Monness Crespi remains on Fiserv sidelines after Q4 report

Monness Crespi analyst Gus Gala notes that Fiserv “slightly missed” on revenue in Q4, but “beat broadly” across estimates and Street consensus on EBITDA and EPS. The bigger takeaway in the view of the analyst was calendar year 2024 guidance that highlights “unsustainable aspects” of long-term merchant organic revenue growth, the firm tells investors. The analyst reiterates a Neutral rating and remains on the sidelines on Fiserv given what the firm calls the “unsustainable” long-term merchant revenue growth targets and a less resilient consumer.