Nasdaq:FISV
FISERV INC
A leading provider of integrated payment technologies for the banking industry with robust recurring revenue streams and strong operational cash flow.
Key Metrics
Investment Thesis
Bull Case
Investors should consider buying due to the company's predictable cash flows driven by recurring contract revenue, its dominant market position with significant goodwill indicating strong brand equity, and consistent earnings expansion despite high capital expenditures.
Bear Case
Concerns regarding the stock include elevated levels of accumulated other comprehensive income loss and negative cash flow from financing activities, alongside substantial non-operating losses that may impact future profit margins if operational efficiency does not improve.
About FISERV INC
FISERV Inc. provides payment technology services to banks, merchants, and consumers across North America and Europe, primarily through its core processing platforms like Fidelis and Fusion.
Analysis
Management Discussion
The company demonstrated consistent top-line growth with revenue rising from $17.74B in 2022 to $21.19B in 2025, while net income increased steadily from $2.58B to $3.49B over the same period.
Industry Overview
The financial technology services industry is evolving rapidly with a shift toward digital wallets and contactless payments, creating opportunities for established players to modernize legacy infrastructure while facing disruption from agile fintech startups.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $17.74B | $19.09B | $20.46B | $21.19B |
| Cost of Revenue | $0 | $0 | $0 | $0 |
| Gross Profit | $17.74B | $19.09B | $20.46B | $21.19B |
| Operating Expenses | $14.00B | $14.08B | $14.58B | $15.38B |
| Operating Income | $3.74B | $5.01B | $5.88B | $5.82B |
| G&A | $6.06B | $6.58B | $6.56B | $6.88B |
| Stock-Based Comp | $323.0M | $342.0M | $367.0M | $357.0M |
| D&A | $3.21B | $3.16B | — | — |
| Depreciation | $555.0M | $566.0M | $589.0M | $669.0M |
| Amortization | $2.44B | $2.36B | $2.30B | $2.30B |
| Other OpEx | $7.94B | $7.50B | $8.01B | $8.49B |
| Non-Operating Income | $-827.0M | $-1.12B | $-1.37B | $-1.55B |
| Interest Expense | $746.0M | $1.00B | — | — |
| Interest Income | $13.0M | $28.0M | $43.0M | $38.0M |
| Pre-Tax Income | $2.91B | $3.90B | $4.51B | $4.26B |
| Income Tax | $551.0M | $754.0M | $641.0M | $811.0M |
| Continuing Ops | $2.36B | $3.14B | $3.87B | $3.45B |
| Discontinued Ops | $220.0M | $-15.0M | $-685.0M | $37.0M |
| Net Income | $2.58B | $3.13B | $3.18B | $3.49B |
| Minority Interest | $52.0M | $61.0M | $49.0M | $10.0M |
| Net to Common | $2.53B | $3.07B | $3.13B | $3.48B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Current Assets | $27.54B | $34.81B | $23.48B | $24.65B |
| Cash & Equivalents | $902.0M | $1.20B | $1.24B | $798.0M |
| Accounts Receivable | $3.58B | $3.58B | $3.73B | $3.98B |
| Prepaid Expenses | $1.57B | $2.34B | $3.09B | $3.40B |
| Other Current Assets | $21.48B | $27.68B | $15.43B | $16.48B |
| Long-Term Assets | $56.33B | $56.08B | $53.70B | $55.48B |
| PP&E (Net) | — | $2.16B | $2.37B | $3.08B |
| Goodwill | $36.81B | $37.20B | $36.58B | $37.70B |
| Operating Leases | $586.0M | $628.0M | $595.0M | $589.0M |
| Other LT Assets | $16.52B | $13.82B | $12.64B | $13.06B |
| Total Assets | $83.87B | $90.89B | $77.18B | $80.13B |
| Current Liabilities | $26.46B | $33.55B | $22.16B | $23.89B |
| Accounts Payable | $652.0M | $449.0M | $511.0M | $797.0M |
| Current Leases | $124.0M | $118.0M | $116.0M | $126.0M |
| Deferred Revenue | $625.0M | $761.0M | $819.0M | $865.0M |
| Other Current Liab | $25.06B | $32.22B | $20.71B | $22.10B |
| Long-Term Liabilities | $25.72B | $26.67B | $27.33B | $30.43B |
| LT Operating Leases | $628.0M | $665.0M | $654.0M | $637.0M |
| Other LT Liab | $24.86B | $25.75B | $26.42B | $29.54B |
| Total Liabilities | $52.18B | $60.22B | $49.49B | $54.32B |
| Shareholders' Equity | $31.69B | $30.67B | $27.69B | $25.81B |
| Retained Earnings | $17.38B | $20.44B | $23.57B | $27.05B |
| AOCI | $-1.19B | $-783.0M | $-1.41B | $-984.0M |
| Treasury Stock | $8.38B | — | — | — |
| Total L&E | $83.87B | $90.89B | $77.18B | $80.13B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $2.58B | $3.13B | $3.18B | $3.49B |
| Non-Cash Adjustments | $154.0M | $919.0M | $2.12B | $775.0M |
| Working Capital Changes | $1.88B | $1.11B | $1.33B | $1.80B |
| Cash from Operations | $4.62B | $5.16B | $6.63B | $6.06B |
| Capital Expenditures | $1.48B | $1.39B | $1.57B | $1.76B |
| Cash from Investing | $-2.11B | $-1.07B | $-2.40B | $-2.52B |
| Debt Issuances | $1.62B | $5.57B | $6.78B | $6.50B |
| Cash from Financing | $-2.48B | $-4.36B | $-4.17B | $-3.83B |
| FX Effect | $-41.0M | $33.0M | $-32.0M | $99.0M |
| Net Change in Cash | $-13.0M | $-229.0M | $30.0M | $-191.0M |
| Beginning Cash | $3.21B | $3.19B | $2.96B | $2.99B |
| Ending Cash | $3.19B | $2.96B | $2.99B | $2.80B |
Frequently Asked Questions
How does FISERV INC make money?
The company generates revenue from three primary segments: Core Banking Solutions (Fidelis), Merchant Services (Fusion), and Data & Analytics, serving financial institutions, independent merchants, and large enterprises.
What are the main risks for FISV?
Potential regulatory changes in digital payments, cybersecurity threats targeting payment data, competitive pressure from fintech disruptors, and macroeconomic headwinds affecting credit card spending volumes.
What is FISV's competitive advantage?
Deep network effects within the banking ecosystem, high switching costs for enterprise clients, and a diversified revenue mix that provides stability against single-channel volatility.
Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.