Fidelity National Information Services Stock Outlook: Bullish or Bearish?

Fidelity National Information Services (FIS) stock has trailed the broader market over the past year, declining 6.9% while the S&P 500 Index has rallied 20.1%. In 2025, FIS stock is down 14.7%, compared to the SPX's 8.6% rise. The company's second-quarter earnings showed revenue rose 5% YoY to $2.6 billion, but it reported a net loss of $470 million due to a non-cash tax charge. Analysts expect FIS' EPS to grow 10.3% to $5.76 this fiscal year, with a "Moderate Buy" consensus rating.

Fidelity National Information Services (FIS), a leading financial technology provider, has seen its stock underperform the broader market over the past year. Despite the S&P 500 Index ($SPX) rallying 20.1%, FIS shares have declined 6.9%. In 2025, FIS stock is down 14.7%, while the SPX has risen 8.6% year-to-date (YTD). The company's Q2 earnings report, released on Aug. 5, showed mixed results, with revenue increasing 5% year-over-year (YoY) to $2.6 billion, but a net loss of $470 million due to a non-cash tax charge related to the sale of Worldpay [1].

Analysts project a 10.3% rise in FIS's diluted earnings per share (EPS) to $5.76 for the current fiscal year. The consensus rating among 28 analysts is a "Moderate Buy," with a mean price target of $87.08, suggesting a 22.4% upside [1]. The company's earnings surprise history is solid, with it beating or meeting the consensus estimate in each of the last four quarters [2].

FIS's underperformance relative to the broader fintech sector is notable. The Global X FinTech ETF (FINX) has gained 30.2% over the past year and 4.9% YTD. The company's Q2 earnings release saw shares drop over 8%, despite a 5% YoY revenue increase [1]. The company reported adjusted EPS of $1.36, in line with expectations, but a net loss of $470 million [2].

FIS's recent struggles contrast with the broader fintech sector's growth. Data from the IndexBox platform highlights the sector's growth, suggesting that FIS's recent performance may be a temporary setback [1]. The company's strong fundamentals and solid earnings history indicate that FIS may be undervalued, with analysts suggesting a "Moderate Buy" rating and a mean price target of $87.08 [1, 2].

References:

[1] https://www.indexbox.io/blog/fidelity-national-information-services-fis-stock-performance/
[2] https://finance.yahoo.com/news/fidelity-national-information-services-stock-123516318.html