Fidelity Information Systems (FIS) Fell on a Conservative Outlook

Core Insights - Pelican Bay Capital Management (PBCM) reported a 7.8% return for its Concentrated Value Strategy in Q3 2025, outperforming the Russell 1000 Value Index which returned 5.3% during the same period [1] - Year-to-date, PBCM's fund returned 11.2%, slightly below the index's 11.6% return [1] Company Overview - Fidelity National Information Services Inc. (NYSE:FIS) is highlighted as a key stock in PBCM's portfolio, recognized for its role as a leading provider of financial technology solutions [2] - As of November 7, 2025, FIS shares closed at $64.78, with a market capitalization of $33.55 billion [2] Performance Analysis - FIS was identified as the largest detractor in PBCM's performance for the quarter, with shares declining due to a poorly received earnings report and a conservative outlook [3] - Despite the decline, PBCM believes FIS is significantly undervalued and has increased its position following the drop in share price [3] Hedge Fund Interest - FIS was held by 49 hedge fund portfolios at the end of Q2 2025, a decrease from 56 in the previous quarter, indicating a decline in popularity among hedge funds [4] - While FIS shows potential as an investment, the analysis suggests that certain AI stocks may offer greater upside potential with less downside risk [4]