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Reasons Why You Should Retain Fiserv Stock in Your Portfolio
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Key Takeaways
FISV's growth is supported by rising SaaS and payment adoption, with revenues likely to rise in 2025 and 2026.
Enhanced platforms like Clover and Commerce Hub, plus a Japan partnership, expand FISV's payments reach.
Acquisitions of Smith Consulting and CardFree strengthen FISV's services and merchant solutions portfolio.
Fiserv, Inc.’s (FISV - Free Report) growth is fueled by the rising adoption of Software-as-a-Service (SaaS) and payment solutions by business houses. Its new acquisitions and AI innovations aid it in gaining access to diverse markets. The company’s revenues are expected to grow 4.3% in 2025 and 3.1% in 2026.
Factors That Bode Well for FISV
FISV’s revenue growth is largely driven by its financial services and technology solutions for more than 12,000 clients worldwide in the banking, insurance, healthcare and investment industries. The increased use of cloud-based solutions offers a strong growth opportunity for the company’s SaaS products. Additionally, new cutting-edge payment systems are driving growth for its payment platforms.
Recently improved payment platforms such as Clover, Commerce Hub, Finxact, Optis, VisionNext and the Independent Software Vendor program are helping generate higher revenues and gain new clients. FISV recently agreed to partner with a local financial institution in Japan to drive digital payments transformation for the Japanese small and medium-sized business market.
FISV also expands its product portfolio through strategic acquisitions. The recent acquisition of Smith Consulting Group, an operational consulting service utilized by community banks and credit unions across the United States, enhanced Fiserv’s ability to deliver strategic value to customers by embedding deeper expertise directly into its service model.
Additionally, the company acquired CardFree, an all-in-one platform that empowers merchants with customized order, pay and loyalty solutions, enhancing Clover's (Fiserv’s point-of-sale system that serves small businesses) capabilities to support organizations growing into larger, multi-location merchants with complicated technical requirements.
A Risk
FISV has never declared and currently has no plans to pay out cash dividends, leaving shareholders to achieve a return on investment only through its share price appreciation. Since stock appreciation is not guaranteed, cash dividend-seeking investors may avoid investing in its stock.
Zacks Rank & Stocks to Consider
FISV currently carries a Zacks Rank #3 (Hold).
A couple of better-ranked stocks in the industry are Global Payments Inc.(GPN - Free Report) and Fidelity National Information Services, Inc. (FDS - Free Report) .
Global Payments carries a Zacks Rank #2 (Buy) at present. It has a long-term earnings growth expectation of 11.5%.
GPN beat earnings estimates in three of the last four quarters and missed once, with an earnings surprise of 1.9% on average.
Fidelity National Information carries a Zacks Rank of 2 at present. FDS has a long-term earnings growth expectation of 10.7%.
The company beat earnings estimates in three of the last four quarters and matched once, with the earnings surprise being 1.6%, on average.
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Reasons Why You Should Retain Fiserv Stock in Your Portfolio
Key Takeaways
Fiserv, Inc.’s (FISV - Free Report) growth is fueled by the rising adoption of Software-as-a-Service (SaaS) and payment solutions by business houses. Its new acquisitions and AI innovations aid it in gaining access to diverse markets. The company’s revenues are expected to grow 4.3% in 2025 and 3.1% in 2026.
Factors That Bode Well for FISV
FISV’s revenue growth is largely driven by its financial services and technology solutions for more than 12,000 clients worldwide in the banking, insurance, healthcare and investment industries. The increased use of cloud-based solutions offers a strong growth opportunity for the company’s SaaS products. Additionally, new cutting-edge payment systems are driving growth for its payment platforms.
Fiserv, Inc. Revenue (TTM)
Fiserv, Inc. revenue-ttm | Fiserv, Inc. Quote
Recently improved payment platforms such as Clover, Commerce Hub, Finxact, Optis, VisionNext and the Independent Software Vendor program are helping generate higher revenues and gain new clients. FISV recently agreed to partner with a local financial institution in Japan to drive digital payments transformation for the Japanese small and medium-sized business market.
FISV also expands its product portfolio through strategic acquisitions. The recent acquisition of Smith Consulting Group, an operational consulting service utilized by community banks and credit unions across the United States, enhanced Fiserv’s ability to deliver strategic value to customers by embedding deeper expertise directly into its service model.
Additionally, the company acquired CardFree, an all-in-one platform that empowers merchants with customized order, pay and loyalty solutions, enhancing Clover's (Fiserv’s point-of-sale system that serves small businesses) capabilities to support organizations growing into larger, multi-location merchants with complicated technical requirements.
A Risk
FISV has never declared and currently has no plans to pay out cash dividends, leaving shareholders to achieve a return on investment only through its share price appreciation. Since stock appreciation is not guaranteed, cash dividend-seeking investors may avoid investing in its stock.
Zacks Rank & Stocks to Consider
FISV currently carries a Zacks Rank #3 (Hold).
A couple of better-ranked stocks in the industry are Global Payments Inc. (GPN - Free Report) and Fidelity National Information Services, Inc. (FDS - Free Report) .
Global Payments carries a Zacks Rank #2 (Buy) at present. It has a long-term earnings growth expectation of 11.5%.
GPN beat earnings estimates in three of the last four quarters and missed once, with an earnings surprise of 1.9% on average.
Fidelity National Information carries a Zacks Rank of 2 at present. FDS has a long-term earnings growth expectation of 10.7%.
The company beat earnings estimates in three of the last four quarters and matched once, with the earnings surprise being 1.6%, on average.