Fiserv Stock Slumps as CFO Says Clover Growth Will Likely Remain Flat
Shares of Fiserv tumbled Thursday after CFO Robert Hau said growth of the company's Clover platform isn't likely to improve from last quarter.
The point-of-sale platform saw 8% year-over-year volume growth in the first quarter, compared to 14% the period prior.
Fiserv stock has lost more than one-quarter of its value since the company reported first-quarter results last month.Shares of Fiserv (FI) tumbled Thursday after CFO Robert Hau said the company expects volume growth of its Clover point-of-sale system this quarter to remain roughly in line with its first-quarter results.
The stock dropped over 16% in recent trading, making it the leading decliner on the S&P 500. Fiserv shares have fallen more than 27% since the company reported last month that first-quarter Clover volume grew 8% year-over-year, compared to 14% in the fourth quarter of 2024.
Clover growth is expected to be 'generally similar' this quarter, Hau told attendees of a JPMorgan event Thursday, according to a transcript provided by AlphaSense. The CFO noted that some prior Clover volume growth was due to Fiserv's existing clients converting to the Clover gateway platform last year, which isn't repeatable.
"So we had a gateway that was non-Clover for clients that we converted over to the Clover Gateway... that doesn't repeat this year," said Hau.
This gateway headwind is expected to increase this quarter, Hau added.
Hau's remarks come after Fiserv named former PNC President Michael Lyons as its new chief executive last week. Outgoing CEO Frank Bisignano joined the Trump administration as commissioner of the Social Security Administration following a Senate confirmation hearing.
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