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Fidelity National Information Services, Inc. (FIS), headquartered in Jacksonville, Florida, is a major player in the financial technology and services industry. Specializing in payment processing, banking solutions, and financial software, FIS serves a diverse range of clients, including banks, merchants, and capital markets firms. With a market cap of $41.71 billion, FIS is a leading force in its industry. The company's dedication to innovative solutions and reliable customer service reinforces its position as a key contributor to the financial services landscape.
Companies worth $10 billion or more are considered "large-cap" stocks, and Fidelity National Information exemplifies this category with its substantial size, stability, and influence in the financial technology and services industry. FIS remains a crucial player in the market by continually enhancing its range of comprehensive business solutions and driving innovation in payment processing, banking software, and financial services technology.
Shares of FIS have dropped 4.8% from their 52-week high of $78.73, which they reached on May 20. Over the past three months, FIS' shares have gained 3.7%, underperforming the broader Nasdaq Composite ($NASX), which gained 9.1% during the same period.
In the longer term, FIS is up 24.8% on a YTD basis, and the shares have gained 42.4% over the past 52 weeks. In comparison, the Nasdaq is up 18.6% in 2024 and 33.5% over the past year.
To confirm the bullish trend, FIS has been trading above its 200-day moving average since late November 2023 and its 50-day moving average since early May.
Fidelity National Information reported Q1 results on May 6, exceeding Wall Street expectations for EPS and revenue. The company reported a net income of $1.25 per share for the recent quarter. Adjusted earnings of $1.10 per share surpassed Wall Street expectations of $0.96. The company's revenue for the period was $2.47 billion, exceeding the forecasted $2.45 billion.
For the full year, the company anticipates earnings between $4.88 and $4.98 per share, with revenue between $10.1 billion and $10.15 billion. The stock declined marginally on the day it released earnings but gained 5.5% the following day.
Despite FIS' recent underperformance compared to NASX, analysts are moderately optimistic about its prospects. The stock has a consensus rating of "Moderate Buy" from 28 analysts in coverage. The mean price target of $80.12 reflects a 6.8% premium over current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
