Fidelity National Information Services (NYSE:FIS) Releases Earnings Results, Beats Estimates By $0.01 EPS

Fidelity National Information Services (NYSE:FIS) released its quarterly earnings data on Wednesday. The information technology services provider reported $1.61 EPS for the quarter, beating analysts’ consensus estimates of $1.60 by $0.01, FiscalAI reports. The company had revenue of $3.45 billion during the quarter, compared to analyst estimates of $3.43 billion. Fidelity National Information Services had a net margin of 26.77% and a return on equity of 20.42%. Fidelity National Information Services’s revenue was up 27.1% compared to the same quarter last year. During the same period last year, the business earned $1.51 earnings per share.

Here are the key takeaways from Fidelity National Information Services’ conference call:

• FIS reported third-quarter pro forma revenue growth of 3.7%, adjusted EPS growth of 6.6%, and 94 basis points of margin expansion. Year-to-date free cash flow rose 57% to $1.9 billion, and the company reaffirmed its full-year outlook of approximately $2.2 billion.
• FIS cut its 2026 revenue and earnings outlook, citing delayed client implementations, bank consolidation, lower demand for traditional licenses, and the prepaid-business divestiture. Full-year margin expansion is now expected at 20–30 basis points, and adjusted EPS growth at 1.2%–2.4%.
• The preliminary 2027 outlook points to revenue growth ranging from down 0.5% to up 1.0%, flat-to-down margins, and an adjusted EPS decline in the high-single- to low-double-digit range. Management attributed much of the pressure to lapping partnership revenue and unusually high bank termination fees, and expects these headwinds to largely fade in 2028.
• Management said demand remains strong, recurring ACV renewals are in the high 90s, and nearly all delayed client conversions are contractually secured and replanned. FIS is prioritizing subscription and SaaS sales, which it expects to support more durable recurring revenue over time.
• FIS plans continued investment in cybersecurity and resiliency, which management said will weigh on margins; it also expects higher-than-usual security spending and depreciation. CFO James Kehoe is leaving, with Alex Brooks serving as interim CFO while the board searches for a permanent successor.

Fidelity National Information Services Price Performance

FIS stock traded down $0.78 during mid-day trading on Friday, hitting $28.61. 7,191,860 shares of the stock were exchanged, compared to its average volume of 6,258,566. The company has a debt-to-equity ratio of 0.93, a current ratio of 0.55 and a quick ratio of 0.53. The business has a fifty day moving average price of $36.47 and a 200 day moving average price of $43.31. Fidelity National Information Services has a 12 month low of $28.39 and a 12 month high of $68.37. The stock has a market capitalization of $14.79 billion, a price-to-earnings ratio of 4.28, a PEG ratio of 0.36 and a beta of 0.84.

Fidelity National Information Services Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, December 28th. Shareholders of record on Monday, December 14th will be given a dividend of $0.44 per share. The ex-dividend date is Monday, December 14th. This represents a $1.76 dividend on an annualized basis and a yield of 6.2%. Fidelity National Information Services’s dividend payout ratio (DPR) is presently 27.04%.

Wall Street Analysts Forecast Growth

FIS has been the subject of a number of recent analyst reports. National Bank Financial set a $46.00 price target on shares of Fidelity National Information Services in a research report on Thursday. Weiss Ratings downgraded Fidelity National Information Services from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, September 10th. Stephens assumed coverage on Fidelity National Information Services in a research note on Tuesday, August 11th. They set an “equal weight” rating and a $50.00 price objective for the company. The Goldman Sachs Group reduced their target price on Fidelity National Information Services from $44.00 to $35.00 and set a “buy” rating for the company in a research report on Thursday. Finally, William Blair lowered Fidelity National Information Services from an “outperform” rating to a “market perform” rating in a research note on Wednesday. Six research analysts have rated the stock with a Buy rating, eighteen have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $42.20.

Key Stories Impacting Fidelity National Information Services

Here are the key news stories impacting Fidelity National Information Services this week:

• Positive Sentiment: FIS reportedly beat earnings expectations, providing a modest bright spot, though the results were overshadowed by weaker forward guidance. Why Fidelity National Information Services Plunged Today
• Neutral Sentiment: Some analysts still see potential upside: TD Cowen kept a Buy rating despite reducing its target to $38, while Goldman Sachs also maintained Buy with a lower $35 target. TD Cowen recommendations
• Negative Sentiment: The key concern is FIS’s reduced fiscal 2026 outlook, including a softer-than-expected fourth-quarter outlook. CFO James Kehoe is also stepping down, with Alexandra Brooks named interim CFO, adding uncertainty during a difficult period. Why Fidelity National Information Services Plunged Today
• Negative Sentiment: Analysts have broadly turned more cautious: Argus and Wolfe Research cut their ratings to Hold; Bank of America, JPMorgan and others moved to neutral or equivalent ratings. UBS, Citi, Barclays and several peers also reduced price targets. BofA cited a potential delay in capital returns. BofA downgrade and capital-return concerns
• Negative Sentiment: Shareholder-investigation notices add another source of reputational and legal uncertainty following the outlook cut. Shareholder investigation notice

Insider Activity at Fidelity National Information Services

In other news, Director Jeffrey Goldstein acquired 1,585 shares of Fidelity National Information Services stock in a transaction dated Thursday, October 15th. The shares were purchased at an average cost of $36.40 per share, for a total transaction of $57,694.00. Following the transaction, the director owned 18,697 shares of the company’s stock, valued at $680,570.80. This trade represents a 9.26% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.28% of the company’s stock.

Fidelity National Information Services Company Profile

Fidelity National Information Services, Inc (NYSE:FIS) is a global financial technology company that provides software, services and technology infrastructure to banks, financial institutions, merchants and other businesses. Its solutions are designed to support transaction processing, digital banking, payments, risk management and other essential financial operations.

FIS offers core banking and digital banking platforms, card and payment processing services, fraud and financial crime prevention tools, and technologies that help financial institutions manage accounts, lending and other banking activities.