Fiserv Fires On All Cylinders, Analysts Bump Up Price Forecasts Post Q4 Results

Several analysts raised the price target on Fiserv, Inc. FI following fourth-quarter 2024 results reported on Wednesday.

The company reported revenue of $5.25 billion, beating the analyst consensus estimate of $4.96 billion, and adjusted EPS of $2.51, beating the analyst consensus estimate of $2.48. 

Fiserv expects FY25 organic revenue growth of 10%-12% and adjusted EPS outlook of $10.10-$10.30, representing growth of 15%-17% Y/Y vs. the $10.20 consensus.

Stephens analyst Charles Nabhan raised the price forecast from $255 to $270 while reaffirming an Overweight rating.

The analyst writes that the lapping of Argentina comparables and the timing of go-lives should lead to first-quarter organic growth of less than 10% and second-half growth of above 12%.

With the transitory impact of excess inflation and Dolar Turista weakening through the year, the analyst expects adjusted and organic revenue to converge through the year.

For 2025, Nabhan projects a 1.5% foreign exchange headwind and estimates FY26 adj. EPS of $12.06.

Also, Keefe, Bruyette & Woods analyst Vasundhara Govil raised the price forecast from $238 to $260 while reaffirming an Outperform rating.

The analyst says that Fiserv continues to experience healthy business trends, with volume growth in line with Visa and Mastercard across SMB and Enterprise segments and momentum carrying into January.

Distribution expansion and new product rollouts are strengthening Clover, while upcoming new client wins in 2025 should drive further growth in Financial Solutions, per the analyst.

The analyst increased the FY25 EPS estimate to $10.20 (from $10.10) and FY26 EPS estimate to $11.75 (from $11.65) to reflect the quarterly beat and strong underlying growth drivers.

Moreover, KeyBanc analyst Alex Markgraff raised the price forecast from $250 to $270 while maintaining an Overweight rating.

The analyst says that Fiserv’s results were solid, with strong Clover revenue growth and above-Street FY25 guidance for adjusted revenue and EPS standing out as key positives.

Management’s commentary on the CEO transition and FY25 growth opportunities was encouraging, despite some uneven growth cadence, adds the analyst.

As a result, Markgraff raised the FY25/FY26 estimates, driven primarily by stronger Merchant Solutions growth and margin expansion.

Additionally, RBC Capital Markets analyst Daniel R. Perlin raised the price forecast from $255 to $270 while maintaining an Outperform rating.

The analyst says that FI delivered strong results, exceeding expectations, with Clover revenue up 29% year-over-year and issuing FY25 guidance that supports continued momentum.

The analyst adjusted FY25 revenue estimate to $20.5 billion (from $20.8 billion) while maintaining the adjusted EPS estimate at $10.20. Additionally, Perlin estimates FY26 of $22.2 billion in revenue and $11.80 in adjusted EPS.

Investors can gain exposure to the stock via TCW Compounders ETF GRW and Global X FinTech ETF FINX.

Price Action: FI shares are up 0.48% at $230.64 at the last check Thursday.

Read Next:

• Stocks Rebound, Google Eyes Worst Drop In A Year, Gold Shatters Fresh Records: What’s Driving Markets Wednesday?

Photo via Shutterstock.