FIDELITY NATIONAL INFO SERV (FIS)
US31620M1062 - Common Stock
We assign a fundamental rating of 4 out of 10 to FIS. FIS was compared to 99 industry peers in the Financial Services industry. There are concerns on the financial health of FIS while its profitability can be described as average. FIS has a correct valuation and a medium growth rate.
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.
In multiple years FIS reported negative net income over the last 5 years.
In the past 5 years FIS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.13%, FIS is in the better half of the industry, outperforming 71.72% of the companies in the same industry.
FIS's Return On Equity of 8.57% is in line compared to the rest of the industry. FIS outperforms 46.46% of its industry peers.
The Return On Invested Capital of FIS (4.04%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for FIS is significantly below the industry average of 7.84%.
The 3 year average ROIC (1.92%) for FIS is below the current ROIC(4.04%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.13% | ||
| ROE | 8.57% | ||
| ROIC | 4.04% |
ROA(3y)-12.67%
ROA(5y)-7.49%
ROE(3y)-31.8%
ROE(5y)-18.9%
ROIC(3y)1.92%
ROIC(5y)1.48%
1.3 Margins
FIS has a Profit Margin of 14.15%. This is in the better half of the industry: FIS outperforms 60.61% of its industry peers.
Looking at the Operating Margin, with a value of 16.65%, FIS is in line with its industry, outperforming 57.58% of the companies in the same industry.
FIS's Operating Margin has declined in the last couple of years.
The Gross Margin of FIS (37.89%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of FIS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.65% | ||
| PM (TTM) | 14.15% | ||
| GM | 37.89% |
OM growth 3Y43.18%
OM growth 5Y-2.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.77%
GM growth 5Y2.01%
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
The debt/assets ratio for FIS is higher compared to a year ago.
2.2 Solvency
FIS has an Altman-Z score of 1.03. This is a bad value and indicates that FIS is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.03, FIS is doing good in the industry, outperforming 60.61% of the companies in the same industry.
FIS has a debt to FCF ratio of 6.26. This is a slightly negative value and a sign of low solvency as FIS would need 6.26 years to pay back of all of its debts.
FIS has a Debt to FCF ratio of 6.26. This is comparable to the rest of the industry: FIS outperforms 55.56% of its industry peers.
FIS has a Debt/Equity ratio of 0.64. This is a neutral value indicating FIS is somewhat dependend on debt financing.
FIS has a Debt to Equity ratio (0.64) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 6.26 | ||
| Altman-Z | 1.03 |
ROIC/WACC0.55
WACC7.35%
2.3 Liquidity
FIS has a Current Ratio of 1.18. This is a normal value and indicates that FIS is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.18, FIS perfoms like the industry average, outperforming 56.57% of the companies in the same industry.
FIS has a Quick Ratio of 1.18. This is a normal value and indicates that FIS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.18, FIS is in line with its industry, outperforming 57.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
FIS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.58%.
Measured over the past 5 years, FIS shows a small growth in Earnings Per Share. The EPS has been growing by 0.68% on average per year.
FIS shows a small growth in Revenue. In the last year, the Revenue has grown by 1.98%.
The Revenue has been growing slightly by 3.12% on average over the past years.
EPS 1Y (TTM)-22.58%
EPS 3Y-0.24%
EPS 5Y0.68%
EPS Q2Q%-15.15%
Revenue 1Y (TTM)1.98%
Revenue growth 3Y-7.85%
Revenue growth 5Y3.12%
Sales Q2Q%3.25%
3.2 Future
FIS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.31% yearly.
FIS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.12% yearly.
EPS Next Y-3.46%
EPS Next 2Y3.03%
EPS Next 3Y5.33%
EPS Next 5Y6.31%
Revenue Next Year3.29%
Revenue Next 2Y3.8%
Revenue Next 3Y3.99%
Revenue Next 5Y4.12%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.97, the valuation of FIS can be described as correct.
FIS's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 27.73. FIS is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 14.13, which indicates a correct valuation of FIS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FIS is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.83. FIS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.97 | ||
| Fwd PE | 14.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FIS is valued a bit cheaper than the industry average as 67.68% of the companies are valued more expensively.
FIS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FIS is cheaper than 60.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.13 | ||
| EV/EBITDA | 12.2 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)25.09
EPS Next 2Y3.03%
EPS Next 3Y5.33%
5. Dividend
5.1 Amount
FIS has a Yearly Dividend Yield of 1.80%.
Compared to an average industry Dividend Yield of 3.76, FIS pays a bit more dividend than its industry peers.
FIS's Dividend Yield is slightly below the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
The dividend of FIS is nicely growing with an annual growth rate of 10.45%!
FIS has paid a dividend for at least 10 years, which is a reliable track record.
FIS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.45%
Div Incr Years3
Div Non Decr Years20
5.3 Sustainability
FIS pays out 64.30% of its income as dividend. This is not a sustainable payout ratio.
