| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 92 | 9.9x | 17.8x | Top tier | |
Growth | 22 | -1.2% | 7.1% | Bottom tier | |
Quality | 71 | 7.4% | 4.5% | Top tier | |
Safety | 44 | 3.7x | 2.6x | Around median | |
Capital Return | 85 | — | 2.12% | Top tier | |
Momentum | 14 | -61.4% | 2.9% | Bottom tier | |
Sentiment | 96 | 22 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Fiserv operates as a provider of financial and technology infrastructure for merchants, banks, credit unions, and card issuers, generating approximately 85% of its adjusted revenue from recurring sources. The company processes one-third of total U.S. merchant payment volume, ranks first in card issuer transaction processing within the U.S. market, and 80% of U.S. banks and credit unions use at least one of its products. The company combines merchant solutions, led by Clover and Commerce Hub, with financial institution solutions such as DNA, Finxact, digital payment platforms, and debit and credit card processing.
In Q2 FY2026, the financial statements reported revenue of $5.3 billion, net income of $627 million, and earnings per share of $1.17, compared with revenue of $5.0 billion and net income of $571 million in Q1 FY2026. On the adjusted basis used in the earnings call, revenue was $4.96 billion, down 4%, organic revenue declined 5%, adjusted operating income was approximately $1.6 billion at a margin of 31.8%, and free cash flow reached $1.1 billion at a conversion rate of 112%.
Merchant Solutions adjusted and organic revenue declined 1% in Q2 FY2026, and its adjusted operating income was $781 million at a margin of 30%, while Financial Solutions adjusted and organic revenue fell 8%, and its adjusted operating income was $912 million at a margin of 38.7%. Within Merchant Solutions, Clover gross payment volume increased 9%, and reported Clover revenue grew 2%, or 13% excluding anticipation revenue and non-recurring revenue, while value-added services represented 25% of Clover revenue and grew 10%. In Financial Solutions, payment platform transactions increased 5% and global accounts on file in the issuing business increased 4%, but banking revenue declined 10% organically and issuing revenue declined 10%. The majority
The analyst consensus is “Buy,” with an average price target of $62.46, within a wide range of $46 to $91; the average is only modestly above the 52-week range low of $47.04, but far below its high of $238.59. This substantial contraction between the range high and current target levels reflects a revaluation associated with the decline in organic revenue and the reduction in FY2026 growth, margin, and earnings-per-share guidance, while the wide target range demonstrates significant disagreement over the speed of the revenue recovery and the execution of Project Elevate.
Figures in the text are as of 2026-08-28; the live price is shown at the top of the page.
Fiserv provides infrastructure for payment processing and services to merchants, banks, credit unions, and card issuers through Clover, Commerce Hub, DNA, Finxact, and issuing and digital payment platforms. The company processes one-third of total U.S. merchant payment volume and serves 80% of U.S. banks and credit unions with at least one product. Recurring revenue represented 84% of adjusted revenue in Q2 FY2026 and grew 2%, partially mitigating fluctuations in non-recurring revenue.
The financial statements reported revenue of $5.3 billion, net income of $627 million, and earnings per share of $1.17 in Q2 FY2026. On the adjusted basis presented in the August 6, 2026 call, revenue was $4.96 billion, down 4%, while organic revenue declined 5%. Adjusted operating margin was 31.8%, and free cash flow reached $1.1 billion at a conversion rate of 112%.
The company lowered its organic revenue growth outlook to a range of negative 1% to flat and set adjusted revenue growth between negative 1.5% and negative 0.5%. Management attributed the change to delayed contract revenue and client go-lives of approximately two percentage points, product and hardware weakness of one point, Argentina anticipation of one point, and divestitures of one point. The adjusted operating margin range was also lowered to 31%–31.5%, and adjusted earnings per share to $7.20–$7.40, due to revenue weakness and more than $100 million in additional technology investment.
Automated analysis for informational purposes only — not investment advice.
Clover gross payment volume grew 9% in Q2 FY2026, or 11% excluding the payment gateway conversion. Reported revenue increased 2%, but grew 13% excluding anticipation and non-recurring revenue, while value-added services grew 10% and represented 25% of Clover revenue. The company targets gross payment volume growth of 10% to 15% excluding the conversion, but lowered its FY2026 reported Clover revenue growth outlook to the mid-single digits.
Flagstar Bank selected Finxact as the foundation for modernizing its core banking systems at an institution with at least $88 billion in assets, while positions and accounts on Finxact increased by more than 75%. Commerce Hub is the modern unified platform for the merchant business, and Fiserv partnered with Mastercard to integrate Merchant Cloud with it and add value-added services and global reach. Management explained on August 6, 2026, that the integration would take a few quarters, while also acknowledging that the platform still has competitive gaps that it is working to close.
Fiserv generated free cash flow of $1.1 billion in Q2 FY2026, with a conversion rate of 112%, and targets a conversion rate of approximately 90% for FY2026. It ended the quarter with a total debt-to-adjusted earnings before interest, taxes, depreciation, and amortization ratio below 3.2 times and targets ending FY2026 at approximately 3 times. It also repurchased 1.7 million shares for approximately $100 million during the quarter and identified savings opportunities of at least $500 million through Project Elevate.
