5 Stocks to Sell Now According to Billionaire Ken Fisher

In this article, we discuss 5 stocks to sell now according to billionaire Ken Fisher. If you want to read the investment philosophy of Ken Fisher and the detailed analysis of Fisher Asset Management, go directly to 10 Stocks to Sell Now According to Billionaire Ken Fisher.

5. Fiserv, Inc. (NASDAQ:FISV)

Number of Hedge Fund Holders: 59

Fiserv, Inc. (NASDAQ:FISV) is an American multinational company that provides financial technology. The company was added to Fisher Asset Management’s portfolio in the first quarter of 2022 with 7,414 shares worth $752,000. However, the firm dumped all of its Fiserv, Inc. (NASDAQ:FISV) stake in the next quarter.

Fiserv, Inc. (NASDAQ:FISV) has a long history of shareholder returns through stock repurchases. In 2019, the company bought back shares worth $394 million and repurchased stock worth $1.64 billion in 2020. Moreover, in the following year, the company bought back 23.3 million shares for $2.57 billion. However, Fiserv, Inc. (NASDAQ:FISV) is still severely burdened with debt. At the end of Q2 2022, the company had cash and cash equivalents of $883 million, while the long-term debt equaled $20.9 billion.

By the end of the quarter ending June 30, 59 hedge funds had a stake in Fiserv, Inc. (NASDAQ:FISV), valued at $3.69 billion. Harris Associates was the most prominent stakeholder of the company in Q2, with 23.17 million shares worth over $2 billion.

Here is what ClearBridge Investments had to say about Fiserv, Inc. (NASDAQ:FISV) in its Q4 2021 investor letter:

“While the threat of disruption risk to these established payment companies should not be taken lightly, it is important to note that many of these emerging disruptors are small relative to the massive global payments network and heavily reliant on the very payment infrastructure they are trying to disrupt. This led us to initiate a position in Fiserv, whose stock dropped to a level that embedded projections for negative long-term growth despite no current evidence of disruption. We think Fiserv will continue to grow despite perceived disruption risks given its scale and efficiency. Fiserv also owns cloud-based payments hardware and software system Clover, which is both bigger and faster growing than Square; this provides an additional degree of protection against further disruption risk.”