Forbes: Fiserv Stock Plummets 44% Due to Weak Guidance

Following a revised earnings outlook and a significant deceleration in its payment business, Fiserv's stock price declined by 43.9%, according to Forbes. The company reported a substantial decrease in organic revenue growth, falling to 1% in the third quarter from 8% in the preceding quarter. Growth within Fiserv's Clover payments platform also experienced a slowdown, decreasing to half of its previous rate. This weakened guidance and the identified business slowdown have amplified investor concerns, particularly in light of an ongoing class-action lawsuit. The lawsuit alleges that Fiserv artificially inflated growth metrics for the Clover platform by reclassifying existing merchants as new customers, thereby obscuring a genuine slowdown in organic expansion. The resulting market selloff resulted in a loss exceeding $30 billion from Fiserv's market capitalization.