Fiserv Shares Surge to Record Highs on Earnings Beat, Bullish Revenue Outlook

Fiserv, Inc. (NYSE: FI), a leading global provider of payments and financial services technology solutions, reported fiscal fourth-quarter 2024 results that sent its shares soaring to record highs. The company's strong earnings beat and bullish revenue outlook for 2025 have investors excited about the prospects for this financial technology and services powerhouse.

Fiserv's fourth-quarter 2024 GAAP revenue increased by 7% year-over-year to $5.25 billion, beating the analyst consensus estimate of $4.96 billion. Adjusted revenue also increased by 7% year-over-year to $4.90 billion. The company's adjusted EPS of $2.51 beat the analyst consensus estimate of $2.48, marking a 15% increase over last year's period. Fiserv's organic revenue grew 13% in the quarter, led by 23% growth in the Merchant Solutions segment and 4% in the Financial Solutions segment.



The company's adjusted operating margin increased by 180 basis points to 42.9% in the fourth quarter and by 170 basis points to 39.4% for the full year 2024 compared to the prior year periods. Fiserv's adjusted operating margin in the Merchant Solutions segment increased by 150 basis points to 39.2% in the fourth quarter of 2024 and by 290 basis points to 37.0% for the full year 2024. The Financial Solutions segment saw an increase of 320 basis points to 51.7% in the fourth quarter of 2024 and 130 basis points to 47.3% for the full year 2024.

Fiserv's strong performance was driven by its commitment to operational excellence and strategic initiatives, as highlighted by CEO Frank Bisignano. The company's track record of growth and consistency, with four consecutive years of double-digit organic revenue growth and 39 consecutive years of double-digit adjusted earnings per share growth, is a testament to this commitment.



For 2025, Fiserv expects organic revenue growth of 10% to 12% and adjusted EPS of $10.10 to $10.30, representing growth of 15% to 17% year-over-year. The company's guidance reflects a continuation of its product, client, and distribution strategies and its commitment to operational excellence to drive growth.

Investors should be encouraged by Fiserv's strong performance and bullish outlook. The company's ability to meet or beat its medium-term outlook, as stated by CEO Frank Bisignano, is a testament to its commitment to operational excellence and strategic initiatives. As Fiserv continues to execute on its growth strategies, investors can expect the company to maintain its strong financial performance and continue to create value for shareholders.