Fidelity National Information Services (NYSE: FIS) just received a notable vote of confidence from TD Cowen, who bumped the stock from Hold to Buy and set a new price target of $92. This move comes on the heels of two major strategic plays that have reshaped FIS’s profile for investors looking for both growth and stability.
FIS recently acquired Global Payments’ Issuer Solutions business for $13.5 billion—an ambitious move aimed at fortifying its revenue foundation. At the same time, it divested its Worldpay stake for $6.6 billion, signaling a commitment to refining its business focus and reducing cyclical exposure. These transactions reflect a clear pivot toward a more stable, less volatile revenue model—something analysts at TD Cowen believe could warrant a valuation re-rating.
The revamped business mix is expected to provide more predictable cash flow and improve the company’s ability to withstand economic headwinds. The market is starting to recognize FIS not just as a transaction processor, but as a tech-forward financial infrastructure player with long-term earnings potential.
📈 Dividend Fundamentals 📌 Annual Dividend: $1.44 per share
📌 Forward Yield: 1.78%
📌 Payout Ratio: Around 22.8%
📌 Dividend Frequency: Quarterly
📌 Years of Dividend Increases: 0
📌 Consecutive Years of Dividend Payments: 20
FIS doesn’t currently shine on the dividend growth front, but its conservative payout ratio suggests potential room for future increases. For dividend-focused investors, that stability paired with recent strategic clarity makes the stock all the more compelling.
With a refreshed strategic identity and a more predictable financial outlook, FIS is back on the radar—and TD Cowen’s upgrade sends a clear message: this is a company on the upswing.