Fiserv (FISV) AI Stock Analysis

• Market Cap: $31.62B
• Dividend Yield: N/A
• Average Volume (3M): 9.29M
• Price to Earnings (P/E): 9.7
• Beta (1Y): 0.47
• Revenue Growth: 5.16%
• EPS Growth: 24.92%
• Country: US
• Employees: 38,000
• Sector: General
• Sector Strength: N/A
• Industry: Information Technology Services
• EPS (TTM): 1.99
• Shares Outstanding: 534,777,500
• 10 Day Avg. Volume: 8,384,012
• 30 Day Avg. Volume: 9,288,835
• PEG Ratio: 0.62
• Price to Book (P/B): 1.43
• Price to Sales (P/S): 1.74
• P/FCF Ratio: 8.49
• Enterprise Value/Market Cap: 1.95
• Enterprise Value/Revenue: 2.91
• Enterprise Value/Gross Profit: 4.90
• Enterprise Value/Ebitda: 6.86
• 1Y Price Target: $75.24
• Price Target Upside: 22.12% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 23
• EPS Forecast (FY): 8.13
• Revenue Forecast (FY): $20.12B

• Rating: 68 Neutral
• Price Target: $67.00 ▲(8.75% Upside)
• Action: Reiterated Date: 02/22/26
• Date: Action: Reiterated 02/22/26

The score is driven by strong underlying financial performance (revenue growth, solid margins, and strong free cash flow) and a low P/E valuation, partially offset by clearly bearish technicals and earnings-call guidance that suggests near-term revenue/margin pressure and continued transformation costs.

Positive Factors

Free cash flow generation

Fiserv’s operating and free cash flow have been consistently strong and rose to roughly $6.1B in 2025. High FCF conversion funds capex, share repurchases and debt paydowns, underwriting transformation investments while preserving financial optionality and supporting durable capital allocation.

Steady revenue and margin expansion

Multi-year top-line growth with materially higher net margins shows scalable business economics. Diverse revenue streams—payments, account processing, subscriptions—produce recurring cash flows and profitability that underpin sustainable earnings power and resilience through industry cycles over the medium term.

Product/platform momentum (Clover, Commerce Hub, Finxact)

Strong growth across merchant platforms and modern core products reflects scalable, sticky offerings. Higher Clover value-added services, Commerce Hub scale and Finxact account gains create network effects and cross-sell levers that can drive durable revenue expansion and margin improvement over several quarters.

Negative Factors

Rising leverage

The upward debt trajectory reduces balance-sheet flexibility. Higher leverage raises refinancing and interest-rate sensitivity, limits room for incremental M&A or buybacks, and heightens downside risk if organic growth softens or margins compress, constraining strategic options over the medium term.

Banking segment weakness and client attrition

Continued client attrition in core banking threatens recurring account-processing revenue and long-cycle contract renewals. Replacing or regaining lost clients is slow and costly, weakening a historically stable revenue pillar and risking prolonged pressure on segment profits and cross-sell opportunities.

Margin compression from investments and transformation costs

Management expects margin pressure in early 2026 driven by investments, lapping of nonrecurring items and transformation activity. Ongoing Project Elevate and vendor/headcount spend can delay margin recoveries and reduce near-term free-cash-flow durability if execution or benefit realization slips.

Fiserv Business Overview & Revenue Model

Company Description

Fiserv, Inc., together with its subsidiaries, provides payment and financial services technology worldwide. The company operates through Acceptance, Fintech, and Payments segments. The Acceptance segment provides point-of-sale merchant acquiring and digital commerce services; mobile payment services; security and fraud protection products; Carat, an omnichannel commerce solution; Clover, a cloud-based point-of-sale and business management platform; and Clover Connect, an independent software vendors platform. This segment distributes through various channels, including direct sales teams, strategic partnerships with agent sales forces, independent software vendors, financial institutions, and other strategic partners. The Fintech segment offers customer deposit and loan accounts, as well as manages an institution's general ledger and central information files. This segment also provides digital banking, financial and risk management, professional services and consulting, item processing and source capture, and other products and services. The Payments segment offers card transactions, such as debit, credit, and prepaid card processing and services; security and fraud protection products; card production; print services; and various network services, as well as non-card digital payment software and services, including bill payment, account-to-account transfers, person-to-person payments, electronic billing, and security and fraud protection products. It serves business, banks, credit unions, other financial institutions, merchants, and corporate clients. Fiserv, Inc. was incorporated in 1984 and is headquartered in Brookfield, Wisconsin.

How the Company Makes Money

Fiserv generates revenue primarily through transaction-based fees, subscription services, and software licensing. A significant portion of its income comes from payment processing services, which charge merchants a fee per transaction. Additionally, the company earns revenue from its account processing services for banks, which typically involves monthly service fees based on the number of accounts managed. Fiserv also offers software solutions on a subscription basis, providing ongoing support and updates for its clients. Strategic partnerships with major financial institutions and technology firms further enhance its market position, allowing Fiserv to expand its reach and diversify its service offerings, contributing positively to its overall earnings.

