Fiserv Stock Drop Looks Sharp, But How Deep Can It Go?
Fiserv (FI) stock is down 48.5% in 21 trading days. The recent slide reflects slashed earnings guidance, self-inflicted missteps, and overly optimistic growth assumptions, but sharp drops like this often raise a tougher question: is the weakness temporary, or a sign of deeper cracks?
Before judging its downturn reslience, let’s look at where Fiserv stands today.
- Size: Fiserv is a $35 Bil company with $21 Bil in revenue currently trading at $63.80.
- Fundamentals: Last 12 month revenue growth of 6.7% and operating margin of 30.0%.
- Liquidity: Has Debt to Equity ratio of 0.85 and Cash to Assets ratio of 0.01
- Valuation: Fiserv stock is currently trading at P/E multiple of 10.4 and P/EBIT multiple of 5.7
- Has returned (median) 20.8% within a year following sharp dips since 2010. See FI Dip Buy Analysis.
These metrics point to a Moderate operational performance, alongside Low valuation – making the stock Risky. For details, see Buy or Sell FI Stock
That brings us to the key consideration for investors worried about this fall: how resilient is FI stock if markets turn south? This is where our downturn resilience framework comes in. Suppose FI stock falls another 20-30% to $45 – can investors comfortably hold on? Turns out, the stock has been more resilient than the S&P 500 index during various economic downturns, based on (a) how much the stock fell and, (b) how quickly it recovered. Below, we dive deeper into each such downturn.
2022 Inflation Shock
- FI stock fell 30.2% from a high of $126.55 on 26 April 2021 to $88.38 on 16 June 2022 vs. a peak-to-trough decline of 25.4% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 10 July 2023
- Since then, the stock increased to a high of $237.79 on 3 March 2025 , and currently trades at $63.80
| FI | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -30.2% | -25.4% |
| Time to Full Recovery | 389 days | 464 days |
2020 Covid Pandemic
- FI stock fell 37.8% from a high of $123.89 on 4 February 2020 to $77.00 on 23 March 2020 vs. a peak-to-trough decline of 33.9% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 11 March 2021
| FI | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -37.8% | -33.9% |
| Time to Full Recovery | 353 days | 148 days |
2018 Correction
- FI stock fell 16.2% from a high of $82.38 on 28 September 2018 to $69.00 on 24 December 2018 vs. a peak-to-trough decline of 19.8% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 24 January 2019
| FI | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -16.2% | -19.8% |
| Time to Full Recovery | 31 days | 120 days |
2008 Global Financial Crisis
- FI stock fell 51.1% from a high of $14.81 on 31 May 2007 to $7.24 on 27 October 2008 vs. a peak-to-trough decline of 56.8% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 14 December 2010
| FI | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -51.1% | -56.8% |
| Time to Full Recovery | 778 days | 1480 days |
Feeling jittery about FI stock? Consider portfolio approach.
A Multi Asset Portfolio Beats Picking Stocks Alone
Markets move differently but a mix of assets smooths volatility. A multi asset portfolio keeps you invested and reduces the impact of sharp drops in any single area.
The asset allocation framework of Trefis’ Boston-based, wealth management partner yielded positive returns during the 2008-09 period when the S&P lost more than 40%. Our partner’ strategy now includes Trefis High Quality Portfolio, which has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices