2016-06-30 7,842.00 -1,247.00 2,232.00
2016-03-31 7,812.00 -1,425.00 2,258.00
2015-12-31 7,764.00 -1,481.00 2,214.00
2015-09-30 7,722.00 -252.00 2,072.00
2015-06-30 7,644.00 -361.00 2,102.00
2015-03-31 7,605.00 -369.00 2,088.00
2014-12-31 7,548.00 -458.00 2,043.00
2014-09-30 7,462.70 -676.00 2,097.90
2014-06-30 7,394.40 -660.50 2,010.50
2014-03-31 7,320.90 -732.60 1,991.70
2013-12-31 7,302.00 -952.00 1,980.00
2013-09-30 7,308.60 -925.00 1,872.20
2013-06-30 7,302.50 -917.50 1,876.50
2013-03-31 7,308.20 -885.80 1,842.20
2012-12-31 7,318.00 -736.00 1,913.00
2012-09-30 7,304.90 -591.20 1,809.00
2012-06-30 7,287.30 -433.10 1,748.80

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • First Data has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • First Data used its assets less efficiently than the US IT industry average last year based on Return on Assets.
  • First Data has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess First Data's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
First Data has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

FDC Health

 How is First Data's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up First Data's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • First Data is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • First Data's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of First Data's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from First Data Company Filings, last reported 1 month ago.

NYSE:FDC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 7,257.00 17,441.00 619.00
2018-12-31 7,044.00 17,599.00 555.00
2018-09-30 6,944.00 17,755.00 601.00
2018-06-30 6,485.00 18,617.00 544.00
2018-03-31 6,290.00 19,012.00 586.00
2017-12-31 6,086.00 19,198.00 498.00
2017-09-30 5,036.00 18,649.00 502.00
2017-06-30 4,600.00 18,307.00 493.00
2017-03-31 4,349.00 18,624.00 503.00
2016-12-31 4,204.00 18,489.00 385.00
2016-09-30 4,046.00 18,891.00 475.00
2016-06-30 3,819.00 19,136.00 282.00
2016-03-31 3,684.00 19,461.00 311.00
2015-12-31 3,737.00 19,649.00 429.00
2015-09-30 2,064.00 21,177.00 368.00
2015-06-30 2,288.00 21,028.00 348.00
2015-03-31 2,430.00 21,137.00 340.00
2014-12-31 2,600.00 20,858.00 358.00
2014-09-30 3,145.10 20,947.70 408.70
2014-06-30 1,483.40 22,898.50 548.70
2014-03-31 1,538.40 23,138.90 415.30
2013-12-31 1,644.00 22,760.00 425.00
2013-09-30 1,867.80 22,930.30 365.30
2013-06-30 2,021.60 22,753.40 364.10
2013-03-31 2,266.50 22,816.00 440.90
2012-12-31 2,693.80 22,923.70 609.30
2012-09-30 2,908.40 22,789.60 477.00
2012-06-30 3,028.50 22,756.20 484.40
  • First Data's level of debt (240.3%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (1504.5% vs 240.3% today).
  • Debt is not well covered by operating cash flow (13.7%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.3x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess First Data's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. First Data has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

FDC Dividends

 What is First Data's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from First Data dividends. Estimated to be 0% next year.
If you bought $2,000 of First Data shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate First Data's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate First Data's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:FDC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
United States of America IT Industry Average Dividend Yield Market Cap Weighted Average of 34 Stocks 1.4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1997 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:FDC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31 0.00 1.00
2020-12-31 0.00 1.00
2019-12-31 0.00 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as First Data has not reported any payouts.
  • Unable to verify if First Data's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of First Data's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as First Data has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of First Data's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess First Data's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can First Data afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. First Data has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

FDC Management

 What is the CEO of First Data's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Frank Bisignano
COMPENSATION $12,139,288
AGE 59
TENURE AS CEO 6.1 years
CEO Bio

