Fiserv vs Mastercard

Fiserv and Mastercard are two leading players in the financial technology and payment processing industries. Fiserv, a global provider of technology solutions for financial institutions, has seen steady growth in recent years, while Mastercard, a top player in the payment processing sector, has also performed well. Both companies have strong financials and are well-positioned to capitalize on the growing trend towards digital payments. Investors looking for exposure to the financial technology and payment processing sectors may find opportunities in Fiserv and Mastercard stocks.

Fiserv or Mastercard?

When comparing Fiserv and Mastercard, 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 Mastercard.

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 Mastercard has a dividend yield of 0.65%. 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 0.00%. On the other hand, Mastercard reports a 5-year dividend growth of 17.92% year and a payout ratio of 18.79%.

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 32.76 and Mastercard's P/E ratio at 38.44. 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 4.02 while Mastercard's P/B ratio is 63.50.

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 Mastercard's is 0.85%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Fiserv's ROE at 11.86% and Mastercard's ROE at 175.72%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $193.29 for Fiserv and $504.00 for Mastercard. Over the past year, Fiserv's prices ranged from $109.12 to $195.83, with a yearly change of 79.46%. Mastercard's prices fluctuated between $359.77 and $509.88, with a yearly change of 41.72%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.