Fiserv Faces Class Action Lawsuit After 44% Stock Plunge Due to Misleading Guidance

Written by Emily J. Thompson, Senior Investment Analyst

FISV.O+0.54%

Source: Globenewswire

Updated: 1 day ago

0mins

Source: Globenewswire

Class Action Initiated: Berger Montague PC has announced a class action lawsuit against Fiserv on behalf of investors who purchased shares between July 23, 2025, and October 29, 2025, highlighting significant investor dissatisfaction with the company's financial transparency.
Stock Price Collapse: On October 29, 2025, Fiserv's stock plummeted from $126.17 to $70.60, resulting in a staggering 44% loss in a single day, reflecting extreme market pessimism regarding the company's future prospects.
Misleading Guidance Allegations: The lawsuit alleges that Fiserv's revised financial guidance in July 2025 was misleading, claiming that the “re-underwriting” of new initiatives was sound, while the reality indicated that these assumptions were difficult to achieve, harming investor interests.
Investor Rights Protection: Investors must apply by January 5, 2026, to be appointed as lead plaintiffs, indicating a focus on corporate governance and transparency, which may prompt the company to improve its disclosure practices.

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Intellectia

Analyst Views on FISV

Wall Street analysts forecast FISV stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FISV is 107.61 USD with a low forecast of 62.00 USD and a high forecast of 185.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

29 Analyst Rating

10 Buy

19 Hold

0 Sell

Moderate Buy

Current: 66.210

Low

62.00

Averages

107.61

High

185.00

Current: 66.210

Low

62.00

Averages

107.61

High

185.00

JPMorgan

Overweight -> Neutral

downgrade

$85

2025-12-04

Reason

JPMorgan

Price Target

$85

2025-12-04

downgrade

Overweight -> Neutral

Reason

JPMorgan downgraded Fiserv to Neutral from Overweight with an unchanged price target of $85. The firm views 2026 as a "show-me execution year and an investment year" for the company. While a "lot can go right," a "lot can disappoint too," the analyst tells investors in a research note. The firm prefers to wait from the sidelines to start 2026.

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About FISV

Fiserv, Inc. is a global provider of payments and financial services technology solutions. Its segments include Merchant Solutions (Merchant) and Financial Solutions (Financial). The businesses in its Merchant segment provide commerce-enabling products and services to companies of all sizes around the world. These products and services include merchant acquiring and digital commerce services; mobile payment services; security and fraud protection solutions; stored-value solutions; software-as-a-service; POS devices; and pay-by-bank solutions. The business lines in its Merchant segment consist of small business, enterprise, and processing. The businesses in its Financial segment provide products and services to financial institutions, corporate and public sector clients across the world, enabling the processing of customer loan and deposit accounts, digital payments and card transactions. The business lines in its Financial segment consist of digital payments, issuing, and banking.

About the author

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Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.