Mr. Frank J. Bisignano serves as the Chief Executive Officer at FDGS Group, LLC and FundsXpress Financial Network, Inc. Mr. Bisignano has been the Chairman and Chief Executive Officer at First Data Corporation since March 10, 2014 and April 29, 2013 respectively. He serves as a Trustee of Continuum Health Partners. Mr. Bisignano serves as the Chief Executive Officer of First Data Holdings, Inc. Upon his arrival at First Data, he began to rapidly transform the 43-year-old company from its position as the world's largest traditional payment processor into a technology innovator for the 21st Century, bringing an array of Continuum Health Partners new products and services designed to help enterprises large and small-millions of clients among merchants and financial institutions - grow their business. Immediately upon taking office, he launched an equity ownership plan that turned First Data's 23,000 employees into shareholders. He then unveiled Clover Station, a revolutionary new system designed for small- and midsized businesses to track inventory, manage employees, build lasting customer relationships and accept payments with ease. He also partnered with or acquired leading technology startups to further strengthen First Data's portfolio of cutting-edge solutions and services. A strong supporter of diversity, he also helped create affinity groups to provide networking and support for both women and the lesbian, gay, bisexual and transgender (LGBT) community at First Data. He served as a Co-Chief Operating Officer of JPMorgan Chase & Co. from July 2012 to April 28, 2013 and served as its Chief Executive Officer of Mortgage Banking at JPMorgan Chase & Co. from February 2011 until December 2012. His responsibilities included overseeing global technology, real estate, operations, procurement, compliance, regulatory control and oversight, resiliency, security and safety and general services for all of JPMorgan Chase's businesses in over 60 countries. He served as the Chief Administrative Officer of JP Morgan Chase & Co., from 2005 until July 2012. He served as the Chief Executive Officer of Chase Home Lending at JP Morgan Chase. He served as the Head of US Mortgage Business of JP Morgan Chase & Co since February 11, 2011. He served as the Chief Executive Officer of Global Transaction Services at Citigroup Inc. from 2002 to December 2005 and was responsible for the management of operations, technology and general services activities on a worldwide basis for the Corporate Investment Bank. Mr. Bisignano served as the Chief Administrative Officer of Citigroup's Global Corporate and Investment Banking Group (GCIB) from 2002 to 2005, while served as Deputy Head of Operations and Technology for all of Citigroup from 2000 to 2003, when he managed its successful business continuity plan, which involved relocating 16,000 employees displaced by the loss of 1.3 million square feet when the 7 World Trade Center building was destroyed. He played a key role in a series of historic transactions at Citi as he took on positions of increasing leadership at the bank, which he joined in 1994. These deals included the merger of Citicorp and Travelers and the acquisitions of Salomon-Smith Barney and Primerica Financial Services, among others. He served as Chief Administrative Officer and Senior Executive Vice President of Citigroup/Solomon-Smith Barney Corporate Investment Bank. He served as Deputy Chief Operations and Technology Officer for Citigroup. He served as Senior Vice President at Shearson Lehman Brothers from 1986 to 1990. Prior to Citi, he worked at First Fidelity Bank from 1990 to 1994, where he served as an Executive Vice President overseeing technology and operations and later served as its Chief Consumer Lending Officer. At First Fidelity, he earned a reputation for skillfully managing complex mergers and integrations, overseeing 13 acquisitions into the business and consolidating eight banks into one. Throughout his career, he has worked to create new career opportunities to men and women who served their nation in uniform. While at JPMorgan Chase, he was a Founder of the 100,000 Jobs Mission. He serves as Vice Chairman of NPowerNY Inc. He served as Vice Chairman of The Options Clearing Corporation. He serves as Director of The Partnership for New York City, Inc. He serves as a Director of National September 11 Memorial & Museum at the World Trade Center Foundation, Inc. He serves as a Director at First Data Holdings, Inc. Mr. Bisignano serves as a Director of NPowerNY. He has been a Director at First Data Corporation since April 29, 2013. He has been an Independent Director at Humana Inc. since August 21, 2017. He serves on the board of JPMorgan Chase Bank N.A. He serves as a Trustee of Continuum Health Partners, Inc. He serves as Trustee of Mount Sinai Beth Israel. He served as a Director of the Options Clearing Corporation. He served as a Director at The Depository Trust & Clearing Corporation and Euroclear. He serves on the board of Partnership for New York City. He is a Member of the Board of Directors for the Atlanta Metro Chamber of Commerce and The Commerce Club of Atlanta. He is a Trustee for the Battery Conservancy and St. Patrick's Cathedral. He was a Board Member at Alliance for Downtown New York, PENCIL and the Lower Manhattan Cultural Council. In 2014, he received the Colonel Michael Endres Leadership Award for Individual Excellence in Veteran Employment from the U.S. Chamber of Commerce for his commitment to employment opportunities for veterans, transitioning service members and their spouses. He was awarded Syracuse University's Chancellor's Medal for Outstanding Achievement in 2010 for his innovation in technology & education. The New York Institute of Technology (NYIT) honored him in May 2014 with a Doctor of Commercial Science degree in recognition of both his achievements in the business world and his philanthropic endeavors. Mr. Bisignano graduated from Newport University with a Bachelor of Arts degree in Finance.

