Slower Growth and Margin Pressure Affected Fiserv (FI) in Q3

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]