67.4 USD
+1.67 (+2.54%)
66.837 USD
-0.56 (-0.84%)
FISV gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 97 industry peers in the Financial Services industry. While FISV has a great profitability rating, there are some minor concerns on its financial health. FISV may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
- FISV had positive earnings in the past year.
- FISV had a positive operating cash flow in the past year.
- Each year in the past 5 years FISV has been profitable.
- FISV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a decent Return On Assets value of 4.54%, FISV is doing good in the industry, outperforming 73.20% of the companies in the same industry.
- FISV has a better Return On Equity (14.36%) than 74.23% of its industry peers.
- FISV's Return On Invested Capital of 8.87% is fine compared to the rest of the industry. FISV outperforms 79.38% of its industry peers.
- FISV had an Average Return On Invested Capital over the past 3 years of 7.07%. This is in line with the industry average of 8.44%.
- The last Return On Invested Capital (8.87%) for FISV is above the 3 year average (7.07%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.54% | ||
| ROE | 14.36% | ||
| ROIC | 8.87% |
ROA(3y)3.48%
ROA(5y)2.7%
ROE(3y)10.02%
ROE(5y)7.46%
ROIC(3y)7.07%
ROIC(5y)5.33%
1.3 Margins
- With a decent Profit Margin value of 17.05%, FISV is doing good in the industry, outperforming 63.92% of the companies in the same industry.
- In the last couple of years the Profit Margin of FISV has grown nicely.
- FISV has a better Operating Margin (28.72%) than 75.26% of its industry peers.
- FISV's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 60.48%, FISV is in the better half of the industry, outperforming 73.20% of the companies in the same industry.
- In the last couple of years the Gross Margin of FISV has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.72% | ||
| PM (TTM) | 17.05% | ||
| GM | 60.48% |
OM growth 3Y26.51%
OM growth 5Y12.26%
PM growth 3Y23.02%
PM growth 5Y11.79%
GM growth 3Y6.82%
GM growth 5Y4.7%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FISV is still creating some value.
- FISV has less shares outstanding than it did 1 year ago.
- FISV has less shares outstanding than it did 5 years ago.
- FISV has a worse debt/assets ratio than last year.
2.2 Solvency
- FISV has an Altman-Z score of 1.41. This is a bad value and indicates that FISV is not financially healthy and even has some risk of bankruptcy.
- The Altman-Z score of FISV (1.41) is better than 63.92% of its industry peers.
- FISV has a debt to FCF ratio of 6.54. This is a slightly negative value and a sign of low solvency as FISV would need 6.54 years to pay back of all of its debts.
- With a decent Debt to FCF ratio value of 6.54, FISV is doing good in the industry, outperforming 61.86% of the companies in the same industry.
- FISV has a Debt/Equity ratio of 1.15. This is a high value indicating a heavy dependency on external financing.
- FISV has a Debt to Equity ratio (1.15) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 6.54 | ||
| Altman-Z | 1.41 |
ROIC/WACC1.12
WACC7.93%
2.3 Liquidity
- FISV has a Current Ratio of 1.08. This is a normal value and indicates that FISV is financially healthy and should not expect problems in meeting its short term obligations.
- FISV has a Current ratio (1.08) which is comparable to the rest of the industry.
- A Quick Ratio of 1.08 indicates that FISV should not have too much problems paying its short term obligations.
- With a Quick ratio value of 1.08, FISV perfoms like the industry average, outperforming 52.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
- FISV shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.76%.
- Measured over the past years, FISV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.28% on average per year.
- FISV shows a small growth in Revenue. In the last year, the Revenue has grown by 5.16%.
- The Revenue has been growing by 14.96% on average over the past years. This is quite good.
EPS 1Y (TTM)7.76%
EPS 3Y16.49%
EPS 5Y18.28%
EPS Q2Q%-11.3%
Revenue 1Y (TTM)5.16%
Revenue growth 3Y8.03%
Revenue growth 5Y14.96%
Sales Q2Q%-5.68%
3.2 Future
- FISV is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.05% yearly.
- Based on estimates for the next years, FISV will show a small growth in Revenue. The Revenue will grow by 4.28% on average per year.
EPS Next Y-0.59%
EPS Next 2Y-1.55%
EPS Next 3Y2.04%
EPS Next 5Y5.05%
Revenue Next Year3.55%
Revenue Next 2Y3%
Revenue Next 3Y3.38%
Revenue Next 5Y4.28%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 7.36, the valuation of FISV can be described as very cheap.
- FISV's Price/Earnings ratio is rather cheap when compared to the industry. FISV is cheaper than 84.54% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.32. FISV is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 7.88, which indicates a rather cheap valuation of FISV.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of FISV indicates a somewhat cheap valuation: FISV is cheaper than 71.13% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of FISV to the average of the S&P500 Index (24.32), we can say FISV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.36 | ||
| Fwd PE | 7.88 |
4.2 Price Multiples
- FISV's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. FISV is cheaper than 85.57% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of FISV indicates a rather cheap valuation: FISV is cheaper than 82.47% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.85 | ||
| EV/EBITDA | 6.93 |
4.3 Compensation for Growth
- FISV has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.4
EPS Next 2Y-1.55%
EPS Next 3Y2.04%
5. Dividend
5.1 Amount
- No dividends for FISV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FISERV INC / FISV FAQ
What is the ChartMill fundamental rating of FISERV INC (FISV) stock?
ChartMill assigns a fundamental rating of 5 / 10 to FISV.
What is the valuation status for FISV stock?
ChartMill assigns a valuation rating of 8 / 10 to FISERV INC (FISV). This can be considered as Undervalued.
Can you provide the profitability details for FISERV INC?
FISERV INC (FISV) has a profitability rating of 8 / 10.
How financially healthy is FISERV INC?
The financial health rating of FISERV INC (FISV) is 4 / 10.
Can you provide the expected EPS growth for FISV stock?
The Earnings per Share (EPS) of FISERV INC (FISV) is expected to decline by -0.59% in the next year.