CEO Compensation
  • Frank's compensation has been consistent with company performance over the past year.
  • Frank's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the First Data management team in years:

4.8
Average Tenure
58
Average Age
  • The tenure for the First Data management team is about average.
Management Team

Frank Bisignano

TITLE
Chairman & CEO
COMPENSATION
$12M
AGE
59
TENURE
6.1 yrs

Guy Chiarello

TITLE
President
COMPENSATION
$5M
AGE
58
TENURE
5.8 yrs

Himanshu Patel

TITLE
Executive VP & CFO
COMPENSATION
$2M
AGE
42
TENURE
3.7 yrs

Jeff Whorley

TITLE
Executive VP & Head of First Data Education
COMPENSATION
$4M
AGE
56
TENURE
0.8 yrs

Samir Zabaneh

TITLE
Executive Vice President
COMPENSATION
$5M
AGE
51
TENURE
0.8 yrs

Mike Neborak

TITLE
Executive VP
COMPENSATION
$4M
AGE
61
TENURE
0.4 yrs

Mike Manos

TITLE
Chief Technology Officer
TENURE
5.1 yrs

Chris Augustin

TITLE
Chief Information Officer
TENURE
4.8 yrs

Tom Higgins

TITLE
Executive VP & Chief Administrative Officer
AGE
59
TENURE
5 yrs

Peter Poillon

TITLE
Senior Vice President of Investor Relations
Board of Directors Tenure

Average tenure and age of the First Data board of directors in years:

5
Average Tenure
66
Average Age
  • The tenure for the First Data board of directors is about average.
Board of Directors

