The 10-second takeaway
For the quarter ended March 31 (Q1), Fiserv met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share improved significantly.
Gross margins dropped, operating margins dropped, and net margins grew.
Fiserv reported revenue of $1.11 billion. The 15 analysts polled by S&P Capital IQ hoped for a top line of $1.10 billion on the same basis. GAAP reported sales were 5.7% higher than the prior-year quarter's $1.05 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.20. The 20 earnings estimates compiled by S&P Capital IQ predicted $1.15 per share. GAAP EPS of $0.94 for Q1 were 24% higher than the prior-year quarter's $0.76 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 40.3%, 20 basis points worse than the prior-year quarter. Operating margin was 21.8%, 100 basis points worse than the prior-year quarter. Net margin was 11.9%, 120 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.12 billion. On the bottom line, the average EPS estimate is $1.26.
Next year's average estimate for revenue is $4.54 billion. The average EPS estimate is $5.10.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 316 members rating the stock outperform and 23 members rating it underperform. Among 95 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 89 give Fiserv a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Fiserv is outperform, with an average price target of $70.29.
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