Core Insights - The London Company reported a 6.3% return for its Large Cap Strategy in Q3 2025, underperforming the Russell 1000 Index which gained 8.0% [1] - The rally in US equities was attributed to the Fed rate cut, strong corporate earnings, and enthusiasm around AI, despite mixed economic data [1] Company Analysis: Fiserv, Inc. (NYSE:FI) - Fiserv, Inc. experienced a significant decline, with a one-month return of -49.13% and a 52-week loss of 69.48%, closing at $64.45 per share with a market capitalization of $34.665 billion on November 4, 2025 [2] - The underperformance of Fiserv was linked to slower growth and margin pressure in its Merchant business, leading to reduced guidance, while organic growth was hindered by delayed product launches and cautious consumer spending [3] - Despite challenges, Fiserv's international expansion, new products, and resilient Financial Solutions segment were highlighted as strengths, maintaining a leadership position in core segments [3] Hedge Fund Interest - Fiserv, Inc. was held by 94 hedge fund portfolios at the end of Q2 2025, an increase from 72 in the previous quarter, indicating growing interest among institutional investors [4] - However, there is a belief that certain AI stocks may offer greater upside potential and less downside risk compared to Fiserv [4]

Core Viewpoint - A class action lawsuit has been filed against Fiserv, Inc. for allegedly making misleading statements regarding its initiatives and projects during the Class Period from July 23, 2025, to October 29, 2025 [8]. Allegation Details - The lawsuit claims that Fiserv's guidance changes in July 2025 were based on a "re-underwriting" of new initiatives, which were later revealed to be based on unrealistic assumptions [8]. - Fiserv admitted in October 2025 that the guidance disclosed in July was based on assumptions that would have been "objectively difficult to achieve" [8]. Next Steps - Investors who purchased Fiserv securities during the Class Period have until January 5, 2026, to apply to be appointed as lead plaintiff in the lawsuit [8]. - The law firm Bragar Eagel & Squire encourages affected investors to contact them for more information regarding their rights and options [4][5].

Core Viewpoint - A securities fraud class action has been filed against Fiserv, Inc. following a 47% drop in its share price due to disappointing Q3 2025 financial results and significantly lowered guidance [1][2] Financial Performance - Fiserv's Q3 2025 results were described as "abysmal" with a significant earnings miss and a drastic cut in guidance that analysts found difficult to comprehend [2] - The company revised its 2025 organic revenue guidance to 10%, which was the low end of its previous range, and adjusted its EPS guidance upward to $10.15 on July 23, 2025 [5] - On October 29, 2025, Fiserv reported a sequential decline in adjusted revenue, slashing organic revenue growth expectations to 3.5%-4% and EPS outlook to $8.50-$8.60 [7] Management Changes - Following the poor performance, Fiserv announced the departure of its chief financial officer and a shake-up of its board of directors, including the replacement of the head of the audit committee effective January 1, 2026 [7] Investor Reaction - The market reacted negatively, causing Fiserv's share price to drop over $59 in intraday trading, resulting in a loss of $32 billion in shareholder value in one day [9] Legal Proceedings - The class action lawsuit seeks to represent investors who acquired Fiserv securities between July 23, 2025, and October 29, 2025, focusing on allegations that Fiserv misled investors regarding its financial performance [2][4] - Hagens Berman is investigating claims that Fiserv's assurances about its expected financial performance were misleading and based on unrealistic assumptions [3][6]

Core Viewpoint - Scott+Scott Attorneys at Law LLP has filed a securities class action lawsuit against Fiserv, Inc. and certain of its directors and officers, alleging misleading statements and omissions regarding the company's initiatives and projects during the Class Period from July 23, 2025, to October 29, 2025 [1][4][5] Group 1: Lawsuit Details - The lawsuit asserts claims under §§10(b) and 20(a) of the Securities Exchange Act of 1934 and SEC Rule 10b-5 on behalf of all persons and entities who purchased Fiserv securities during the Class Period [1] - The class action is titled Cypanga Sicav SIF v. Fiserv, Inc., et al., Case No. 2:25-cv-01716 [1] - The lead plaintiff deadline for the lawsuit is set for January 5, 2026 [2][6] Group 2: Allegations Against Fiserv - The lawsuit alleges that during the Class Period, Fiserv made misleading statements regarding its 2025 guidance, which was revised in July 2025 [4] - Fiserv claimed that the guidance changes were based on a review of new initiatives and products, stating that while some projects were delayed, they were fundamentally sound [4] - However, Fiserv later admitted that the guidance was based on assumptions that were difficult to achieve, leading to artificially inflated security prices and subsequent damages when the truth was revealed [5] Group 3: Class Member Information - Individuals who purchased Fiserv securities during the Class Period and were damaged may be members of the Class and can seek appointment as lead plaintiff [7] - A motion to apply for lead plaintiff must be filed with the U.S. District Court for the Eastern District of Wisconsin by January 5, 2026 [8] - Class members do not need to seek appointment as lead plaintiff to share in any recovery from the Class Action [8]

Core Insights - U.S. Representative Byron Donalds executed timely trades in Fiserv (NYSE: FI), with the stock plummeting nearly 70% year-to-date and about 57% since his sale [1][2]. Group 1: Stock Performance - Fiserv shares have declined significantly, trading at $64, down over 1% for the day [1]. - The stock experienced a steep drop after the company reported disappointing third-quarter earnings and reduced its full-year guidance [4]. - Fiserv's stock price has been affected by slowing growth in its Clover payments platform and operational challenges [5]. Group 2: Congressional Actions - Donalds sold Fiserv stock twice on September 4, 2025, with each transaction valued between $1,001 and $15,000, and these were filed on October 7, 2025 [2]. - The timing of the sales, just before a significant stock decline, has raised speculation about potential insider knowledge, although no evidence of wrongdoing has been found [3]. Group 3: Company Performance and Outlook - Fiserv reported earnings of $2.04 per share, missing Wall Street estimates, and revenue also fell short of expectations [4]. - The company has cut its organic revenue growth forecast to 3.5% to 4%, down from around 10% previously, and lowered its full-year EPS outlook to approximately $8.50–$8.60 [4]. - Analysts have expressed concerns about management's credibility and the company's long-term growth prospects, describing the situation as "difficult to comprehend" [7].

