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Fiserv (FISV) to Report Q1 Earnings: What's in the Cards?

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Fiserv, Inc. is scheduled to report first-quarter 2020 results on May 7, after market close.

While the company’s top line is likely to have benefited from solid segmental performance, the bottom line is expected to have been driven by revenue growth and operational effectiveness.

So far this year, shares of Fiserv have lost 12.2% compared with 10% decline of the industry it belongs to and 12.1% decrease of the Zacks S&P 500 composite.

 

Let's check out how things have shaped up for the announcement.

Q1 Expectations

The Zacks Consensus Estimate for first-quarter revenues stands at $3.54 billion, indicating year-over-year growth of more than 100%. The top line is likely to have benefited from solid performance of First Data, card services, output solutions and some early network revenue synergy benefits. In fourth-quarter 2019, the company had reported revenues of $4.05 billion.

Fiserv, Inc. Revenue (TTM)

 

Fiserv, Inc. Revenue (TTM)

Fiserv, Inc. revenue-ttm | Fiserv, Inc. Quote

Revenue growth and operational effectiveness are likely to have boosted Fiserv’s first-quarter 2020 earnings, the Zacks Consensus Estimate for which is pegged at 99 cents per share, indicating year-over-year growth of 17.9%. In fourth-quarter 2019, adjusted earnings per share were $1.13.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for Fiserv this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

Fiserv has an Earnings ESP of -1.77% and a Zacks Rank #3.

Fiserv, Inc. Price and EPS Surprise

 

Fiserv, Inc. Price and EPS Surprise

Fiserv, Inc. price-eps-surprise | Fiserv, Inc. Quote

Stocks to Consider

Here are a few stocks investors may consider from the broader Zacks Business Services sector, as our model shows that these have the right combination of elements to beat on first-quarter 2020 earnings.

ServiceMaster (SERV - Free Report) has an Earnings ESP of +11.24% and a Zacks Rank #3. The company is slated to report results on May 7.  You can see the complete list of today’s Zacks #1 Rank stocks here.

Green Dot (GDOT - Free Report) has an Earnings ESP of +3.83% and a Zacks Rank #3. The company is slated to release results on May 11.

ICF International (ICFI - Free Report) has an Earnings ESP of +3.08% and a Zacks Rank #3. The company is slated to release results on May 5.

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