Do You Believe in Fiserv’s (FI) Growth Potential?

Mairs & Power, an investment advisor, released the “Mairs & Power Balanced Fund” second quarter 2025 investor letter. A copy of the letter can be downloaded here. The quarter started with tariff uncertainty, conflicts in the Middle East, rising national debt, and the worst start to a year for the dollar; however, it bounced back to rise 25% from that low by the end of the quarter. The fund returned 2.66% in the first half of 2025. The fund underperformed the benchmark composite indexes (60% S&P 500 Total Return Index and 40% Bloomberg U.S. Government/Credit Bond Index), which were up 5.43% and the Morningstar Moderate Allocation peer group, which rose 5.67%. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, Mairs & Power Balanced Fund highlighted stocks such as Fiserv, Inc. (NYSE:FI). Fiserv, Inc. (NYSE:FI) is a payment and fintech services provider. The one-month return of Fiserv, Inc. (NYSE:FI) was -5.91%, and its shares lost 26.57% of their value over the last 52 weeks. On September 23, 2025, Fiserv, Inc. (NYSE:FI) stock closed at $129.82 per share, with a market capitalization of $70.569 billion.

Mairs & Power Balanced Fund stated the following regarding Fiserv, Inc. (NYSE:FI) in its second quarter 2025 investor letter:

“The Fund’s overweight to the Financials sector aided performance in the first half of 2025 but was also offset by stock selection within the sector. Fiserv, Inc. (NYSE:FI) had a difficult first six months of 2025 as the company revised its guidance lower for its Clover product, a cloud-based payment platform, which is at the core of its growth in merchant acceptance. The company has performed well in recent years, and the Clover product has been a meaningful part of that growth. Although we remain confident in the company’s future, the downward revision of expectations had an outsized impact on stock performance.”

Fiserv, Inc. (NYSE:FI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 94 hedge fund portfolios held Fiserv, Inc. (NYSE:FI) at the end of the second quarter, up from 72 in the previous quarter. In the second quarter of 2025, Fiserv, Inc.’s (NYSE:FI) adjusted revenue grew 8% to $5.2 billion. While we acknowledge the risk and potential of Fiserv, Inc. (NYSE:FI) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Fiserv, Inc. (NYSE:FI) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Fiserv, Inc. (NYSE:FI) and shared Columbia Threadneedle Global Technology Growth Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.