Fidelity National Information Services (NYSE:FIS) Announces Earnings Results

Fidelity National Information Services (NYSE:FIS) issued its quarterly earnings results on Tuesday. The information technology services provider reported $1.48 earnings per share for the quarter, topping the consensus estimate of $1.47 by $0.01, Zacks reports. Fidelity National Information Services had a net margin of 23.35% and a return on equity of 21.30%. The company had revenue of $3.38 billion during the quarter, compared to analysts’ expectations of $3.38 billion. During the same period last year, the business earned $1.36 EPS. The business’s quarterly revenue was up 29.1% on a year-over-year basis. Fidelity National Information Services updated its FY 2026 guidance to 6.150-6.240 EPS and its Q3 2026 guidance to 1.580-1.620 EPS.

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

• Strong second-quarter execution: Revenue rose 5.3% pro forma, adjusted EBITDA increased 7.4% with 113 basis points of margin expansion, and adjusted EPS grew 8.8%. Free cash flow more than tripled year over year to $525 million, prompting a $100 million increase to the full-year outlook.
• Banking Solutions remained a key growth driver, with revenue up 6.1% and EBITDA up 10.6%; recurring revenue was steady at 5%. Management cited strong demand for payments, fraud prevention, data, lending, modernization, and cybersecurity solutions.
• TSYS integration is progressing well: FIS reported wins with two large international banks, 72% of Total Issuing revenue is now contracted through 2029 or later, and joint-client ACV sales rose 35% year over year. The company remains on track for more than $150 million of EBITDA benefit from synergies by 2028.
• Capital Markets underperformed expectations: Revenue grew 3.2%, while professional services declined 17% because of weaker sales and slower backlog conversion. FIS cut its full-year Capital Markets growth outlook to 3%–3.5% from 5.5%, citing execution issues, UBS/Credit Suisse-related attrition, and continued pressure in lending.
• FIS is evaluating strategic alternatives for select Capital Markets products that do not fit its long-term profile, though management emphasized that this is not a review of the entire segment. The company expects modest Capital Markets reacceleration in the fourth quarter and recurring growth acceleration in 2027.

Fidelity National Information Services Stock Performance

FIS stock traded down $1.38 during midday trading on Wednesday, reaching $42.88. 2,918,181 shares of the company were exchanged, compared to its average volume of 6,057,430. The firm has a market capitalization of $22.16 billion, a price-to-earnings ratio of 8.29, a price-to-earnings-growth ratio of 0.44 and a beta of 0.77. The business has a 50-day moving average price of $41.12 and a two-hundred day moving average price of $46.30. Fidelity National Information Services has a one year low of $37.42 and a one year high of $72.91. The company has a debt-to-equity ratio of 1.05, a current ratio of 0.59 and a quick ratio of 0.59.

Fidelity National Information Services Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 25th. Shareholders of record on Friday, September 11th will be issued a dividend of $0.44 per share. The ex-dividend date of this dividend is Friday, September 11th. This represents a $1.76 annualized dividend and a yield of 4.1%. Fidelity National Information Services’s dividend payout ratio (DPR) is currently 34.11%.

Analyst Upgrades and Downgrades

FIS has been the subject of several recent research reports. Barclays decreased their target price on shares of Fidelity National Information Services from $44.00 to $43.00 and set an “equal weight” rating for the company in a research report on Wednesday. Deutsche Bank Aktiengesellschaft reduced their price objective on shares of Fidelity National Information Services from $55.00 to $50.00 in a research note on Monday, May 11th. Stephens lowered their target price on Fidelity National Information Services from $85.00 to $65.00 and set an “overweight” rating on the stock in a research report on Friday, May 8th. BNP Paribas Exane reduced their price target on Fidelity National Information Services from $40.00 to $37.00 and set an “underperform” rating for the company in a research report on Thursday, May 14th. Finally, Wall Street Zen lowered Fidelity National Information Services from a “buy” rating to a “hold” rating in a research report on Sunday, May 17th. Twelve analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Fidelity National Information Services presently has an average rating of “Hold” and a consensus target price of $57.59.

Institutional Investors Weigh In On Fidelity National Information Services

A number of institutional investors have recently made changes to their positions in the company. Kemnay Advisory Services Inc. acquired a new stake in Fidelity National Information Services during the 4th quarter worth approximately $42,000. DV Equities LLC acquired a new position in shares of Fidelity National Information Services in the fourth quarter valued at about $48,000. Geneos Wealth Management Inc. increased its position in Fidelity National Information Services by 70.1% during the first quarter. Geneos Wealth Management Inc. now owns 1,046 shares of the information technology services provider’s stock worth $78,000 after acquiring an additional 431 shares during the period. MUFG Securities EMEA plc acquired a new stake in Fidelity National Information Services in the 2nd quarter worth about $127,000. Finally, Los Angeles Capital Management LLC acquired a new position in shares of Fidelity National Information Services during the 4th quarter worth approximately $148,000. Institutional investors own 96.23% of the company’s stock.

More Fidelity National Information Services News

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

• Positive Sentiment: FIS reported second-quarter adjusted earnings of $1.48 per share, slightly above the $1.47 consensus estimate. Revenue reached $3.38 billion, in line with expectations and up 29.1% year over year, while management highlighted improving margins, stronger cash generation and continued demand for banking modernization and AI services. FIS Reports Second Quarter 2026 Results
• Positive Sentiment: Banking Solutions was identified as a key growth contributor, supporting the company’s push into payments, issuing and broader financial-institution technology services. FIS Deepens Its Banking Push With Payments and Issuing
• Neutral Sentiment: Unusually high options activity was recorded, with investors purchasing 4,004 call options—more than double typical daily call volume. This may indicate speculative bullish interest but does not necessarily reflect a change in the company’s fundamentals.
• Negative Sentiment: FIS lowered third-quarter 2026 guidance to $1.58–$1.62 in EPS and approximately $3.4 billion in revenue, below analyst expectations of $1.65 EPS and $3.5 billion revenue.
• Negative Sentiment: Full-year 2026 guidance was also reduced to $6.15–$6.24 EPS and $13.6–$13.7 billion in revenue, compared with consensus estimates of $6.28 EPS and $13.8 billion revenue. The outlook reduction has outweighed the second-quarter earnings beat and contributed to the stock’s decline.
• Negative Sentiment: UBS reaffirmed its “neutral” rating but cut its price target from $63 to $49, while Barclays lowered its target from $44 to $43 and maintained an “equal weight” rating. The revisions reinforce investor concerns about near-term growth and earnings momentum.

Fidelity National Information Services Company Profile

Fidelity National Information Services (NYSE: FIS) is a global provider of financial technology solutions and services for banks, capital markets firms, merchants and corporations. The company develops and delivers software, processing, and outsourcing services that support core banking, payments and merchant acquiring, wealth and retirement platforms, risk and compliance, and trading and capital markets operations. Its offerings include cloud-based and on-premises core banking systems, card processing and gateway services, e-commerce and point-of-sale payment solutions, and a range of back-office and advisory services designed to automate and modernize financial operations.

FIS serves a broad international client base across North America, Europe, Latin America, and the Asia-Pacific region through a combination of direct clients and partner channels.