Fidelity National Information Services, Inc. (FIS) Intrinsic Value & DCF Valuation
Information Technology Services · NYSE
Current Price
$46.81
Intrinsic Value
$72.29
+35.2% margin of safety
What Is Fidelity National Information Services, Inc.'s Intrinsic Value?
As of 2026-07-29, the base-case DCF model estimates the intrinsic value of Fidelity National Information Services, Inc. (FIS) at $72.29 per share, compared with a market price of $46.81, a margin of safety of +35.2%. The base case assumes 8.9% annual free cash flow growth and a 10.0% discount rate.
Across the sensitivity grid the estimate spans $52.79 to $95. Intrinsic value is an estimate built on assumptions, not a fact. A higher discount rate or slower growth pushes the estimate down, while stronger cash flow growth lifts it.
How the DCF works · Recalculate with your own assumptions · What is intrinsic value?
Is Fidelity National Information Services, Inc. (FIS) Undervalued?
At the current price of $46.81, FIS trades well below the base-case intrinsic value estimate, a margin of safety above 30%. By this model the stock looks undervalued, but verify the growth assumptions match your own view before acting.
COMPETITIVE MOAT
↑Deep Banking Ecosystem Integration
FIS's HORIZON platform and extensive suite of financial services are deeply embedded within numerous banks. This creates significant switching costs for clients reliant on its integrated infrastructure.
↑Scale and Data Advantage
Operating at a massive scale provides FIS with vast amounts of data and operational efficiencies. This scale is difficult for smaller competitors to replicate, offering a cost advantage.
↑Recurring Revenue from Cloud Banking
The recent Frankfurt International Bank deal highlights FIS's success in expanding recurring revenue through cloud-native banking solutions. This predictable revenue stream strengthens its financial stability.
INVESTMENT RISKS
↓Technological Obsolescence
The rapid pace of technological change in financial services requires constant investment in R&D. Failure to keep pace with emerging technologies could lead to a loss of competitive edge.
↓Regulatory and Compliance Burden
As a provider of critical financial infrastructure, FIS is subject to stringent regulations. Changes in compliance requirements can increase operational costs and complexity.
↓Integration Challenges with Acquisitions
FIS has a history of acquisitions. Successfully integrating new technologies and customer bases from these acquisitions is crucial for realizing synergies and avoiding disruption.
Base case
FIS base case valuation
Intrinsic Value
$72.29
Margin of safety
+35.2%
Expected annual return
+9.1%
Base case assumptions: 8.9% annual growth, 10.0% discount rate, 9x exit multiple, 5 year projection. Data as of 2026-07-29.
This base case uses default assumptions and is not financial advice. The intrinsic value changes significantly when the growth rate or discount rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the FIS valuation
Adjust the growth rate, discount rate, and exit multiple to see how the intrinsic value and margin of safety for Fidelity National Information Services, Inc. respond.
Open DCF Calculator for FISCompany Overview
Fidelity National Information Services, Inc. provides solutions to financial institutions, businesses, and developers worldwide. The company operates through Banking Solutions, Capital Market Solutions, and Corporate and Other segments. It provides core processing and ancillary applications; mobile and online banking; fraud, risk management, and compliance; card and retail payment; electronic funds transfer and network; wealth and retirement; and item processing and output solutions. The company also offers trading and assets, lending, leveraged and syndicated loan markets, and treasury and risk solutions. Fidelity National Information Services, Inc. was founded in 1968 and is headquartered in Jacksonville, Florida.
Financial Metrics — FIS Stock Valuation Data
Revenue/Share (TTM)
$22.64
FCF/Share (TTM)
$5.40
ROIC (TTM)
4.8%
ROE (TTM)
18.5%
P/FCF
8.7x
EV/EBITDA
4.8x
FCF Yield
11.49%
Debt/Equity
0.27x
Based on trailing twelve-month data, FIS shows a free cash flow per share of $5.40 and a ROIC of 4.8%, key inputs for stock valuation using the DCF method. The P/FCF ratio of 8.7x and FCF yield of 11.49% are important context metrics when evaluating FIS's stock valuation relative to peers.
Frequently Asked Questions
What is the intrinsic value of FIS?
Fidelity National Information Services, Inc. currently generates $5.40 in free cash flow per share. At the current price of $46.81, a DCF model would discount these cash flows at an appropriate WACC and apply a terminal growth rate to arrive at an intrinsic value. The result depends heavily on your growth and discount rate assumptions — a 1% change in WACC typically shifts the fair value estimate by 10-15%. In MiniValuator the model uses a single discount rate that you can edit directly, 10% by default, rather than a computed WACC.
Is FIS undervalued?
FIS trades at a P/FCF ratio of 8.7x with a free cash flow yield of 11.49%. A low P/FCF means investors are paying less per dollar of free cash flow; whether that is cheap depends on the company's growth, cyclicality, and capital intensity. However, whether FIS is truly undervalued requires comparing the DCF intrinsic value to the current market price and evaluating whether the margin of safety is sufficient for your risk tolerance.
How do I value FIS stock using DCF?
To perform a DCF valuation on Fidelity National Information Services, Inc.: (1) Start with the trailing free cash flow per share ($5.40) as the base, (2) project future FCF growth over 5-10 years based on Information Technology Services industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting FIS's risk profile — with a debt-to-equity of 0.27x, capital structure is an important factor, and (4) add a terminal value for cash flows beyond the projection period.
What is DCF valuation and how does it apply to FIS?
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For Fidelity National Information Services, Inc., this means projecting how much free cash flow the company will produce over the next 5-10 years, shaped by Information Technology Services trends, then discounting those amounts to today's dollars. FIS's ROIC of 4.8% means the company's return on invested capital sits below the level that typically clears its cost of capital.
How does WACC affect FIS stock valuation?
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For FIS, with a debt-to-equity ratio of 0.27x, the capital structure directly influences WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%. At an EV/EBITDA of 4.8x, the market's implied discount rate can be reverse-engineered for comparison. In MiniValuator you set this discount rate yourself as a single editable number, 10% by default, instead of computing a formal WACC.
Learn More
- See FIS PE Valuation → — Earnings-based stock valuation using PE ratio analysis
- DCF Methodology — Step-by-step guide to discounted cash flow analysis
- PE Methodology — Guide to PE ratio stock valuation
- WACC — Understanding the discount rate used in DCF
- Margin of Safety — How to evaluate downside protection
- Intrinsic Value — How to evaluate stock fair value
- How to Calculate Intrinsic Value — Complete guide for investors
Related Valuations
All Technology valuationsDCF and P/E value FIS with different methods and assumptions, so the two conclusions can differ. Compare the P/E fair value.
Price as of 2026-07-29. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.