FIS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP64.3%
EPS Next 2Y3.03%
EPS Next 3Y5.33%
FIDELITY NATIONAL INFO SERV
NYSE:FIS (12/20/2024, 8:11:28 PM)
After market: 81.46 0 (0%)81.46
+1.32 (+1.65%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners98%
Inst Owner Change-1.83%
Ins Owners0.05%
Ins Owner Change2.05%
Market Cap43.85B
Analysts75.56
Price Target95.37 (17.08%)
Short Float %2.35%
Short Ratio3.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Dividend Growth(5Y)10.45%
DP64.3%
Div Incr Years3
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.2%
Min EPS beat(2)7.13%
Max EPS beat(2)9.27%
EPS beat(4)3
Avg EPS beat(4)7.46%
Min EPS beat(4)-0.98%
Max EPS beat(4)14.42%
EPS beat(8)6
Avg EPS beat(8)5.56%
EPS beat(12)8
Avg EPS beat(12)3.59%
EPS beat(16)12
Avg EPS beat(16)3.37%
Revenue beat(2)0
Avg Revenue beat(2)-0.79%
Min Revenue beat(2)-0.84%
Max Revenue beat(2)-0.73%
Revenue beat(4)0
Avg Revenue beat(4)-0.82%
Min Revenue beat(4)-1.61%
Max Revenue beat(4)-0.12%
Revenue beat(8)2
Avg Revenue beat(8)-8.13%
Revenue beat(12)3
Avg Revenue beat(12)-23.87%
Revenue beat(16)5
Avg Revenue beat(16)-17.95%
PT rev (1m)8.05%
PT rev (3m)12.4%
EPS NQ rev (1m)-0.05%
EPS NQ rev (3m)2.11%
EPS NY rev (1m)0.19%
EPS NY rev (3m)1.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.26%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.97 | ||
| Fwd PE | 14.13 | ||
| P/S | 4.37 | ||
| P/FCF | 25.13 | ||
| P/OCF | 15.06 | ||
| P/B | 2.65 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.2 |
EPS(TTM)4.8
EY5.89%
EPS(NY)5.76
Fwd EY7.08%
FCF(TTM)3.24
FCFY3.98%
OCF(TTM)5.41
OCFY6.64%
SpS18.65
BVpS30.78
TBVpS-7.63
PEG (NY)N/A
PEG (5Y)25.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.13% | ||
| ROE | 8.57% | ||
| ROCE | 5.72% | ||
| ROIC | 4.04% | ||
| ROICexc | 4.23% | ||
| ROICexgc | 16.19% | ||
| OM | 16.65% | ||
| PM (TTM) | 14.15% | ||
| GM | 37.89% | ||
| FCFM | 17.38% |
ROA(3y)-12.67%
ROA(5y)-7.49%
ROE(3y)-31.8%
ROE(5y)-18.9%
ROIC(3y)1.92%
ROIC(5y)1.48%
ROICexc(3y)1.96%
ROICexc(5y)1.53%
ROICexgc(3y)29.35%
ROICexgc(5y)N/A
ROCE(3y)2.97%
ROCE(5y)2.26%
ROICexcg growth 3YN/A
ROICexcg growth 5Y-44.59%
ROICexc growth 3Y56.81%
ROICexc growth 5Y-13.55%
OM growth 3Y43.18%
OM growth 5Y-2.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.77%
GM growth 5Y2.01%
F-Score8
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 6.26 | ||
| Debt/EBITDA | 2.46 | ||
| Cap/Depr | 44.15% | ||
| Cap/Sales | 11.63% | ||
| Interest Coverage | 3.49 | ||
| Cash Conversion | 67.5% | ||
| Profit Quality | 122.89% | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 1.03 |
F-Score8
WACC7.35%
ROIC/WACC0.55
Cap/Depr(3y)36.41%
Cap/Depr(5y)34.7%
Cap/Sales(3y)13.04%
Cap/Sales(5y)11.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-22.58%
EPS 3Y-0.24%
EPS 5Y0.68%
EPS Q2Q%-15.15%
EPS Next Y-3.46%
EPS Next 2Y3.03%
EPS Next 3Y5.33%
EPS Next 5Y6.31%
Revenue 1Y (TTM)1.98%
Revenue growth 3Y-7.85%
Revenue growth 5Y3.12%
Sales Q2Q%3.25%
Revenue Next Year3.29%
Revenue Next 2Y3.8%
Revenue Next 3Y3.99%
Revenue Next 5Y4.12%
EBIT growth 1Y9.57%
EBIT growth 3Y31.93%
EBIT growth 5Y0.35%
EBIT Next Year81.21%
EBIT Next 3Y26.53%
EBIT Next 5Y19.89%
FCF growth 1Y-28.89%
FCF growth 3Y-1.02%
FCF growth 5Y18.57%
OCF growth 1Y-25.54%
OCF growth 3Y-0.81%
OCF growth 5Y16.81%