Recently, Fiserv, Inc. (FISV - Analyst Report) declared that its sales automation and management service platform, EnAct has been adopted by Central Bancshares. The company will be engaged in optimizing the entire operational procedure through offering the latest business strategy, besides managing customer relationship system of Central Bancshares.
Based in Lexington, KY, Central Bancshares is the third largest provider of a wide range of financial solutions in central Kentucky. It mainly serves three community banks, various insurance and investment brokerage subsidiaries. Central Bancshares has an asset of $2 billion. Fiserv’s EnAct service will be implemented across Central Bancshares’ each business unit with a special focus on commercial, retail and wealth spaces.
The company’s EnAct solution, powered by Microsoft’s Dynamics CRM portal, is mainly used to meet several CRM requirements. Now, with this association Central Bancshares will be able to access Fiesrv’s solution to enhance its sales management services and productivity. Moreover, the bank can easily augment its client services as well as its cross-sales deploying the company’s EnAct solution.
In addition to this, Central Bancshares will be also using the company’s various other platforms such as Signature services for banking solutions, Nautilus services, OpenNow/FundNow, ACCEL/Exchange debit payments system and Bank Intelligence Solutions.
The company expressed its enthusiasm regarding this venture by stating that it will further strengthen Central Bancshares’ services. Fiserv’s solution would help it ameliorate its client service standards substantially.
Various strategic contract wins hold future pledge for Fiserv. The company confirmed winning a bunch of contracts from various financial institutions during 2012. Recently, Fiserv declared that its Cash and Logistics Solutions portal has been adopted by Geldservice Nederland B.V. (GSN). The company will be engaged in enhancing the entire cash distribution channel through improving its efficiency, accuracy and safety for three banks based in the Netherlands.
However, the company’s financial segment faces tough competition from various big companies including Mastercard Incorporated (MA - Analyst Report) and Fidelity National Information Services, Inc. (FIS - Analyst Report). Mastercard recently entered into an agreement with C-SAM. Hence, the company has to be extra cautious of competitive strides in the industry.
The current Zacks Consensus Estimates for Fiserv, Inc. are $1.42 and $5.17 for the fourth quarter of 2012 and for 2012, respectively. The estimate for fourth quarter is a year-over-year growth of 12.1% and 12.9% for 2012. We currently have a long-term Neutral recommendation for Fiserv. The stock carries a Zacks #3 Rank, which translates into a short-term Hold rating.