FIDELITY NATIONAL INFO SERV (FIS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FIS - US31620M1062 - Common Stock
64.07 USD
+1.69 (+2.71%)
64.07 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to FIS. FIS was compared to 99 industry peers in the Financial Services industry. While FIS is still in line with the averages on profitability rating, there are concerns on its financial health. FIS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
FIS had positive earnings in the past year.
In the past year FIS had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: FIS reported negative net income in multiple years.
FIS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of FIS (0.46%) is worse than 62.63% of its industry peers.
FIS has a Return On Equity of 1.10%. This is in the lower half of the industry: FIS underperforms 68.69% of its industry peers.
FIS has a Return On Invested Capital of 4.80%. This is in the better half of the industry: FIS outperforms 63.64% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FIS is significantly below the industry average of 8.14%.
The last Return On Invested Capital (4.80%) for FIS is above the 3 year average (3.09%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 1.1% | ||
| ROIC | 4.8% |
ROA(3y)-11.43%
ROA(5y)-6.72%
ROE(3y)-29.08%
ROE(5y)-17.21%
ROIC(3y)3.09%
ROIC(5y)2.24%
1.3 Margins
The Profit Margin of FIS (1.45%) is worse than 67.68% of its industry peers.
In the last couple of years the Profit Margin of FIS has grown nicely.
FIS has a better Operating Margin (17.09%) than 61.62% of its industry peers.
FIS's Operating Margin has improved in the last couple of years.
FIS has a Gross Margin (36.65%) which is in line with its industry peers.
In the last couple of years the Gross Margin of FIS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.09% | ||
| PM (TTM) | 1.45% | ||
| GM | 36.65% |
OM growth 3Y9.59%
OM growth 5Y11.22%
PM growth 3Y47.46%
PM growth 5Y37.78%
GM growth 3Y1.56%
GM growth 5Y0.84%
2. Health
2.1 Basic Checks
FIS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
FIS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, FIS has more shares outstanding
Compared to 1 year ago, FIS has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.41, we must say that FIS is in the distress zone and has some risk of bankruptcy.
FIS has a Altman-Z score of 0.41. This is comparable to the rest of the industry: FIS outperforms 49.49% of its industry peers.
FIS has a debt to FCF ratio of 6.89. This is a slightly negative value and a sign of low solvency as FIS would need 6.89 years to pay back of all of its debts.
FIS has a Debt to FCF ratio (6.89) which is in line with its industry peers.
FIS has a Debt/Equity ratio of 0.79. This is a neutral value indicating FIS is somewhat dependend on debt financing.
FIS has a Debt to Equity ratio (0.79) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 6.89 | ||
| Altman-Z | 0.41 |
ROIC/WACC0.72
WACC6.62%
2.3 Liquidity
FIS has a Current Ratio of 0.53. This is a bad value and indicates that FIS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of FIS (0.53) is worse than 62.63% of its industry peers.
FIS has a Quick Ratio of 0.53. This is a bad value and indicates that FIS is not financially healthy enough and could expect problems in meeting its short term obligations.
FIS has a worse Quick ratio (0.53) than 61.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.17% over the past year.
FIS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.91% yearly.
FIS shows a small growth in Revenue. In the last year, the Revenue has grown by 4.24%.
Measured over the past years, FIS shows a decrease in Revenue. The Revenue has been decreasing by -0.40% on average per year.
EPS 1Y (TTM)14.17%
EPS 3Y-7.1%
EPS 5Y-3.91%
EPS Q2Q%7.86%
Revenue 1Y (TTM)4.24%
Revenue growth 3Y2.74%
Revenue growth 5Y-0.4%
Sales Q2Q%5.72%
3.2 Future
The Earnings Per Share is expected to grow by 7.82% on average over the next years.
FIS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.18% yearly.
EPS Next Y10.46%
EPS Next 2Y9.7%
EPS Next 3Y9.45%
EPS Next 5Y7.82%
Revenue Next Year3.63%
Revenue Next 2Y4.04%
Revenue Next 3Y4.16%
Revenue Next 5Y4.18%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.69 indicates a reasonable valuation of FIS.
The rest of the industry has a similar Price/Earnings ratio as FIS.
When comparing the Price/Earnings ratio of FIS to the average of the S&P500 Index (25.45), we can say FIS is valued rather cheaply.
A Price/Forward Earnings ratio of 10.12 indicates a reasonable valuation of FIS.
FIS's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.46, FIS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.69 | ||
| Fwd PE | 10.12 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FIS.
Based on the Price/Free Cash Flow ratio, FIS is valued a bit cheaper than 61.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.73 | ||
| EV/EBITDA | 11.61 |
4.3 Compensation for Growth
FIS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.12
PEG (5Y)N/A
EPS Next 2Y9.7%
EPS Next 3Y9.45%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.41%, FIS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.68, FIS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.45, FIS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.41% |
5.2 History
The dividend of FIS decreases each year by -1.76%.
FIS has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-1.76%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
547.37% of the earnings are spent on dividend by FIS. This is not a sustainable payout ratio.
