J.P. Morgan Notes FIS's Updated Guidance

J.P. Morgan notes FIS's updated estimates FIS after FIS's annual investor conference. In a note to clients, "Guidance update: FY11 mixed, expanding LT objectives. FIS is guiding FY11 revenue growth of 9-11% or 4-6% in organic constant currency which compares to JPM/Street estimates of 2.9%/4.6%. Guidance for FY11 adj. EPS was $2.24-2.34 or $2.28-2.40 excluding deal integration and the Capco acquisition, which we believe is more comparable to JPMe/Street of $2.34/$2.40. It appears that FIS is taking a more GAAP oriented approach towards EPS than before, which is a long-term positive in our view, but could result in short-term estimates moving lower." FIS closed yesterday at $28.15.