Infosys vs Fiserv

Infosys and Fiserv are two prominent companies in the technology and financial services industries. Infosys, an Indian multinational corporation, specializes in information technology services and consulting. Fiserv, on the other hand, is an American provider of financial services technology. Both companies have a strong track record of growth and profitability, making them attractive options for investors. In this comparison, we will analyze the performance of Infosys and Fiserv stocks, their strengths, weaknesses, and future potential. Overall, both companies offer investment opportunities worth considering.

Infosys or Fiserv?

When comparing Infosys and Fiserv, 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 Infosys and Fiserv.

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. Infosys has a dividend yield of 2.4%, while Fiserv has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Infosys reports a 5-year dividend growth of -5.23% year and a payout ratio of 55.45%. On the other hand, Fiserv 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 Infosys P/E ratio at 29.73 and Fiserv's P/E ratio at 32.76. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Infosys P/B ratio is 9.57 while Fiserv's P/B ratio is 4.02.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Infosys has seen a 5-year revenue growth of 0.65%, while Fiserv's is 1.17%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Infosys's ROE at 32.17% and Fiserv's ROE at 11.86%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $22.97 for Infosys and $193.29 for Fiserv. Over the past year, Infosys's prices ranged from $16.04 to $23.48, with a yearly change of 46.38%. Fiserv's prices fluctuated between $109.12 and $195.83, with a yearly change of 79.46%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.