Fidelity National Information Services

ticker: FIS step: 01 generated: 2026-05-13 source: quick-research

Fidelity National Information Services, Inc. (FIS) — Business Overview

Business Description

FIS is one of the world's largest financial technology companies, providing the core banking systems, payment infrastructure, and capital markets technology that enables banks, investment firms, and corporations to manage the global money lifecycle. 49 of the top 50 banks globally are FIS clients. FY2025 revenue was $10.677B (+5.4% YoY). The company completed a major portfolio transformation: sold a majority stake in Worldpay (merchant processing) to GTCR for $18.5B in February 2024, retaining a 45% non-controlling interest. FIS is now executing a refocus on its core Banking Solutions and Capital Markets technology businesses, and agreed to acquire Global Payments' Issuer Solutions for $13.5B (expected close H1 2026).

Revenue Model

~81% recurring revenue from multi-year technology contracts: (1) Banking Solutions (~55% of revenue) — core banking processing, digital banking, payments fraud, risk/compliance, and data analytics for financial institutions; (2) Capital Markets (~20% of revenue) — trading, risk, treasury, and securities processing for investment banks, asset managers, hedge funds, and exchanges; (3) Worldpay stake — 45% non-controlling equity interest in Worldpay JV generates non-operating income; (4) Corporate/Other — professional services. Revenue per client grows as banks add FIS products (FIS averages 20+ products per client across the money lifecycle). Pricing: primarily SaaS subscription + transaction processing fees.

Products & Services

• FIS Modern Banking Platform — cloud-native core banking (replacing legacy on-premise systems); competing for new generation of FIS clients
• HORIZON / PROFILE — legacy core banking for U.S. community and mid-tier banks
• CLEAR — core banking for global banks
• Digital One — digital banking platform for retail and business banking
• Payments Hub — real-time payments (FedNow, RTP), ACH, wires, ISO 20022
• ALERT — fraud detection and financial crimes compliance
• Capital Markets Trading — order management, execution management, post-trade processing
• Integrity — data intelligence and AI analytics for financial institutions (200+ petabytes under management)
• Worldpay — 45% stake in global merchant processing JV (post GTCR sale)
• Global Payments Issuer Solutions (pending acquisition) — credit card issuer processing; $13.5B enterprise value

Customer Base & Go-to-Market

Banks (from community to global systemically important), credit unions, broker-dealers, exchanges, asset managers, insurance companies, government agencies. 49 of top 50 global banks. U.S. + 130 countries. Direct enterprise sales with multi-year professional services engagements. High switching costs: core banking migrations are 2–5 year projects costing hundreds of millions. Average contract length: 5–10 years.

Competitive Position

FIS competes with Fiserv (FI services) and Jack Henry (community banks) in banking technology, and with Broadridge, SS&C Technologies, and Bloomberg in capital markets. FIS's differentiation: scale (largest global bank technology provider), breadth (20+ products per client), and 200+ petabytes of transaction data that power AI/analytics products with no competitor able to match the data volume. The post-Worldpay focus creates a cleaner, higher-margin business — but integration of the $13.5B Issuer Solutions acquisition is a multi-year execution challenge.

Key Facts

• Founded: 1968 (various predecessor entities); named FIS: 2006
• Headquarters: Jacksonville, Florida
• Employees: ~55,000
• Exchange: NYSE
• Sector / Industry: Financials / Financial Technology — Banking & Capital Markets Systems
• Market Cap: ~$28–32B (at ~$48–55/share)

ticker: FIS step: 04 generated: 2026-05-13 source: quick-research

Fidelity National Information Services, Inc. (FIS) — Financial Snapshot

Note: FY2022/FY2023 include Worldpay (sold Feb 2024); FY2024/FY2025 reflect the continuing FIS businesses. The Worldpay sale makes YoY comparisons complex.

Income Statement Summary

FY2025: Revenue $10.677B (+5.4%); 24% recurring ACV growth; FCF conversion target 85% in FY2025, 90% in FY2026. GAAP losses in FY2022-2023 driven by Worldpay goodwill impairments ($18B+ written down). Underlying adj. EPS growing mid-single-digits. Down 30% in last 12 months (May 2025 data) as market concerns about Global Payments Issuer Solutions acquisition ($13.5B) + margin compression.

Cash Flow & Balance Sheet (FY2024)

FIS received $11.7B in gross proceeds from the Worldpay GTCR transaction, deploying capital into debt reduction and the $13.5B Global Payments Issuer Solutions acquisition. The Issuer Solutions deal (if approved and closed in H1 2026) would significantly increase revenue but also increase leverage. The Worldpay 45% stake provides non-operating income as Worldpay continues operating independently.

Key Ratios (approximate)

• P/E: ~8–10x (adj.) — severely discounted | EV/EBITDA: ~8–10x | FCF Yield: ~8–10%
• Revenue Growth (TTM): ~5% | Adj. EBITDA Margin: ~38%

Growth Profile

FIS's post-Worldpay core business (Banking Solutions + Capital Markets) is growing at 5–7% organically — modest but very high quality (81% recurring revenue, 49 of top 50 global bank clients). The investment thesis is primarily a transformation/re-rating story: after the massive Worldpay goodwill impairments ($18B+ over 2022-2023), FIS trades at 8–10x adj. earnings — deeply discounted vs. Fiserv's 20x+. The Global Payments Issuer Solutions acquisition would add card issuer processing to FIS's banking portfolio, potentially accelerating growth and justifying multiple expansion.

Forward Estimates

• FY2026: Revenue ~$14–16B (including Issuer Solutions); adj. EPS growing toward $9–10
• Global Payments Issuer Solutions close: H1 2026; adds ~$3B+ in incremental revenue
• FCF conversion: 90% target in FY2026
• Analyst consensus PT: ~$78–81 (13 analysts; majority Buy)
• Stock down 30% in last 12 months; significant potential re-rating if execution improves