Fiserv Financial Statement Overview

Summary

Strong multi-year revenue growth and healthy profitability, supported by robust operating cash flow and rising free cash flow. The main offset is a more leveraged balance sheet (higher debt and lower equity in 2025) and some reporting/volatility that reduces year-to-year comparability.

Income Statement

Revenue shows a steady multi-year uptrend (from $14.9B in 2020 to $21.2B in 2025), with 2025 re-accelerating to ~15.6% growth. Profitability is solid: net margin has expanded materially versus 2020 (~6.5%) and remains healthy in 2024–2025 (~15–16%), alongside strong EBITDA dollars. A key drawback is some year-to-year margin volatility (net margin dipped in 2024 vs. 2023), and several margin fields in 2025 appear unavailable/incorrectly reported (set to 0), limiting full comparability for that year.

Balance Sheet

The balance sheet reflects meaningful leverage: debt increased to ~$29.0B in 2025 from ~$25.0B in 2024, while equity declined to ~$25.8B, implying a rising leverage profile versus recent years (2024 debt-to-equity was ~0.92). Total assets are large (~$80B), and profitability on shareholder capital improved versus earlier years (2024 return on equity ~11.6% vs. ~3–4% in 2020–2021). The main risk is the upward debt trajectory and lower equity in 2025, which reduces financial flexibility if growth slows or funding costs rise.

Cash Flow

Cash generation is a clear strength. Operating cash flow remains strong (generally $4.0B–$6.6B), and free cash flow has grown substantially over time, reaching ~$6.1B in 2025. Cash conversion is healthy: free cash flow has typically covered a large portion of earnings (about ~68–78% in 2020–2024), and in 2025 free cash flow matches net income (1.0x). A watch item is that 2025 free cash flow growth is unusually high (reported ~31.2), which may indicate a step-change or data scaling issue; additionally, the provided “operating cash flow coverage” metric is low and inconsistent across years, so the quality assessment relies more on the absolute cash flow trend and cash-to-earnings relationship.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	21.19B	20.46B	19.09B	17.74B	16.23B
Gross Profit	12.58B	12.44B	11.43B	9.74B	8.10B
EBITDA	8.96B	8.84B	8.02B	6.83B	5.56B
Net Income	3.48B	3.13B	3.07B	2.53B	1.33B
Balance Sheet
Total Assets	80.13B	77.18B	90.89B	83.87B	76.25B
Cash, Cash Equivalents and Short-Term Investments	798.00M	1.24B	1.20B	902.00M	835.00M
Total Debt	29.00B	24.96B	23.90B	21.54B	21.24B
Total Liabilities	54.32B	49.49B	60.22B	52.18B	44.30B
Stockholders Equity	25.79B	27.07B	29.86B	30.83B	30.95B
Cash Flow
Free Cash Flow	4.34B	5.06B	3.77B	3.14B	2.87B
Operating Cash Flow	6.10B	6.63B	5.16B	4.62B	4.03B
Investing Cash Flow	-3.00B	-2.40B	-1.07B	-2.11B	-1.63B
Financing Cash Flow	-3.40B	-4.17B	-4.36B	-2.48B	-761.00M

Fiserv Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 61.61
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FISV, the sentiment is Neutral. The current price of 61.61 is above the 20-day moving average (MA) of 61.15, below the 50-day MA of 65.00, and below the 200-day MA of 113.86, indicating a neutral trend. The MACD of -1.34 indicates Negative momentum. The RSI at 47.82 is Neutral, neither overbought nor oversold. The STOCH value of 26.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FISV.

Fiserv Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INFY	80 Outperform	$56.96B	17.83	32.85%	2.58%	4.62%	1.06%
JKHY	77 Outperform	$11.27B	22.42	24.28%	1.25%	7.75%	20.42%
FISV	68 Neutral	$31.62B	9.72	13.17%	―	5.16%	24.92%
CTSH	68 Neutral	$29.20B	13.39	15.16%	1.46%	7.44%	-4.57%
BR	67 Neutral	$20.76B	19.68	41.79%	1.63%	8.57%	35.02%
WIT	66 Neutral	$23.08B	14.71	15.82%	2.78%	-1.97%	48.61%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

Fiserv Corporate Events

Fiserv Grants CEO Supplemental Equity to Drive Transformation

On February 18, 2026, the independent directors of Fiserv awarded Chief Executive Officer Michael P. Lyons a supplemental equity package of performance share units and restricted stock units, underscoring the board’s view of his central role in executing the One Fiserv transformation plan and driving long-term growth. The roughly $30 million award, structured with multi-year performance and vesting conditions and tied to relative total shareholder return and the One Fiserv action plan, comes on top of his approximately $18.7 million annual equity grant, reinforcing leadership retention and closely aligning his incentives with long-term shareholder value and key financial metrics such as adjusted revenue growth, earnings per share and free cash flow conversion.

The most recent analyst rating on (FISV) stock is a Hold with a $72.00 price target. To see the full list of analyst forecasts on Fiserv stock, see the FISV Stock Forecast page.