Reviewing Fidelity National Information Services (FIS) & Its Peers

Fidelity National Information Services (NYSE:FIS) is one of 334 publicly-traded companies in the “Financial Services” industry, but how does it compare to its peers? We will compare Fidelity National Information Services to related businesses based on the strength of its earnings, risk, profitability, institutional ownership, analyst recommendations, valuation and dividends.

Insider & Institutional Ownership

96.2% of Fidelity National Information Services shares are held by institutional investors. Comparatively, 43.5% of shares of all “Financial Services” companies are held by institutional investors. 0.3% of Fidelity National Information Services shares are held by insiders. Comparatively, 21.9% of shares of all “Financial Services” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Fidelity National Information Services	26.77%	20.42%	7.70%
Fidelity National Information Services Competitors	-258.35%	-39.89%	-4.62%

Dividends

Fidelity National Information Services pays an annual dividend of $1.76 per share and has a dividend yield of 6.0%. Fidelity National Information Services pays out 26.3% of its earnings in the form of a dividend. As a group, “Financial Services” companies pay a dividend yield of 4.2% and pay out -84.9% of their earnings in the form of a dividend. Fidelity National Information Services has raised its dividend for 1 consecutive years.

Risk and Volatility

Fidelity National Information Services has a beta of 0.84, indicating that its share price is 16% less volatile than the S&P 500. Comparatively, Fidelity National Information Services’ peers have a beta of 2.55, indicating that their average share price is 155% more volatile than the S&P 500.

Earnings & Valuation

This table compares Fidelity National Information Services and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Fidelity National Information Services	$12.94 billion	$382.00 million	4.41
Fidelity National Information Services Competitors	$6.68 billion	$1.13 billion	10.48

Fidelity National Information Services has higher revenue, but lower earnings than its peers. Fidelity National Information Services is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Fidelity National Information Services and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fidelity National Information Services	3	19	6	0	2.11
Fidelity National Information Services Competitors	1938	6960	11713	448	2.51

Fidelity National Information Services currently has a consensus target price of $41.12, indicating a potential upside of 39.08%. As a group, “Financial Services” companies have a potential downside of 5.28%. Given Fidelity National Information Services’ higher probable upside, equities research analysts clearly believe Fidelity National Information Services is more favorable than its peers.

Summary

Fidelity National Information Services peers beat Fidelity National Information Services on 8 of the 15 factors compared.

About Fidelity National Information Services

Fidelity National Information Services, Inc. (FIS) provides financial technology and services to banks, credit unions, capital markets firms and other financial institutions. Its offerings include systems for processing transactions, managing accounts and supporting day-to-day financial operations. The company’s products and services also cover digital banking, payments, risk management, regulatory compliance, treasury operations and capital markets activities such as trading and securities processing.