Fiserv (FI) Fell on Concerns Over Declining Payment Volume

Oakmark Funds, advised by Harris Associates, released its “Oakmark Equity and Income Fund” Q2 2025 investor letter. A copy of the letter can be downloaded here. The equity portfolio returned 4.67% in the second quarter compared to 10.94% for the S&P 500 Index. An underweight in technology stocks and an overweight in value and mid-cap stocks led to the underperformance of the fund. The fixed income portfolio returned 1.97% compared to 1.21% for the Bloomberg U.S. Aggregate Bond Index. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its second quarter 2025 investor letter, Oakmark Equity and Income 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 1.28%, and its shares gained 7.47% of their value over the last 52 weeks. On July 14, 2025, Fiserv, Inc. (NYSE:FI) stock closed at $167.00 per share with a market capitalization of $92.59 billion.

Oakmark Equity and Income Fund stated the following regarding Fiserv, Inc. (NYSE:FI) in its second quarter 2025 investor letter:

“Fiserv, Inc. (NYSE:FI) was the top detractor during the quarter. The U.S.-headquartered financial software and payment processing company’s stock price declined due to concerns that its payment volumes are slowing. Despite this, management reiterated its full-year guidance, emphasizing that volumes are expected to improve during the second half of the year and that the company has several levers to sustain high revenue growth. We met with management and continue to appreciate their focus on long-term sustainable growth and shareholder value creation. In our view, Fiserv is well-positioned to benefit from the secular trend toward digital payments and banking.”

A senior executive at a large desk reviewing the financial reports of the software and application company.

Fiserv, Inc. (NYSE:FI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 72 hedge fund portfolios held Fiserv, Inc. (NYSE:FI) at the end of the first quarter, which was 80 in the previous quarter. While we acknowledge the risk and potential of 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 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 the list of best fintech stocks to buy. 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.