Marqeta (NASDAQ:MQ) vs. Fidelity National Information Services (NYSE:FIS) Financial Contrast

Marqeta (NASDAQ:MQ) and Fidelity National Information Services (NYSE:FIS) are both business services companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, institutional ownership, earnings, profitability, risk and analyst recommendations.

Profitability

This table compares Marqeta and Fidelity National Information Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Marqeta	-11.69%	-6.45%	-4.73%
Fidelity National Information Services	1.09%	18.73%	8.58%

Analyst Ratings

This is a breakdown of current ratings for Marqeta and Fidelity National Information Services, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Marqeta	0	10	3	0	2.23
Fidelity National Information Services	1	6	13	0	2.60

Marqeta presently has a consensus price target of $6.07, suggesting a potential upside of 18.98%. Fidelity National Information Services has a consensus price target of $91.00, suggesting a potential upside of 36.97%. Given Fidelity National Information Services’ stronger consensus rating and higher possible upside, analysts clearly believe Fidelity National Information Services is more favorable than Marqeta.

Valuation & Earnings

This table compares Marqeta and Fidelity National Information Services”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Marqeta	$553.22 million	4.13	$27.29 million	($0.13)	-39.23
Fidelity National Information Services	$10.13 billion	3.43	$1.45 billion	$0.18	369.11

Fidelity National Information Services has higher revenue and earnings than Marqeta. Marqeta is trading at a lower price-to-earnings ratio than Fidelity National Information Services, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

78.6% of Marqeta shares are held by institutional investors. Comparatively, 96.2% of Fidelity National Information Services shares are held by institutional investors. 12.6% of Marqeta shares are held by company insiders. Comparatively, 0.2% of Fidelity National Information Services shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Volatility & Risk

Marqeta has a beta of 1.51, suggesting that its stock price is 51% more volatile than the S&P 500. Comparatively, Fidelity National Information Services has a beta of 1.05, suggesting that its stock price is 5% more volatile than the S&P 500.

Summary

Fidelity National Information Services beats Marqeta on 11 of the 14 factors compared between the two stocks.

About Marqeta

Marqeta, Inc. operates a cloud-based open application programming interface platform that delivers card issuing and transaction processing services. It offers its solutions in various verticals, including financial services, on-demand services, expense management, and e-commerce enablement, as well as buy now, pay later. Marqeta, Inc. was incorporated in 2010 and is headquartered in Oakland, California.

About Fidelity National Information Services

Fidelity National Information Services, Inc. engages in the provision of financial services technology solutions for financial institutions, businesses, and developers worldwide. It operates through Banking Solutions, Capital Market Solutions, and Corporate and Other segments. The company provides core processing and ancillary applications; mobile and online banking; fraud, risk management, and compliance; card and retail payment; electronic funds transfer and network; wealth and retirement; and item processing and output solutions. It also offers trading and asset, lending, leveraged and syndicated loan markets, and treasury and risk solutions. The company was founded in 1968 and is headquartered in Jacksonville, Florida.