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Shares of FIS dived nearly 15% on Tuesday, heading for their worst single-day session since Nov. 3, 2022, after the company’s fourth-quarter revenue fell short of Wall Street estimates and its outlook disappointed investors.
During the fourth quarter, revenue rose 3% year-over-year (YoY) to $2.59 billion, below an analyst estimate of $2.63 billion. Adjusted earnings per share (EPS) came in at $1.4, beating a Street forecast of $1.36. Adjusted net earnings rose 36% YoY to $754 million.
The company’s Banking Solutions segment saw revenue increase 1% on a GAAP basis and 2% on an adjusted basis to $1.7 billion compared to the year-ago period. Capital Market Solutions saw revenue rise by 9% on a GAAP basis and 9% on an adjusted basis to $821 million.
For the first quarter, the firm expects revenue of $2.485 billion—$2.510 billion, which falls short of an analyst estimate of $2.568 billion. Adjusted EPS is expected to come in at $1.17-$1.22, lower than a Street estimate of $1.36.
FIS’ full-year outlook also disappointed investors. The company expects revenue of $10.435 billion—$10.495 billion, below an analyst estimate of $10.594 billion. FIS expects adjusted EPS to come in at $5.70-$5.80 versus an estimated $5.71.
The company returned $1.2 billion of capital to shareholders through $1 billion of share repurchases and $192 million of dividends paid in the fourth quarter.
On Stocktwits, retail sentiment continued to trend in the ‘extremely bullish’ territory (92/100) accompanied by significantly high retail chatter.
One user expressed skepticism about the stock’s decline on Tuesday.
Another sees a good buying opportunity below $70 apiece.
On Tuesday, FIS shares tumbled to levels not seen since May 2024. The stock has fallen nearly 11% in 2025 but is up almost 15% over the past year.
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