Fiserv Gives Upbeat Forecast

Many companies are holding their investor days this time of year. Or this year, they’re holding virtual investor days. Disney’s is going to be on Thursday.

Today is Fiserv’s (FISV) turn. I like Fiserv a lot, but it’s had a tough year. That’s unusual for Fiserv. The stock trailed in the bear market and trailed in the rally. Lately, the shares have started to perk up.

For 2020, Fiserv expects to see its EPS grow by 11% over last year. That would make it Fiserv’s 35th year in a row of double-digit growth.

Let’s do some math. Last year, Fiserv made $4.00 per share so 11% from there comes to $4.44 per share. The company has raked in $3.12 per over the first three quarters so that implies Q4 earnings of $1.32 per share. Sure enough, Wall Street had been expecting $1.30 per share. That’s pretty good.

For next year, Fiserv expects internal revenue growth of 7% to 12% and EPS growth of 20% to 25%.

Fiserv also expects internal revenue growth of 7% to 9% annually for 2022 and 2023, and EPS growth of 15% to 20% over this timeframe.

Posted by on December 8th, 2020 at 12:55 pm


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