Jefferies analyst Trevor Williams has reduced the price target for Fiserv (FI, Financial) to $165 from a previous $180, while maintaining a Hold rating on the stock. The revised outlook is due to a projected slowdown in growth, with expectations of only modest increases in normalized Gross Payment Volume (GPV) in the U.S. This reflects a more tempered outlook on Clover’s growth trajectory, as investors become less enthusiastic about its prospects.
Williams highlighted that over the last five years, there has been a shift towards focusing on a specific key performance indicator—in this case, Clover's GPV—leading to a diminished emphasis on valuation. This change in focus has been observed across the industry and suggests that market participants may prioritize operational metrics over traditional valuation metrics in their investment decisions.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 33 analysts, the average target price for Fiserv Inc (FI, Financial) is $221.49 with a high estimate of $268.00 and a low estimate of $136.00. The average target implies an upside of 39.01% from the current price of $159.34. More detailed estimate data can be found on the Fiserv Inc (FI) Forecast page.
Based on the consensus recommendation from 36 brokerage firms, Fiserv Inc's (FI, Financial) average brokerage recommendation is currently 1.8, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Fiserv Inc (FI, Financial) in one year is $168.92, suggesting a upside of 6.01% from the current price of $159.34. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Fiserv Inc (FI) Summary page.
