Fact based stock research
Fidelity National Information Services (NYSE:FIS)

US31620M1062

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For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

Fidelity National Information Services stock research in summary

fisglobal.com

ANALYSIS: With an Obermatt Combined Rank of 56 (better than 56% compared with investment alternatives), Fidelity National Information Services (Data Processing & Outsourcing, USA) shares have above-average financial characteristics compared with similar stocks. Shares of Fidelity National Information Services are a good value (attractively priced) with a consolidated Value Rank of 85 (better than 85% of alternatives), show above-average growth (Growth Rank of 57) but are riskily financed (Safety Rank of 33), which means above-average debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 56, is a buy recommendation based on Fidelity National Information Services's financial characteristics. As the company Fidelity National Information Services's key financial metrics exhibit excellent performance in two areas, such as good value (Obermatt Value Rank of 85) and above-average growth (Obermatt Growth Rank of 57), it could be argued that the risk-taking in financing (Obermatt Safety Rank of only 33) indicates that the company is optimistic about the future and sees debt as an opportunity to boost returns. More debt means more shareholder returns if everything goes well. However, higher debt burdens are risky when interest rates rise or the business deteriorates in a crisis. If you believe the company's future is market-typical or even better, this could be an argument for a share purchase. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	85
Growth Rank	57
Safety Rank	33
Combined Rank	56

Country	USA
Industry	Data Processing & Outsourcing
Index	Dividends USA, Employee Focus US, Employee Health US, S&P 500
Size class	XX-Large

This stock has achievements: Top 10 Stock.

28-Nov-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: Fidelity National Information Services

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	79	87	88	85
GROWTH
GROWTH	15	51	7	57
SAFETY
SAFETY	9	57	33	33
SENTIMENT
SENTIMENT	n/a	51	68	^new
360° VIEW
360° VIEW	n/a	79	38	^new

Most recent update of the stock research: 28-Nov-2024. Financial reporting date used for calculating ranks: 30-Sep-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better Fidelity National Information Services is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	79	87	88	85
GROWTH
GROWTH	15	51	7	57
SAFETY
SAFETY	9	57	33	33
COMBINED
COMBINED	15	86	28	56

Last update of combined financial performance: 28-Nov-2024. Stock analysis on combined financial performance: The higher the rank of Fidelity National Information Services the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 85 (better than 85% compared with alternatives) for 2024, Fidelity National Information Services shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators, with three out of four indicators above average for Fidelity National Information Services. Price-to-Profit (also referred to as price to earnings, P/E ratio) is 76 which means that the stock price compared with what market professionals expect for future profits is lower than for 76% of comparable companies, indicating a good value concerning Fidelity National Information Services's profit levels. The same is valid for the expected Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 67, and for Dividend Yield with a Dividend Yield Rank of 93. But, compared with other companies in the same industry, the stock price is higher than average as regards expected revenues; only 66% of all competitors have an even higher stock price as regards to sales revenues (a Price-to-Sales Rank of 34). Profits, the level of invested capital, and dividend policy suggest that this stock is attractively priced. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 85, is a buy recommendation based on Fidelity National Information Services's stock price compared with the company's operational size and dividend yields. Since it is on the expensive side for Price-to-Sales, it may mean that Fidelity National Information Services has pricing power in its distribution market because it can charge higher prices than its competitors. If this is the case, all four value indicators are positive signals for purchasing Fidelity National Information Services shares. 9. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	41	29	36	34
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	35	64	63	76
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	82	89	85	67
DIVIDEND YIELD
DIVIDEND YIELD	88	97	94	93
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	79	87	88	85

Last update of Value Rank: 28-Nov-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of Fidelity National Information Services; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 57 (better than 57% compared with alternatives), Fidelity National Information Services shows an above-average growth dynamic in its industry. Investors also speak of positive momentum. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for Fidelity National Information Services. Profit Growth has a rank of 71, which means that currently professionals expect the company to grow its profits more than 71% of its competitors. This is a good sign for shareholders, which is confirmed by an above-average Stock Returns rank of 73 (above 73% of alternative investments). But Sales Growth has a below the median rank of 20, which means that, currently, professionals expect the company to grow less than 80% of its competitors, and Capital Growth also has a lower rank of 41. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 57, is a buy recommendation for growth and momentum investors. Because revenues and invested capital are the more solid growth indicators, the positive development on the profit side is less relevant. It may have been caused by cost-cutting, which may be a negative growth indicator. Finally, the above-average stock returns recently are a thing of the past and not a good indicator of future returns. Investors should be confident that the cost-cutting initiative leading to higher profits is to benefit the company's future. If not, there is little growth momentum, and investment is only advisable if the Value Ranks suggest a good investment timing for Fidelity National Information Services. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is mixed here. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	38	26	13	20
PROFIT GROWTH
PROFIT GROWTH	57	41	20	71
CAPITAL GROWTH
CAPITAL GROWTH	n/a	71	10	41
STOCK RETURNS
STOCK RETURNS	37	51	23	73
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	15	51	7	57

Last update of Growth Rank: 28-Nov-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of Fidelity National Information Services.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 33 (better than 33% compared with alternatives), the company Fidelity National Information Services has financing practices on the riskier side, which means that their overall debt burden is above the industry average. This doesn't mean that the business of Fidelity National Information Services is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with all three metrics below average for Fidelity National Information Services. Liquidity is at 46, meaning that the company generates less profit to service its debt than 54% of its competitors. This indicates that the company is on the riskier side when it comes to debt service. Even worse, Leverage is at a rank of 47, meaning the company has an above-average debt-to-equity ratio. It has more debt than 53% of its competitors. Finally, Refinancing is at a rank of 36 which means that the portion of the debt about to be refinanced is above average. It has more debt in the refinancing stage than 64% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 33 (worse than 67% compared with alternatives), Fidelity National Information Services has a financing structure that is riskier than that of its competitors. This combination is rather dangerous in most situations. Only very promising companies with bright future outlooks and stellar reputations can operate with such risky financing. Investors should look at Obermatt’s Value, Growth, and Sentiment Ranks to confirm a very positive outlook or be careful with investing in stocks of Fidelity National Information Services because it may suffer significantly in case of future difficulties. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	16	80	58	47
REFINANCING
REFINANCING	45	1	4	36
LIQUIDITY
LIQUIDITY	39	67	75	46
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	9	57	33	33

Last update of Safety Rank: 28-Nov-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of Fidelity National Information Services and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	73	42	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	64	44	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	16	64	^new
MARKET PULSE
MARKET PULSE	n/a	52	76	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	51	68	^new

Last update of Sentiment Rank: 28-Nov-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for Fidelity National Information Services.
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