FIDELITY NATIONAL INFO SERV (FIS) Stock Fundamental Analysis
USA - NYSE:FIS - US31620M1062 - Common Stock
66.84 USD
-0.87 (-1.28%)
68 USD
+1.16 (+1.74%)
Taking everything into account, FIS scores 4 out of 10 in our fundamental rating. FIS was compared to 101 industry peers in the Financial Services industry. FIS has a medium profitability rating, but doesn't score so well on its financial health evaluation. FIS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
FIS had positive earnings in the past year.
FIS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: FIS reported negative net income in multiple years.
In the past 5 years FIS always reported a positive cash flow from operatings.
1.2 Ratios
FIS's Return On Assets of 0.34% is on the low side compared to the rest of the industry. FIS is outperformed by 65.35% of its industry peers.
FIS's Return On Equity of 0.79% is on the low side compared to the rest of the industry. FIS is outperformed by 70.30% of its industry peers.
FIS has a Return On Invested Capital of 4.76%. This is in the better half of the industry: FIS outperforms 64.36% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FIS is below the industry average of 7.64%.
The 3 year average ROIC (3.09%) for FIS is below the current ROIC(4.76%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.34% | ||
| ROE | 0.79% | ||
| ROIC | 4.76% |
ROA(3y)-11.43%
ROA(5y)-6.72%
ROE(3y)-29.08%
ROE(5y)-17.21%
ROIC(3y)3.09%
ROIC(5y)2.24%
1.3 Margins
FIS's Profit Margin of 1.09% is on the low side compared to the rest of the industry. FIS is outperformed by 68.32% of its industry peers.
In the last couple of years the Profit Margin of FIS has grown nicely.
FIS has a Operating Margin of 17.20%. This is in the better half of the industry: FIS outperforms 62.38% of its industry peers.
FIS's Operating Margin has improved in the last couple of years.
FIS's Gross Margin of 36.68% is in line compared to the rest of the industry. FIS outperforms 50.49% of its industry peers.
FIS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.2% | ||
| PM (TTM) | 1.09% | ||
| GM | 36.68% |
OM growth 3Y9.59%
OM growth 5Y11.22%
PM growth 3Y47.46%
PM growth 5Y37.78%
GM growth 3Y1.56%
GM growth 5Y0.84%
2. Health
2.1 Basic Checks
FIS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
FIS has less shares outstanding than it did 1 year ago.
FIS has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FIS has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.50, we must say that FIS is in the distress zone and has some risk of bankruptcy.
FIS has a Altman-Z score (0.50) which is in line with its industry peers.
The Debt to FCF ratio of FIS is 7.06, which is on the high side as it means it would take FIS, 7.06 years of fcf income to pay off all of its debts.
FIS's Debt to FCF ratio of 7.06 is in line compared to the rest of the industry. FIS outperforms 59.41% of its industry peers.
A Debt/Equity ratio of 0.75 indicates that FIS is somewhat dependend on debt financing.
The Debt to Equity ratio of FIS (0.75) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 7.06 | ||
| Altman-Z | 0.5 |
ROIC/WACC0.67
WACC7.08%
2.3 Liquidity
A Current Ratio of 0.59 indicates that FIS may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.59, FIS is doing worse than 60.40% of the companies in the same industry.
A Quick Ratio of 0.59 indicates that FIS may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.59, FIS is doing worse than 60.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
FIS shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.34%.
FIS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.91% yearly.
The Revenue has been growing slightly by 3.58% in the past year.
FIS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.40% yearly.
EPS 1Y (TTM)6.34%
EPS 3Y-7.1%
EPS 5Y-3.91%
EPS Q2Q%0%
Revenue 1Y (TTM)3.58%
Revenue growth 3Y2.74%
Revenue growth 5Y-0.4%
Sales Q2Q%5.1%
3.2 Future
The Earnings Per Share is expected to grow by 7.82% on average over the next years.
FIS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.18% yearly.
EPS Next Y10.36%
EPS Next 2Y9.8%
EPS Next 3Y9.33%
EPS Next 5Y7.82%
Revenue Next Year3.68%
Revenue Next 2Y4.04%
Revenue Next 3Y4.14%
Revenue Next 5Y4.18%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
FIS is valuated correctly with a Price/Earnings ratio of 12.45.
FIS's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.30. FIS is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 10.54, the valuation of FIS can be described as very reasonable.
FIS's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of FIS to the average of the S&P500 Index (22.73), we can say FIS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.45 | ||
| Fwd PE | 10.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FIS indicates a somewhat cheap valuation: FIS is cheaper than 64.36% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, FIS is valued a bit cheaper than 63.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.1 | ||
| EV/EBITDA | 12.36 |
4.3 Compensation for Growth
FIS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.2
PEG (5Y)N/A
EPS Next 2Y9.8%
EPS Next 3Y9.33%
5. Dividend
5.1 Amount
FIS has a Yearly Dividend Yield of 2.36%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.86, FIS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, FIS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.36% |
5.2 History
The dividend of FIS decreases each year by -1.76%.
