Fiserv (NYSE:FI) vs. Paysign (NASDAQ:PAYS) Head-To-Head Comparison

Fiserv (NYSE:FI) and Paysign (NASDAQ:PAYS) are both business services companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, risk, profitability, earnings, valuation and dividends.

Valuation & Earnings

This table compares Fiserv and Paysign”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fiserv	$383.42 million	265.01	$3.07 billion	$5.35	32.46
Paysign	$47.27 million	4.88	$6.46 million	$0.13	33.39

Fiserv has higher revenue and earnings than Paysign. Fiserv is trading at a lower price-to-earnings ratio than Paysign, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Fiserv has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500. Comparatively, Paysign has a beta of 0.96, meaning that its share price is 4% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Fiserv and Paysign, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fiserv	0	5	21	2	2.89
Paysign	0	0	3	0	3.00

Fiserv presently has a consensus price target of $174.32, indicating a potential upside of 0.38%. Paysign has a consensus price target of $6.17, indicating a potential upside of 42.09%. Given Paysign’s stronger consensus rating and higher possible upside, analysts plainly believe Paysign is more favorable than Fiserv.

Profitability

This table compares Fiserv and Paysign’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fiserv	17.45%	16.41%	5.40%
Paysign	14.42%	32.55%	5.04%

Insider and Institutional Ownership

91.0% of Fiserv shares are owned by institutional investors. Comparatively, 25.9% of Paysign shares are owned by institutional investors. 0.8% of Fiserv shares are owned by company insiders. Comparatively, 23.4% of Paysign shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Fiserv beats Paysign on 9 of the 15 factors compared between the two stocks.

About Fiserv

Fiserv, Inc., together with its subsidiaries, provides payments and financial services technology services in the United States, Europe, the Middle East and Africa, Latin America, the Asia-Pacific, and internationally. It operates through Merchant Acceptance, Financial Technology, and Payments and Network segments. The Merchant Acceptance segment provides merchant acquiring and digital commerce services; mobile payment services; security and fraud protection products; Clover, a cloud based POS and integrated commerce operating system for small and mid-sized businesses and independent software vendors; and Carat, an integrated operating system for large businesses. This segment distributes through various channels, including direct sales teams, strategic partnerships with agent sales forces, independent software vendors, financial institutions, and other strategic partners in the form of joint venture alliances, revenue sharing alliances, and referral agreement. The Financial Technology segment offers customer deposit and loan accounts, as well as manages an institution's general ledger and central information files. This segment also provides digital banking, financial and risk management, professional services and consulting, check processing, and other products and services. The Payments and Network segment offers card transactions, such as debit, credit, and prepaid card processing and services; funds access, debit payments, cardless ATM access, and surcharge-free ATM network; security and fraud protection products; card production; print services; and various network services, as well as non-card digital payment software and services, including bill payment, account-to-account transfers, person-to-person payments, electronic billing, and security and fraud protection products. It serves merchants, banks, credit unions, other financial institutions, and corporate clients. Fiserv, Inc. was incorporated in 1984 and is headquartered in Milwaukee, Wisconsin.

About Paysign

Paysign, Inc. provides prepaid card programs, comprehensive patient affordability offerings, digital banking services, and integrated payment processing services for businesses, consumers, and government institutions. Its product offerings include solutions for corporate rewards, prepaid gift cards, general purpose reloadable debit cards, employee incentives, consumer rebates, donor compensation, clinical trials, healthcare reimbursement payments and pharmaceutical payment assistance, and demand deposit accounts accessible with a debit card. The company markets its prepaid card solutions under the Paysign brand. Its primary market focus is on companies and municipalities that require a streamlined payment solution for rewards, rebates, payment assistance, and other payments to their customers, employees, agents, and others. The company was formerly known as 3PEA International, Inc. and changed its name to Paysign, Inc. in April 2019. Paysign, Inc. was incorporated in 1995 and is headquartered in Henderson, Nevada.