Fiserv forced Payeezy merchants to convert to Clover, boosting revenue growth temporarily.

• Fiserv faced issues with older platform Payeezy. • Cost and problems led to forced conversions to Clover. • Clover's growth boosted by conversions, hiding slowdown. • Fiserv misled investors about revenue and growth. • Gross Law Firm investigating shareholder losses.

Fiserv Inc. (NYSE: FI), a leading provider of payments and financial services technology solutions, is facing a class action lawsuit alleging violations of the Securities Exchange Act of 1934. The lawsuit, captioned City of Hollywood Police Officers’ Retirement System v. Fiserv, Inc., No. 25-cv-06094 (S.D.N.Y.), charges Fiserv and certain of its top executives with making false and misleading statements and failing to disclose material information regarding the company's Payeezy and Clover platforms.

The lawsuit alleges that Fiserv forced Payeezy merchants to migrate to its Clover platform due to cost issues and other problems with Payeezy. These forced conversions temporarily boosted Clover's revenue and gross payment volume (GPV), masking a slowdown in new merchant business. However, a significant portion of former Payeezy merchants switched to competing solutions due to Clover's high pricing and inadequate customer service, leading to a deceleration in Clover's GPV growth and unsustainable revenue growth.

The complaint alleges that Fiserv misled investors about Clover's growth. On April 24, 2025, Fiserv reported Clover GPV growth of only 8% for the first quarter of 2025, a material stepdown from 2024 GPV rates of between 14% and 17%. The price of Fiserv common stock fell more than 18% on this news. Further disclosures on May 15, 2025, and July 23, 2025, led to additional stock price declines, totaling nearly 14% by the end of July.

Investors who purchased or acquired Fiserv common stock between July 24, 2024, and July 22, 2025, are eligible to seek appointment as lead plaintiff in the class action lawsuit. The lead plaintiff acts on behalf of all other class members in directing the lawsuit. The deadline to seek appointment as lead plaintiff is September 22, 2025.

Robbins Geller Rudman & Dowd LLP, one of the world's leading law firms representing investors in securities fraud and shareholder litigation, is handling the case. Investors interested in joining the lawsuit can visit the firm's website or contact attorneys J.C. Sanchez or Jennifer N. Caringal by calling 800/449-4900 or via e-mail at info@rgrdlaw.com.

References:
[1] https://www.globenewswire.com/news-release/2025/08/02/3126161/0/en/FISERV-INVESTOR-ALERT-Robbins-Geller-Rudman-Dowd-LLP-Announces-that-Fiserv-Inc-Investors-with-Substantial-Losses-Have-Opportunity-to-Lead-Investor-Class-Action-Lawsuit-FI.html
[2] https://finance.yahoo.com/news/fiserv-sued-over-clover-migration-104300161.html
[3] https://www.globenewswire.com/news-release/2025/08/01/3126092/9788/en/FI-INVESTOR-ALERT-Bronstein-Gewirtz-Grossman-LLC-Announces-that-Fiserv-Inc-Investors-with-Substantial-Losses-Have-Opportunity-to-Lead-Class-Action-Lawsuit.html