Fiserv price target lowered to $120 from $130 at Truist

Truist analyst Andrew Jeffrey lowered the firm’s price target on Fiserv to $120 from $130 and keeps a Hold rating on the shares as part of a broader research note previewing Q3 earnings in FinTech. Many of the firm’s covered names are slumping, and while broadly constructive, Q3 results may not be catalysts for some of its “favorite laggard ideas”, the analyst tells investors in a research note. Truist also believes that the challenges, including competition, commoditization, price pressure, and investments needed to move up-market and into more complex SMBs will not quickly abate. The firm adds that while Fiserv shares pulled back from recent highs, it remains concerned about the composition of Merchant organic revenue growth, peak-cycle Payments organic revenue growth, limited potential for FinTech top-line expansion and the stock’s persistent relative premium.