Core Insights - Fiserv (FI) has been recognized as a strong performer in the market due to its high and stable recurring revenues and its essential role in the global digital financial system [1] Group 1: Company Performance - Fiserv has been described as a "compounding machine" for years, indicating consistent growth and profitability [1] - The company has attracted investors due to its solid business model and strong balance sheet, which are key indicators of financial health [1] Group 2: Investment Perspective - The investment approach highlighted emphasizes looking for undervalued quality businesses with sustainable growth, aligning with long-term investment strategies [1]

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Fiserv, Inc. regarding possible violations of federal securities laws and other unlawful business practices affecting stockholders [2][4]. Investigation Details - The investigation is focused on whether Fiserv has engaged in practices that may have harmed investors, particularly following recent financial disclosures [2][8]. Recent Developments - On October 29, 2025, Fiserv reported a sequential decline in Q3 2025 adjusted revenue and reduced its organic revenue growth expectations to 3.5%-4% [8]. - The company also lowered its EPS outlook to $8.50-$8.60 and announced significant leadership changes, including the departure of its CFO and a shake-up of the board of directors [8]. - Following these announcements, Fiserv's stock price dropped over $59 in intraday trading, resulting in a loss of $32 billion in shareholder value in one day [8]. Leadership Changes - Michael Lyons was appointed as the new CEO, and Doyle Simmons became the non-executive Chairman after the previous CEO, Frank Bisignano, was confirmed as Commissioner of the Social Security Administration [8]. - Lyons indicated that a thorough analysis of the company's operations led to the reassessment of previous growth assumptions and the identification of short-term driven initiatives that were not sustainable [8]. Contact Information - Investors who have suffered losses and wish to discuss their legal rights can contact Bragar Eagel & Squire, P.C. directly [4][9].

Group 1 - The recent crash of Fiserv (FI) surprised some investors, but those following Seeking Alpha's Quant Ratings were not shocked, as the ratings indicated a different outlook compared to Wall Street analysts [2] - Seeking Alpha's Quant Rating system, created by Steven Cress, aims to provide data-driven insights and simplify investment research for users, helping them make informed decisions [2] - The platform's Alpha Picks tool selects two attractive stocks each month, assisting long-term investors in building a high-quality portfolio [2] Group 2 - Steven Cress has over 30 years of experience in equity research, quantitative strategies, and portfolio management, enhancing the credibility of Seeking Alpha's investment insights [2] - The acquisition of CressCap Investment Research by Seeking Alpha in 2018 strengthened the platform's quantitative analysis and market data capabilities [2] - Cress's background includes running a proprietary trading desk at Morgan Stanley and leading international business development at Northern Trust, showcasing his extensive industry experience [2]

Core Viewpoint - Fiserv, Inc. is considered a beaten-down growth stock with mixed analyst ratings, highlighting the need for the company to rebuild confidence in its growth prospects after lowering EPS guidance for 2025 and deferring investments [1][2]. Analyst Ratings - Stephen Biggar from Argus Research reiterated a Hold rating on Fiserv without a price target [1]. - Andrew Harte from BTIG maintained a Buy rating with a price target of $180 [3]. - Andrew Bauch from Wells Fargo initiated a Hold rating with a price target of $130, covering 20 stocks in the payments and processors, and IT services industry [3]. Company Performance and Strategy - Fiserv has significantly lowered its EPS guidance for 2025 and needs to reset its margin and growth targets due to deferred investments [2]. - The company operates through two main segments: Merchant Solutions and Financial Solutions, providing a range of fintech solutions for payment processing and transaction management [5]. Industry Context - The payments sector has faced challenges due to a shift towards AI-centric stocks and below-average execution from many companies, yet there remains optimism about the sector's potential [4].

Core Insights - Fiserv (FI) stock experienced a historic decline of 44%, following a significant reduction in earnings guidance and a leadership overhaul [1] - Goldman Sachs downgraded the stock and lowered its price target by 55% to $81, reflecting a market capitalization of $35.4 billion and a current stock price of $66, which is down 73% from its peak [1] Financial Performance - The company projected adjusted earnings for 2025 to be between $8.50 and $8.60 per share, significantly lower than the previous midpoint guidance of $10.23 per share [2] - Revenue growth for 2025 is estimated to be between 3.5% and 4%, down from an earlier forecast of 10% [2] - In Q3 of 2025, Fiserv reported revenue of $4.92 billion and earnings per share of $2.04, both below consensus estimates of $5.36 billion and $2.64, respectively [2] Market Reactions - Morgan Stanley analyst James Faucette noted the end of Fiserv's 40-year streak of double-digit earnings growth, downgrading the stock to "Equal-Weight" and cutting the price target from $179 to $81 [4] - BTIG analysts suggested that the fair value of the stock could range between $50 and $75 based on future earnings multiples [4] Leadership Changes - Fiserv announced significant leadership changes, including the appointment of two co-presidents and a new finance chief, along with three new board members, including an independent chairman, set to take their positions in early 2026 [5] Structural Issues - The earnings call highlighted deeper structural issues within the company, with CEO Mike Lyons admitting that Fiserv had relied too much on short-term initiatives rather than fostering sustainable client relationships [6]