DP547.37%
EPS Next 2Y9.7%
EPS Next 3Y9.45%
64.07
+1.69 (+2.71%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners101.13%
Inst Owner Change-2.84%
Ins Owners0.07%
Ins Owner Change4.87%
Market Cap33.47B
Revenue(TTM)10.46B
Net Income(TTM)152.00M
Analysts76.13
Price Target84.97 (32.62%)
Short Float %2.21%
Short Ratio2.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.41% |
Yearly Dividend1.44
Dividend Growth(5Y)-1.76%
DP547.37%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.22%
Min EPS beat(2)-1.03%
Max EPS beat(2)0.58%
EPS beat(4)3
Avg EPS beat(4)0.43%
Min EPS beat(4)-1.03%
Max EPS beat(4)2.16%
EPS beat(8)6
Avg EPS beat(8)3.95%
EPS beat(12)9
Avg EPS beat(12)3.85%
EPS beat(16)11
Avg EPS beat(16)2.8%
Revenue beat(2)2
Avg Revenue beat(2)0.85%
Min Revenue beat(2)0.46%
Max Revenue beat(2)1.23%
Revenue beat(4)2
Avg Revenue beat(4)-0.13%
Min Revenue beat(4)-2.22%
Max Revenue beat(4)1.23%
Revenue beat(8)2
Avg Revenue beat(8)-0.48%
Revenue beat(12)4
Avg Revenue beat(12)-5.46%
Revenue beat(16)5
Avg Revenue beat(16)-17.94%
PT rev (1m)-2.51%
PT rev (3m)-6.36%
EPS NQ rev (1m)-0.21%
EPS NQ rev (3m)-0.27%
EPS NY rev (1m)0.04%
EPS NY rev (3m)0.11%
Revenue NQ rev (1m)0.43%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.69 | ||
| Fwd PE | 10.12 | ||
| P/S | 3.2 | ||
| P/FCF | 17.73 | ||
| P/OCF | 12.21 | ||
| P/B | 2.41 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.61 |
EPS(TTM)5.48
EY8.55%
EPS(NY)6.33
Fwd EY9.88%
FCF(TTM)3.61
FCFY5.64%
OCF(TTM)5.25
OCFY8.19%
SpS20.03
BVpS26.53
TBVpS-14.89
PEG (NY)1.12
PEG (5Y)N/A
Graham Number57.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 1.1% | ||
| ROCE | 6.99% | ||
| ROIC | 4.8% | ||
| ROICexc | 4.95% | ||
| ROICexgc | 25.79% | ||
| OM | 17.09% | ||
| PM (TTM) | 1.45% | ||
| GM | 36.65% | ||
| FCFM | 18.04% |
ROA(3y)-11.43%
ROA(5y)-6.72%
ROE(3y)-29.08%
ROE(5y)-17.21%
ROIC(3y)3.09%
ROIC(5y)2.24%
ROICexc(3y)3.21%
ROICexc(5y)2.33%
ROICexgc(3y)27.77%
ROICexgc(5y)N/A
ROCE(3y)4.44%
ROCE(5y)3.22%
ROICexgc growth 3Y-19.6%
ROICexgc growth 5Y-23.17%
ROICexc growth 3Y54.67%
ROICexc growth 5Y34.72%
OM growth 3Y9.59%
OM growth 5Y11.22%
PM growth 3Y47.46%
PM growth 5Y37.78%
GM growth 3Y1.56%
GM growth 5Y0.84%
F-Score6
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 6.89 | ||
| Debt/EBITDA | 3.01 | ||
| Cap/Depr | 45.84% | ||
| Cap/Sales | 8.15% | ||
| Interest Coverage | 4.91 | ||
| Cash Conversion | 75.12% | ||
| Profit Quality | 1242.11% | ||
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 0.41 |
F-Score6
WACC6.62%
ROIC/WACC0.72
Cap/Depr(3y)48.27%
Cap/Depr(5y)41.27%
Cap/Sales(3y)8.75%
Cap/Sales(5y)9.73%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.17%
EPS 3Y-7.1%
EPS 5Y-3.91%
EPS Q2Q%7.86%
EPS Next Y10.46%
EPS Next 2Y9.7%
EPS Next 3Y9.45%
EPS Next 5Y7.82%
Revenue 1Y (TTM)4.24%
Revenue growth 3Y2.74%
Revenue growth 5Y-0.4%
Sales Q2Q%5.72%
Revenue Next Year3.63%
Revenue Next 2Y4.04%
Revenue Next 3Y4.16%
Revenue Next 5Y4.18%
EBIT growth 1Y7%
EBIT growth 3Y12.59%
EBIT growth 5Y10.77%
EBIT Next Year43.13%
EBIT Next 3Y17.13%
EBIT Next 5Y13.83%
FCF growth 1Y-38.32%
FCF growth 3Y-29.37%
FCF growth 5Y-4.54%
OCF growth 1Y-30.64%
OCF growth 3Y-24.49%
OCF growth 5Y-2.99%
FIDELITY NATIONAL INFO SERV / FIS FAQ
Can you provide the ChartMill fundamental rating for FIDELITY NATIONAL INFO SERV?
ChartMill assigns a fundamental rating of 4 / 10 to FIS.
What is the valuation status for FIS stock?
ChartMill assigns a valuation rating of 5 / 10 to FIDELITY NATIONAL INFO SERV (FIS). This can be considered as Fairly Valued.
What is the profitability of FIS stock?
FIDELITY NATIONAL INFO SERV (FIS) has a profitability rating of 5 / 10.
What is the valuation of FIDELITY NATIONAL INFO SERV based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FIDELITY NATIONAL INFO SERV (FIS) is 11.69 and the Price/Book (PB) ratio is 2.41.
How sustainable is the dividend of FIDELITY NATIONAL INFO SERV (FIS) stock?
The dividend rating of FIDELITY NATIONAL INFO SERV (FIS) is 3 / 10 and the dividend payout ratio is 547.37%.