Core Viewpoint - Fiserv, Inc. has completed the acquisition of StoneCastle Cash Management, enhancing its capabilities in providing insured deposit funding solutions [1] Group 1: Acquisition Details - The acquisition allows Fiserv to integrate StoneCastle's institutional deposit network with its existing ecosystem [1] - This integration includes core account processing, digital banking, and payments platforms [1] Group 2: Strategic Implications - The move is aimed at creating a differentiated offering for financial institutions [1] - Fiserv's expanded capabilities are expected to optimize the services provided to its clients [1]

Core Viewpoint - The stock market is expected to achieve another double-digit percentage gain in 2025, with the S&P 500 index showing a year-to-date gain of 16.81% as of December 5, despite significant declines in several individual stocks [1]. Group 1: Worst-Performing Stocks - Fiserv (FISV) has seen a decline of approximately 70%, attributed to a drastic cut in its full-year revenue forecast and slowing growth in its merchant-services segment [3]. - The Trade Desk (TTD) is down approximately 67%, facing decreased revenues due to competition from major players like Amazon, leading investors to view the stock as overvalued [4]. - Deckers Outdoor (DECK) has dropped around 57%, with slowing growth expectations and pressure on discretionary consumer spending impacting its well-known brands, UGG and Hoka [5]. - Gartner (IT) is down approximately 52%, with its valuation at $17 billion, facing cyclical pressure as companies reduce spending on advisory services during economic uncertainty [6].

Core Insights - GreensKeeper Asset Management reported a +4.0% gain for its Value Fund in Q3 2025, with a year-to-date return of +0.2% net of fees and expenses, despite a -3.7% negative impact from the US dollar [1] - The market rally in 2025 was primarily driven by AI, cryptocurrency, and speculative investments [1] Company Analysis: Fiserv, Inc. (NASDAQ:FISV) - Fiserv, Inc. experienced a one-month return of 13.27%, but its shares have lost 66.45% of their value over the past 52 weeks, closing at $67.70 with a market capitalization of $36.801 billion on December 16, 2025 [2] - Fiserv was the largest detractor for GreensKeeper in Q3 2025, declining -25.2% due to negative market reactions to decelerating volume growth in its Clover platform [3] - Despite the recent decline, the company maintains a competitive position and is expected to grow at attractive rates; shares are viewed as significantly undervalued at 13x earnings, prompting the firm to increase its position [3] - Fiserv is actively buying back shares in the open market, indicating management's confidence in the company's future [3] Hedge Fund Interest - Fiserv, Inc. was held by 83 hedge fund portfolios at the end of Q3 2025, a decrease from 94 in the previous quarter, suggesting a decline in popularity among hedge funds [4] - While Fiserv is recognized for its potential, certain AI stocks are considered to offer greater upside potential with less downside risk [4]

Core Insights - Several top investors have increased their holdings in Fiserv Inc. (FISV), indicating rising confidence in the company's payments ecosystem and strong financial metrics [1][2][3][4][5][6][7][8][9] Investor Activity - AQR Capital Management LLC, led by Cliff Asness, added 1,166,433 shares, reflecting strong quantitative support for Fiserv's high-margin business and consistent cash-flow compounding, with a total value of $0.20 billion [1] - Bridgewater Associates, LP, under Ray Dalio, increased its position by 331,284 shares, valued at $0.21 billion, highlighting Fiserv's stable, fee-driven financial technology and inflation-resistant pricing [2] - Gotham Asset Management, LLC, managed by Joel Greenblatt, raised its stake by 110,574 shares, valued at $0.03 billion, aligning with a value-plus-quality investment strategy [3] - Ariel Appreciation Fund, led by John W. Rogers Jr., added 36,056 shares, valued at $0.02 billion, focusing on businesses with competitive advantages and recurring demand [4] - Olstein Capital Management, L.P., under Rob Olstein, increased its position by 26,500 shares, consistent with a focus on companies with strong fundamentals [5] - GAMCO Investors, Inc. ET AL, managed by Mario Gabelli, added 8,575 shares, reflecting confidence in Fiserv's role in digital payments [6] - Giverny Capital Inc., led by François Rochon, modestly increased its position by 2,683 shares, consistent with a long-term focus on high-quality businesses [7] - Fisher Asset Management, LLC, under Ken Fisher, added 749 shares, maintaining steady accumulation in a resilient fintech franchise [8] - Appaloosa LP, managed by David Tepper, established a new position of 925,000 shares, valued at $0.12 billion, signaling conviction in Fiserv's scalable infrastructure and cash-flow trajectory [9]

Core Insights - Fiserv, Inc. (FISV) is a global provider of payments and financial services technology solutions with a market cap of $37.5 billion, operating through Merchant Solutions and Financial Solutions segments [1] - The company serves a diverse client base, including businesses, banks, credit unions, fintechs, public sector entities, and software providers [2] Stock Performance - FISV shares have declined 71.3% from their 52-week high of $238.59 and dropped 48.5% over the past three months, underperforming the Nasdaq Composite's 3.3% rise [3] - Year-to-date, FISV stock is down 66.7%, lagging behind the Nasdaq's 19.5% gain, and has decreased 66.4% over the past 52 weeks compared to the Nasdaq's 14.4% return [4] - The stock has been trading below its 50-day moving average since early March and below its 200-day moving average since late April [4] Recent Financial Results - Fiserv reported weaker-than-expected Q3 2025 results, with adjusted EPS of $2.04 and revenue of $4.92 billion, leading to a 44% drop in shares on October 29 [5] - The company cut its full-year outlook for the second consecutive quarter, reducing revenue growth expectations to 3.5% - 4% from 10% and lowering adjusted EPS guidance to $8.50 - $8.60 [5] Analyst Sentiment - Analysts remain cautious on Fiserv due to its weak stock performance, with a consensus rating of "Hold" from 34 analysts and a mean price target of $82.10, representing a 21% premium to current levels [6]