Frank Bisignano

TITLE
Chairman & CEO
COMPENSATION
$12M
AGE
59
TENURE
5.2 yrs

Joe Plumeri

TITLE
Vice Chairman
COMPENSATION
$235K
AGE
74
TENURE
5 yrs

Scott Nuttall

TITLE
Lead Director
COMPENSATION
$40K
AGE
45

Heidi Miller

TITLE
Independent Director
COMPENSATION
$260K
AGE
65
TENURE
5.1 yrs

Bill Bradley

TITLE
Chairman of International Advisory Board
AGE
75
TENURE
4.2 yrs

Barbara Yastine

TITLE
Independent Director
COMPENSATION
$260K
AGE
59
TENURE
2.7 yrs

Tagar Olson

TITLE
Director
COMPENSATION
$40K
AGE
40
TENURE
11.7 yrs

Henry Kravis

TITLE
Director
COMPENSATION
$40K
AGE
74
TENURE
9.7 yrs

Jim Nevels

TITLE
Independent Director
COMPENSATION
$235K
AGE
67
TENURE
4.5 yrs

R. Sehgal

TITLE
Member of International Advisory Board
AGE
76
TENURE
3.9 yrs
Who owns this company?
Recent Insider Trading
  • First Data insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
25. Mar 19 Sell Thomas Higgins Individual 22. Mar 19 22. Mar 19 -1,327 $25.51 $-33,856
25. Mar 19 Sell Ivo Distelbrink Individual 22. Mar 19 22. Mar 19 -20,000 $25.36 $-507,154
20. Mar 19 Sell Ivo Distelbrink Individual 19. Mar 19 19. Mar 19 -10,000 $25.29 $-252,900
20. Mar 19 Sell Daniel Charron Individual 19. Mar 19 19. Mar 19 -21,000 $25.23 $-529,744
18. Mar 19 Sell Guy Chiarello Individual 15. Mar 19 15. Mar 19 -150,569 $25.85 $-3,892,163
18. Mar 19 Sell Daniel Charron Individual 15. Mar 19 18. Mar 19 -74,600 $25.75 $-1,910,944
18. Mar 19 Sell Anthony Marino Individual 15. Mar 19 15. Mar 19 -52,563 $25.69 $-1,350,564
18. Mar 19 Sell Bala Janakiraman Individual 15. Mar 19 15. Mar 19 -25,100 $25.88 $-649,691
18. Mar 19 Sell Christopher Foskett Individual 18. Mar 19 18. Mar 19 -30,000 $25.25 $-757,500
28. Jan 19 Sell Kevin Schultz Individual 16. Jan 19 18. Jan 19 -740 $22.54 $-16,075
28. Jan 19 Buy Kevin Schultz Individual 26. Dec 18 26. Dec 18 96 $16.01 $1,537
03. Dec 18 Sell Cynthia Armine-Klein Individual 29. Nov 18 29. Nov 18 -28,215 $19.00 $-536,017
23. Aug 18 Sell Guy Chiarello Individual 22. Aug 18 22. Aug 18 -99,401 $25.06 $-2,490,979
16. Aug 18 Sell Christine Larsen Individual 15. Aug 18 15. Aug 18 -10,572 $23.64 $-249,903
16. Aug 18 Sell Anthony Marino Individual 15. Aug 18 15. Aug 18 -14,000 $23.79 $-333,036
16. Aug 18 Sell Jeffrey Shanahan Individual 15. Aug 18 16. Aug 18 -115,229 $24.05 $-2,758,148
14. Jun 18 Sell Christopher Foskett Individual 13. Jun 18 13. Jun 18 -17,500 $21.77 $-381,012
06. Jun 18 Sell Thomas Higgins Individual 05. Jun 18 05. Jun 18 -20,785 $19.66 $-408,712
21. May 18 Sell Guy Chiarello Individual 17. May 18 17. May 18 -100,000 $19.42 $-1,942,340
X
Management checks
We assess First Data's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. First Data has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

FDC News

Simply Wall St News

At US$16.82, Is It Time To Put First Data Corporation (NYSE:FDC) On Your Watch List?

saw significant share price movement during recent months on the NYSE, rising to highs of $24.46 and falling to the lows of $15.61. … Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price? … Let’s take a look at First Data’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change

Simply Wall St -

Should You Be Worried About Insider Transactions At First Data Corporation (NYSE:FDC)?

So before you buy or sell First Data Corporation (NYSE:FDC), you may well want to know whether insiders have been buying or selling. … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Over the last year we saw more insider selling of First Data shares, than buying.

Simply Wall St -

Should We Be Delighted With First Data Corporation's (NYSE:FDC) ROE Of 29%?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows First Data has a return on equity of 29% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Much Did First Data Corporation's (NYSE:FDC) CEO Pocket Last Year?

Frank Bisignano has been the CEO of First Data Corporation (NYSE:FDC) since 2013. … This analysis aims first to contrast CEO compensation with other large companies. … Our data indicates that First Data Corporation is worth US$17b, and total annual CEO compensation is US$102m.

