Recently announced, Fiserv, Inc. (FISV) was selected, primarily for its Acumen solution by SAC Federal Credit Union (FCU). This was done with the clear intent of developing an improved technological platform for the credit union’s information infrastructure.
Fiserv’s Acumen platform has been designed for companies who would use it to escalate service standards and cater to growth potentials in the market. This shall now not only ensure optimum efficiency levels at the largest credit union of Nebraska but also cater for increased flexibility for integration of new products and provide improved services for its existing customers.
Apart from the Acumen platform, Fiserv shall provide a few other services which include Nautilus, Prologue Financial Accounting Services, AML Manager, WireXchange etc. These shall bolster document image capture, accounting, anti-money laundering along with ATM processing services for the credit union.
As SAC FCU makes amends towards achieving long-term targets and market expansion strategies, these technologically sound and advanced solutions shall only boost its efforts to meet these goals faster. While the contract adds another feather to the cap for Fiserv, we can be hopeful of the credit union’s prospects of achieving a niche position in future with this venture and its aggressive growth strategies.
Fiserv currently expects an annual adjusted revenue growth rate of 4% – 6% for 2012. Along with this, it projects adjusted earnings per share (EPS) to range from $5.04 – $5.20 for the full year. With the current trend of advancements, it appears lucid that the company will achieve its annual targets with ease.
However, it is always wise to be extra cautious of competitive strides in the industry. Formidable players to take note of in this regard include Vantiv, Inc. (VNTV), Heartland Payment Systems Inc. (HPY) and Official Payment Holdings Inc. (OPAY).
At present we have a ‘Neutral’ recommendation on Fiserv. The stock carries a Zacks #3 Rank, which translates into a short-term rating of ‘Hold’.
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