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How FIS' Core Banking Wins Point to Broader Growth Opportunities
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Key Takeaways
FIS' core banking wins span new banks, M&A-created institutions and modernization projects at major banks.
Core banking deals can help FIS cross-sell digital banking, payments, lending, data and origination products.
2026 EPS estimate for FIS implies 7.8% growth, followed by 8.5% growth next year.
Fidelity National Information Services, Inc. (FIS - Free Report) recently said its core banking business is gaining traction as banks launch, merge and modernize their technology. The company signed five newly chartered banks in the first half of 2026, including Mercury, which has conditional approval for a national bank charter and FDIC deposit insurance approval. FIS also won the core banking mandate for a newly formed U.S. institution with more than $100 billion in assets.
Two top-15 U.S. banks completed proofs of value for FIS’ enterprise platform strategy, which enables banks to progressively adopt modern capabilities, including AI, while preserving the stability of their existing core environments and avoiding disruptive transformations.
The wins give FIS exposure to several important banking trends at once. The FDIC approved 14 deposit insurance applications in the year through April 2026, twice the number approved during calendar 2025, signaling renewed de novo activity in banking. FIS captured five new-bank signings in the first half of 2026 while also landing a core relationship with a $100 billion-plus institution created through M&A. That shows its platform can serve both emerging banks and large, complex organizations.
These wins can support recurring revenue growth and deeper client relationships. Core banking agreements are especially valuable because they can open the door to additional products in digital banking, payments, lending, data and account origination. Successful modernization projects at top-15 banks could create further cross-selling opportunities and improve long-term revenue visibility.
How Are Peers Placed?
Fiserv, Inc. (FISV - Free Report) has an open technology stack designed to let fintech developers integrate with Fiserv cores, while it is also pursuing modernization of its core platform. In May 2026, Fiserv said it planned to deploy Cognition's Devin across core-platform modernization and other engineering initiatives.
Meanwhile, ACI Worldwide, Inc. (ACIW - Free Report) is more focused on payments modernization than core-banking modernization. Its Connetic platform lets banks unify SWIFT, CHAPS and Faster Payments on a cloud-native platform, while ACI Worldwide positions its software around payment orchestration, real-time payments, fraud and AI-powered payment intelligence.
FIS’ Price Performance, Valuation and Estimates
Shares of FIS have declined 44.6% year to date, underperforming the broader industry and the S&P 500 Index.
FIS YTD Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, FIS trades at a forward price-to-earnings ratio of 5.61X, down from the industry average of 17.60X. FIS carries a Value Score of A.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for FIS’ 2026 earnings implies a 7.8% rise year over year, followed by 8.5% growth next year.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #4 (Sell).
View the Zacks #1 Rank List
Image: Bigstock
How FIS' Core Banking Wins Point to Broader Growth Opportunities
Key Takeaways
Fidelity National Information Services, Inc. (FIS - Free Report) recently said its core banking business is gaining traction as banks launch, merge and modernize their technology. The company signed five newly chartered banks in the first half of 2026, including Mercury, which has conditional approval for a national bank charter and FDIC deposit insurance approval. FIS also won the core banking mandate for a newly formed U.S. institution with more than $100 billion in assets.
Two top-15 U.S. banks completed proofs of value for FIS’ enterprise platform strategy, which enables banks to progressively adopt modern capabilities, including AI, while preserving the stability of their existing core environments and avoiding disruptive transformations.
The wins give FIS exposure to several important banking trends at once. The FDIC approved 14 deposit insurance applications in the year through April 2026, twice the number approved during calendar 2025, signaling renewed de novo activity in banking. FIS captured five new-bank signings in the first half of 2026 while also landing a core relationship with a $100 billion-plus institution created through M&A. That shows its platform can serve both emerging banks and large, complex organizations.
These wins can support recurring revenue growth and deeper client relationships. Core banking agreements are especially valuable because they can open the door to additional products in digital banking, payments, lending, data and account origination. Successful modernization projects at top-15 banks could create further cross-selling opportunities and improve long-term revenue visibility.
How Are Peers Placed?
Fiserv, Inc. (FISV - Free Report) has an open technology stack designed to let fintech developers integrate with Fiserv cores, while it is also pursuing modernization of its core platform. In May 2026, Fiserv said it planned to deploy Cognition's Devin across core-platform modernization and other engineering initiatives.
Meanwhile, ACI Worldwide, Inc. (ACIW - Free Report) is more focused on payments modernization than core-banking modernization. Its Connetic platform lets banks unify SWIFT, CHAPS and Faster Payments on a cloud-native platform, while ACI Worldwide positions its software around payment orchestration, real-time payments, fraud and AI-powered payment intelligence.
FIS’ Price Performance, Valuation and Estimates
Shares of FIS have declined 44.6% year to date, underperforming the broader industry and the S&P 500 Index.
FIS YTD Price Performance
From a valuation standpoint, FIS trades at a forward price-to-earnings ratio of 5.61X, down from the industry average of 17.60X. FIS carries a Value Score of A.
The Zacks Consensus Estimate for FIS’ 2026 earnings implies a 7.8% rise year over year, followed by 8.5% growth next year.
The stock currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.