Simply Wall St -

First Data Corporation (NYSE:FDC): The Return Story

This share represents a portion of capital used by the company to operate the business, and it is important the company is able to use the capital base efficiently to create adequate cash flows for you as an investor. … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Thus, to understand how your money can grow by investing in First Data, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE)

Simply Wall St -

How First Data Corporation (NYSE:FDC) Delivered A Better ROE Than Its Industry

and want to learn about Return on Equity using a real-life example. … With more debt, FDC can invest even more and earn more money, thus pushing up its returns. … However, ROE only measures returns against equity, not debt.

Simply Wall St -

First Data Corporation (NYSE:FDC): Why Return On Capital Employed Is Important

and looking to gauge the potential return on investment in First Data Corporation (NYSE:FDC). … As a result, your investment is being put to work to fund operations and if you want to earn an attractive return on your investment, the business needs to be making an adequate amount of money from the funds you provide … Your return is tied to FDC’s ability to do this because the amount earned is used to invest in opportunities to grow the business or payout dividends, which are the two sources of return on investment.

Simply Wall St -

Does First Data Corporation's (NYSE:FDC) PE Ratio Warrant A Buy?

The content of this article will benefit those of you who are starting to educate yourself about investing in the stock market. … and want to better understand how you can grow your money by investing in First Data Corporation (NYSE:FDC). … First Data Corporation (NYSE:FDC) trades with a trailing P/E of 12.5x, which is lower than the industry average of 24.1x.

Simply Wall St -

Have Investors Priced In First Data Corporation's (NYSE:FDC) Growth?

Today we're going to take a look at the well-established First Data Corporation (NYSE:FDC). … Today I will analyse the most recent data on First Data’s outlook and valuation to see if the opportunity still exists … Check out our latest analysis for First Data

Simply Wall St -

Calculating The Fair Value Of First Data Corporation (NYSE:FDC)

by projecting its future cash flows and then discounting them to today's value. … discounted cash flows (DCF). … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model

Simply Wall St -

FDC Company Info

Description

First Data Corporation provides commerce enabled technology and solutions for merchants, financial institutions, and card issuers in the United States, Canada, Europe, the Middle East, Africa, Latin America, and the Asia Pacific. The company operates through three segments: Global Business Solutions, Global Financial Solutions, and Network & Security Solutions. The Global Business Solutions segment provides solutions to merchants, such as retail point of sale merchant acquiring, e-commerce, and mobile payment services, as well as cloud based point of sale operating system that include a marketplace for proprietary and third party applications. The Global Finance Solutions segment provides technology solutions for bank and non-bank issuers, such as credit, retail private label, commercial card, and loan processing, as well as licensed financial software systems; suite of account services that include card personalization and embossing, customer communications, and professional services; and call center solutions and back office processing. The Network & Security Solutions segment offers EFT network, stored value network, and security and fraud solutions, as well as other value added solutions to its clients in GBS and GFS segments, smaller financial institutions, and other enterprise clients. First Data Corporation was founded in 1971 and is headquartered in Atlanta, Georgia.

Details
Name: First Data Corporation
FDC
Exchange: NYSE
Founded: 1971
$24,008,346,522
943,724,313
Website: http://www.firstdata.com
Address: First Data Corporation
5565 Glenridge Connector NE,
Suite 2000,
Atlanta,
Georgia, 30342,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE FDC Class A Common Stock New York Stock Exchange US USD 15. Oct 2015
DB 1DT Class A Common Stock Deutsche Boerse AG DE EUR 15. Oct 2015
LSE 0TKC Class A Common Stock London Stock Exchange GB USD 15. Oct 2015
BMV FDC * Class A Common Stock Bolsa Mexicana de Valores MX MXN 15. Oct 2015
Number of employees
Current staff
Staff numbers
19,000
First Data employees.
Industry
Data Processing and Outsourced Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/16 02:43
End of day share price update: 2019/05/15 00:00
Last estimates confirmation: 2019/05/14
Last earnings filing: 2019/04/30
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.