FISERV INC (FISV)

Price—Loading quote

AI: Undervalued

Price checkThe shares look cheap, but only if recent profit damage stops worsening soon.

Stock Analysis showed $54.04 in premarket trading, after a $54.39 close. Using 533.7 million latest-quarter diluted shares implies roughly $28.8 billion of equity value. The price is about 7.4 times the midpoint of management’s $7.20–$7.40 adjusted 2026 earnings forecast, which excludes selected transformation and acquisition costs, and 10.4 times trailing reported earnings of about $5.21 a share. Cash left after operations and capital spending was roughly $3.93 billion over four quarters, implying a 13.6% cash yield. That discount supports Undervalued if cash remains durable.

Big pictureRecurring payment activity still produces cash, though revenue and profit are now shrinking.

From 2020 to 2025, revenue rose from $14.85 billion to $21.19 billion, while reported earnings per share climbed from $1.40 to $6.34. That history shows scale and cash durability. The current turn is worse: first-half 2026 revenue fell 3%, second-quarter earnings per share fell 37%, and operating profit narrowed to 19.2 cents per revenue dollar from 30.7 cents. Merchant payments rise and fall with consumer spending, but contracted processing is steadier; Financial Solutions revenue still fell 8%. This suggests company-specific execution and cost problems, not merely a normal spending cycle.

Business strengthStrong cash generation and fewer shares help, but heavy debt limits protection.

At June 2026, debt was $26.68 billion against only $627 million of cash. The resulting $26.05 billion net debt was about three times 2025 cash operating profit before interest, taxes, depreciation, and amortization. Current assets barely covered current liabilities, 1.04 to 1. Debt nevertheless fell $1.18 billion during the second quarter, and Fiserv retired $1.41 billion of note principal. It also spent $300 million repurchasing shares during the first half; diluted shares fell 3.4% year over year despite $235 million of employee stock compensation, so dilution was more than offset.

What could change the storyA credible recovery could unlock value; another forecast cut would justify the discount.

The bull case does not require management’s full promise: holding 2026 adjusted earnings near $7.30 while restoring positive sales growth, excluding acquisitions and currency effects, and reducing net debt below $24 billion would strengthen the bargain case. Full delivery—4% to 6% yearly revenue growth, a profit margin above 37%, and adjusted earnings above $12 by 2029—would add substantial upside. The bear case is another forecast cut, margins staying near 2026’s depressed level, or adverse findings from federal inquiries into 2025 guidance. Those outcomes would show the low valuation is earned.

$54.04 price considered

AI: News

Forecast cut againSecond-quarter declines forced Fiserv to lower its sales and earnings expectations for 2026.

On August 6, 2026, Fiserv reported second-quarter revenue of $5.29 billion, down 4%, and adjusted earnings of $1.84 a share, down 26%. It reduced expected underlying revenue growth from positive 1%–3% to negative 1%–flat and cut adjusted earnings guidance from $8.00–$8.30 to $7.20–$7.40. MT Newswires reported a premarket decline exceeding 12%, although the shares recovered to close unchanged at $54.11. The reset lowers near-term cash expectations and further tests forecasting credibility.

Abrupt chief executive switchA sudden leadership change raised fresh questions about execution during an important business repair.

Fiserv disclosed on June 15, 2026, that Mike Lyons had resigned as chief executive and director effective June 12, without severance or a stated disagreement. Takis Georgakopoulos was appointed chief executive on June 14. The shares closed that session at $47.91, down 10.9%. The timing makes the announcement a plausible contributor, although it does not prove sole causation. The switch matters because the company was already rebuilding client execution, technology, costs, and investor trust after its 2025 forecast reset.

Long-term recovery targetsManagement outlined ambitious recovery goals that now anchor the strongest case for higher value.

At its May 14, 2026 investor day, Fiserv projected 4%–6% annual adjusted revenue growth through 2029, an adjusted operating margin above 37%, double-digit yearly adjusted earnings growth, and more than $12 of adjusted earnings per share in 2029. It also targeted free cash flow near 90% of adjusted net income. Management reiterated those medium-term growth rates after August’s weaker quarter, but the 2026 forecast cut makes execution less certain. Meeting the targets would make today’s price unusually low; further delays would weaken their credibility.

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Free cash flow

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Total cash / debt

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Financial statements

	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009	2008	2007
Revenue	$21.19B	$20.46B	$19.09B	$17.74B	$16.23B	$14.85B	$10.19B	$5.82B	$5.70B	$5.50B	$5.25B	$5.07B	$4.81B	$4.44B	$4.29B	$4.13B	$4.08B	$4.59B	$3.68B
Operating income	$5.82B	$5.88B	$5.01B	$3.74B	$2.29B	$1.85B	$1.61B	$1.75B	$1.53B	$1.45B	$1.31B	$1.21B	$1.06B	$1.05B	$990.0M	$1.01B	$946.0M	$908.0M	$736.0M
EBITDAderived	$8.79B	$8.77B	$8.18B	$6.95B	$5.54B	$5.11B	$3.39B	$2.31B	$1.98B	$1.87B	$1.73B	$1.61B	$1.46B	$1.40B	$1.33B	$1.35B	$1.28B	—	—
Net income	$3.48B	$3.13B	$3.07B	$2.53B	$1.33B	$958.0M	$893.0M	$1.19B	$1.25B	$930.0M	$712.0M	$754.0M	$648.0M	$611.0M	$472.0M	$496.0M	$476.0M	$569.0M	$439.0M
Basic EPSper diluted share	$6.36	$5.41	$5.02	$3.94	$2.01	$1.42	$1.74	$2.93	$2.95	$2.11	$3.04	$3.03	$2.47	$2.25	$1.66	$3.30	$3.08	$3.51	$2.64
Diluted EPSper diluted share	$6.34	$5.38	$4.98	$3.91	$1.99	$1.40	$1.71	$2.87	$2.89	$2.08	$2.99	$2.98	$2.44	$2.22	$1.64	$3.27	$3.06	$3.49	$2.60

Review source filings at SEC.gov ↗

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys9$3.94M disclosed value

Sells (SEC code S)21$70.70M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
Jun 17, 2026Form 4	Todd Paul MChief Financial Officer	BuyCommon Stock	10.1K	$49.70	$500.0K	184.1K
Jun 17, 2026Form 4	Mamilli WafaaDirector	BuyCommon Stock	3.0K	$50.59	$149.7K	15.4K
Jun 16, 2026Form 4	Yarkoni CharlotteDirector	BuyCommon Stock	2.0K	$49.49	$100.1K	10.1K
Jun 16, 2026Form 4	DiSimone HarryDirector	BuyCommon Stock	2.1K	$48.41	$101.1K	23.6K
Jun 16, 2026Form 4	Nixon Gordon M.Director	BuyCommon Stock	7.5K	$49.57	$371.8K	17.7K

Review ownership filings at SEC.gov ↗

FISERV INC (FISV)

Financial charts

Financial statements

Insider buys & sells