Wall Street Zen Downgrades Fidelity National Information Services (NYSE:FIS) to Hold

Key Points

• Wall Street Zen downgraded Fidelity National Information Services from buy to hold, adding to a broader trend of cautious analyst sentiment around the stock.
• Other firms have also trimmed their views and price targets, with the consensus rating still at Moderate Buy and an average price target of $61.57.
• FIS reported better-than-expected Q1 earnings and revenue, but the stock has been under pressure, opening at $41.81 near its 52-week low.

Fidelity National Information Services (NYSE:FIS - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Sunday.

Several other analysts also recently issued reports on the company. Royal Bank Of Canada decreased their target price on Fidelity National Information Services from $69.00 to $57.00 and set an "outperform" rating on the stock in a research note on Friday, May 8th. Wolfe Research decreased their target price on Fidelity National Information Services from $90.00 to $70.00 and set an "outperform" rating on the stock in a research note on Wednesday, February 25th. Wells Fargo & Company decreased their target price on Fidelity National Information Services from $81.00 to $67.00 and set an "overweight" rating on the stock in a research note on Wednesday, February 25th. Stephens cut their price target on Fidelity National Information Services from $85.00 to $65.00 and set an "overweight" rating for the company in a report on Friday, May 8th. Finally, Susquehanna cut their price target on Fidelity National Information Services from $69.00 to $55.00 and set a "neutral" rating for the company in a report on Wednesday, February 25th. Thirteen equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, Fidelity National Information Services currently has an average rating of "Moderate Buy" and a consensus price target of $61.57.

Fidelity National Information Services Stock Down 0.0%

FIS stock opened at $41.81 on Friday. The business's 50-day moving average is $47.14 and its two-hundred day moving average is $56.06. The company has a market cap of $21.61 billion, a price-to-earnings ratio of 8.10, a P/E/G ratio of 0.41 and a beta of 0.82. Fidelity National Information Services has a fifty-two week low of $41.33 and a fifty-two week high of $82.74. The company has a debt-to-equity ratio of 1.05, a quick ratio of 0.59 and a current ratio of 0.59.

Fidelity National Information Services (NYSE:FIS - Get Free Report) last issued its earnings results on Friday, May 8th. The information technology services provider reported $1.36 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.28 by $0.08. The company had revenue of $3.30 billion for the quarter, compared to the consensus estimate of $3.28 billion. Fidelity National Information Services had a return on equity of 21.30% and a net margin of 23.35%.The firm's quarterly revenue was up 30.1% on a year-over-year basis. During the same quarter last year, the company earned $1.21 EPS. Fidelity National Information Services has set its FY 2026 guidance at 6.220-6.320 EPS and its Q2 2026 guidance at 1.450-1.490 EPS. As a group, analysts forecast that Fidelity National Information Services will post 6.27 earnings per share for the current year.

Insiders Place Their Bets

In other news, CEO Stephanie Ferris purchased 19,846 shares of the business's stock in a transaction on Thursday, March 5th. The stock was acquired at an average price of $50.39 per share, for a total transaction of $1,000,039.94. Following the acquisition, the chief executive officer directly owned 281,458 shares of the company's stock, valued at $14,182,668.62. This represents a 7.59% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. 0.28% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Fidelity National Information Services

Several institutional investors have recently added to or reduced their stakes in FIS. Nordea Investment Management AB increased its position in shares of Fidelity National Information Services by 15.4% during the 4th quarter. Nordea Investment Management AB now owns 1,440,210 shares of the information technology services provider's stock valued at $96,048,000 after purchasing an additional 191,957 shares during the last quarter. AGF Management Ltd. bought a new position in shares of Fidelity National Information Services during the 3rd quarter valued at approximately $3,096,000. Clear Trail Advisors LLC bought a new position in shares of Fidelity National Information Services during the 4th quarter valued at approximately $2,590,000. Independent Advisor Alliance increased its position in shares of Fidelity National Information Services by 177.8% during the 3rd quarter. Independent Advisor Alliance now owns 39,987 shares of the information technology services provider's stock valued at $2,637,000 after purchasing an additional 25,593 shares during the last quarter. Finally, Assetmark Inc. increased its position in shares of Fidelity National Information Services by 45.1% during the 3rd quarter. Assetmark Inc. now owns 265,518 shares of the information technology services provider's stock valued at $17,508,000 after purchasing an additional 82,518 shares during the last quarter. Hedge funds and other institutional investors own 96.23% of the company's stock.

About Fidelity National Information Services

Fidelity National Information Services NYSE: FIS is a global provider of financial technology solutions and services for banks, capital markets firms, merchants and corporations. The company develops and delivers software, processing, and outsourcing services that support core banking, payments and merchant acquiring, wealth and retirement platforms, risk and compliance, and trading and capital markets operations. Its offerings include cloud-based and on-premises core banking systems, card processing and gateway services, e-commerce and point-of-sale payment solutions, and a range of back-office and advisory services designed to automate and modernize financial operations.

FIS serves a broad international client base across North America, Europe, Latin America, and the Asia-Pacific region through a combination of direct clients and partner channels.

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