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, leading to investor losses [8]. Group 1: Allegations - The lawsuit claims that Fiserv made false and misleading statements about its 2025 guidance, which was revised in July 2025 based on a review of new initiatives and products [8]. - Fiserv indicated that while some initiatives were delayed, they were fundamentally sound, which was later revealed to be untrue [8]. - The company admitted in October 2025 that the guidance provided in July was based on assumptions that were difficult to achieve, leading to artificially inflated security prices [8]. Group 2: Legal Process - 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, P.C. is representing the investors and encourages those affected to contact them for more information [4][5].

Core Viewpoint - A class action lawsuit has been filed against Fiserv, Inc. on behalf of investors who purchased shares during the specified Class Period, alleging misleading statements regarding the company's financial guidance and project delays [1][3]. Group 1: Lawsuit Details - The lawsuit claims that Fiserv revised its 2025 financial guidance in July 2025 after a "re-underwriting" of its initiatives, assuring investors that delays did not affect the fundamental soundness of projects [3]. - On October 29, 2025, Fiserv admitted that its July guidance was based on assumptions that were difficult to achieve, leading to a significant drop in share price [3]. Group 2: Financial Impact - Following the admission on October 29, 2025, Fiserv's share price fell by $55.57, a decrease of 44%, from $126.17 to $70.60 per share [3]. Group 3: Investor Information - Investors who purchased Fiserv securities during the Class Period have until January 5, 2026, to seek appointment as lead plaintiff representatives [2].

Core Viewpoint - Fiserv, Inc. (NASDAQ:FISV) is recognized as one of the most promising fintech stocks, with mixed analyst ratings and expectations for future performance [1][2][3]. Analyst Ratings - Mizuho Securities reaffirmed a Buy rating on Fiserv with a price target of $110 [1]. - JPMorgan downgraded its rating from Overweight to Neutral, maintaining a price target of $85, indicating that 2026 will be a critical year for the company [2]. - UBS reiterated a Neutral rating with a price target of $75, noting expected declines in full-year and fourth-quarter margins [3]. Financial Performance Expectations - Fiserv's Financial Solutions segment is not anticipated to experience significant margin shifts from Q3 to Q4, having already seen a decline of about 500 basis points in Q3 2025 [4]. - Merchant Solutions' margins decreased by approximately 400 basis points in Q3, excluding an $89 million gain in operating expenses, with further challenges expected in Q4 due to lower high-margin revenue [4]. Company Overview - Fiserv, Inc. is a global financial technology and payments company that provides solutions for banking, merchant acquiring, global commerce, billing and payments, and point-of-sale [5].

Core Insights - The article discusses the potential for certain undervalued stocks to rebound in 2026, particularly those that underperformed in 2025, suggesting a historical trend where the bottom quartile of performance in one year can lead to top quartile results in the following year [3][4]. Group 1: Market Trends - Historical patterns indicate that stocks like Fiserv, The Trade Desk, and Deckers Outdoor Corporation could transition from laggards in 2025 to outperformers in 2026, driven by macroeconomic factors such as rate cuts and increased election ad spending [7]. - The article highlights that many AI stocks are currently overvalued, while cyclical stocks appear undervalued, creating a favorable environment for potential rebounds in these sectors [8]. Group 2: Company-Specific Insights - Fiserv Inc. (NASDAQ: FISV) has seen a significant decline of 67% in 2025, trading at levels last seen in 2017, despite stable fundamentals with flat to slightly lower year-over-year revenue and earnings [5]. - The decline in Fiserv's stock is attributed to a market rotation away from payment networks towards financial stocks focused on AI, cryptocurrency, and buy now pay later solutions [6]. - Fiserv's recovery potential is linked to anticipated aggressive rate cuts, which historically boost payment volume and transaction growth; the stock is considered fundamentally undervalued with a forward P/E ratio of approximately 6.4x and projected earnings growth of 16.9% over the next 12 months [9].

Core Insights - The Mairs & Power Balanced Fund reported a return of 6.47% in the first nine months of 2025, underperforming benchmark indexes which increased by 11.35% and 10.73% respectively [1] - The market remains concentrated with a few mega-cap stocks, particularly in the AI sector, driving most favorable outcomes [1] Fund Performance - The fund's performance was negatively impacted by adverse stock selection despite an overweight position in the Financials sector [3] - The fund's top five holdings can provide insights into its best investment picks for 2025 [1] Company Focus: Fiserv, Inc. - Fiserv, Inc. (NASDAQ:FISV) is highlighted as a key stock, with a one-month return of 3.16% but a significant decline of 67.50% over the past 52 weeks [2] - As of December 10, 2025, Fiserv's stock closed at $66.57, with a market capitalization of $36.187 billion [2] Guidance and Market Sentiment - Fiserv revised its guidance lower for its Clover product, which is crucial for its growth in merchant acceptance, impacting stock performance significantly [3] - Despite the challenges, there remains confidence in Fiserv's future potential [3] Hedge Fund Interest - Fiserv is not among the top 30 most popular stocks among hedge funds, with 83 hedge fund portfolios holding the stock at the end of Q3, down from 94 in the previous quarter [4] - There is a belief that certain AI stocks may offer better upside potential and lower downside risk compared to Fiserv [4]