Fidelity National (FIS) Stock Jumps on Q1 Earnings

NEW YORK (TheStreet) -- Shares of Fidelity National Information Services (FIS) - Get Report are climbing by 5.42% to $70.82 on heavy trading volume late Tuesday morning, after the Jacksonville, FL-based company posted its 2016 first quarter results.

Before the market open, the banking and payment technologies company reported adjusted earnings of 79 cents per share, above analysts' estimates of 75 cents per share.

Revenue for the quarter was $2.18 billion, which missed Wall Street's forecasts of $2.25 billion.

"We are pleased with our strong performance to start the year, which was driven by solid sales execution, high-quality recurring revenues, and earnings," President and CEO Gary Norcross said in a statement.

"The addition of solutions from the SunGard portfolio and synergy attainment significantly expanded margins," he added.

For 2016, Fidelity National expects adjusted earnings per share between $3.70 and $3.80. Analysts are looking for earnings of $3.76 per share.

It also projects organic revenue growth of 3% to 4% for the full year.

About 3.38 million of the company's shares were traded by late this morning compared to its average volume of 1.76 million shares per day.

Separately, TheStreet Ratings Team has a "Buy" rating with a score of A- on the stock.

The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and solid stock price performance.

The team believes its strengths outweigh the fact that the company has had sub par growth in net income.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: FIS