Research
Research Alert: CFRA Keeps Buy Rating On Shares Of Fidelity National Information Services, Inc.
CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:Following Q1 results, we lower our target by $11 to $57, 8.4x our 2027 EPS view, vs. the peer average of 10.0x. We keep our 2026 EPS estimate unchanged at $6.25 and trim 2027's to $6.75 from $6.80. Q1 was defined by strategic announcements, including a landmark AI partnership with Anthropic to co-develop regulated banking "agents" and the launch of Project Keystone, a tokenized deposit network with major U.S. banks. This strategic progress was supported by strong financial execution, particularly within the Banking Solutions segment. However, this strength was partially tempered by macro-driven softness in the Capital Markets segment's lending business, leading management to guide that segment toward the lower end of its annual forecast. Management reiterated its full-year outlook, buoyed by impressive 24% growth in recurring annual contract value, a key indicator of future revenue. FIS is prioritizing the use of its FCF to deleverage its balance sheet toward its 2.8x target, temporarily pausing buybacks.
$FIS