FIS has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-1.76%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
FIS pays out 734.82% of its income as dividend. This is not a sustainable payout ratio.
DP734.82%
EPS Next 2Y9.8%
EPS Next 3Y9.33%
66.84
-0.87 (-1.28%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners100.44%
Inst Owner Change0.36%
Ins Owners0.05%
Ins Owner Change2.39%
Market Cap34.92B
Analysts75.86
Price Target87.16 (30.4%)
Short Float %2.83%
Short Ratio4.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.36% |
Yearly Dividend1.44
Dividend Growth(5Y)-1.76%
DP734.82%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.5%
Min EPS beat(2)-1.03%
Max EPS beat(2)0.02%
EPS beat(4)3
Avg EPS beat(4)2.07%
Min EPS beat(4)-1.03%
Max EPS beat(4)7.13%
EPS beat(8)6
Avg EPS beat(8)4.52%
EPS beat(12)8
Avg EPS beat(12)3.67%
EPS beat(16)11
Avg EPS beat(16)2.88%
Revenue beat(2)1
Avg Revenue beat(2)0.23%
Min Revenue beat(2)0%
Max Revenue beat(2)0.46%
Revenue beat(4)1
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-2.22%
Max Revenue beat(4)0.46%
Revenue beat(8)1
Avg Revenue beat(8)-4.57%
Revenue beat(12)3
Avg Revenue beat(12)-8.37%
Revenue beat(16)4
Avg Revenue beat(16)-18.1%
PT rev (1m)-3.95%
PT rev (3m)-3.34%
EPS NQ rev (1m)-0.31%
EPS NQ rev (3m)-4.36%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-0.01%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-0.15%
Revenue NY rev (1m)0.57%
Revenue NY rev (3m)0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.45 | ||
| Fwd PE | 10.54 | ||
| P/S | 3.38 | ||
| P/FCF | 19.1 | ||
| P/OCF | 12.88 | ||
| P/B | 2.46 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.36 |
EPS(TTM)5.37
EY8.03%
EPS(NY)6.34
Fwd EY9.49%
FCF(TTM)3.5
FCFY5.24%
OCF(TTM)5.19
OCFY7.76%
SpS19.75
BVpS27.12
TBVpS-13.82
PEG (NY)1.2
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.34% | ||
| ROE | 0.79% | ||
| ROCE | 6.85% | ||
| ROIC | 4.76% | ||
| ROICexc | 4.97% | ||
| ROICexgc | 25.81% | ||
| OM | 17.2% | ||
| PM (TTM) | 1.09% | ||
| GM | 36.68% | ||
| FCFM | 17.72% |
ROA(3y)-11.43%
ROA(5y)-6.72%
ROE(3y)-29.08%
ROE(5y)-17.21%
ROIC(3y)3.09%
ROIC(5y)2.24%
ROICexc(3y)3.21%
ROICexc(5y)2.33%
ROICexgc(3y)27.77%
ROICexgc(5y)N/A
ROCE(3y)4.44%
ROCE(5y)3.22%
ROICexcg growth 3Y-19.6%
ROICexcg growth 5Y-23.17%
ROICexc growth 3Y54.67%
ROICexc growth 5Y34.72%
OM growth 3Y9.59%
OM growth 5Y11.22%
PM growth 3Y47.46%
PM growth 5Y37.78%
GM growth 3Y1.56%
GM growth 5Y0.84%
F-Score6
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 7.06 | ||
| Debt/EBITDA | 2.95 | ||
| Cap/Depr | 48.68% | ||
| Cap/Sales | 8.56% | ||
| Interest Coverage | 5.9 | ||
| Cash Conversion | 75.54% | ||
| Profit Quality | 1632.14% | ||
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 0.5 |
F-Score6
WACC7.08%
ROIC/WACC0.67
Cap/Depr(3y)48.27%
Cap/Depr(5y)41.27%
Cap/Sales(3y)8.75%
Cap/Sales(5y)9.73%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.34%
EPS 3Y-7.1%
EPS 5Y-3.91%
EPS Q2Q%0%
EPS Next Y10.36%
EPS Next 2Y9.8%
EPS Next 3Y9.33%
EPS Next 5Y7.82%
Revenue 1Y (TTM)3.58%
Revenue growth 3Y2.74%
Revenue growth 5Y-0.4%
Sales Q2Q%5.1%
Revenue Next Year3.68%
Revenue Next 2Y4.04%
Revenue Next 3Y4.14%
Revenue Next 5Y4.18%
EBIT growth 1Y7.19%
EBIT growth 3Y12.59%
EBIT growth 5Y10.77%
EBIT Next Year43.13%
EBIT Next 3Y17.04%
EBIT Next 5Y13.83%
FCF growth 1Y-33.02%
FCF growth 3Y-29.37%
FCF growth 5Y-4.54%
OCF growth 1Y-27.47%
OCF growth 3Y-24.49%
OCF growth 5Y-2.99%