Fiserv vs Ideal Which Outperforms?

Fiserv and Ideal are two companies that operate in the financial services industry, with Fiserv specializing in financial technology and services, while Ideal focuses on providing software and services for the banking and credit union sectors. Both companies have a strong track record of delivering innovative solutions to meet the evolving needs of their clients. Investors interested in the financial services sector may want to consider comparing the performance and potential of Fiserv and Ideal stocks to make informed investment decisions.

Fiserv or Ideal?

When comparing Fiserv and Ideal, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Fiserv and Ideal.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Fiserv has a dividend yield of -%, while Ideal has a dividend yield of 3.37%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Fiserv reports a 5-year dividend growth of 0.00% year and a payout ratio of 36.01%. On the other hand, Ideal reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Fiserv P/E ratio at 40.09 and Ideal's P/E ratio at 11.90. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Fiserv P/B ratio is 4.43 while Ideal's P/B ratio is 1.90.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Fiserv has seen a 5-year revenue growth of 1.17%, while Ideal's is 1.70%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Fiserv's ROE at 10.69% and Ideal's ROE at 16.19%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $213.50 for Fiserv and €5.84 for Ideal. Over the past year, Fiserv's prices ranged from $121.87 to $215.45, with a yearly change of 76.79%. Ideal's prices fluctuated between €5.16 and €6.78, with a yearly change of 31.40%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.