WallStSmart

Fidelity National Information Services Inc (FIS)vsKyndryl Holdings Inc (KD)

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Smart Verdict

WallStSmart Research — data-driven comparison

Kyndryl Holdings Inc generates 23% more annual revenue ($14.97B vs $12.20B). FIS leads profitability with a 27.7% profit margin vs 0.6%. FIS trades at a lower P/E of 6.1x. FIS earns a higher WallStSmart Score of 89/100 (A).

FIS

Exceptional Buy

89

out of 100

Grade: A

Growth: 7.3Profit: 8.0Value: 8.7Quality: 3.5
Piotroski: 4/9Altman Z: -0.22

KD

Hold

39

out of 100

Grade: F

Growth: 2.0Profit: 5.5Value: 4.7Quality: 3.5
Piotroski: 4/9Altman Z: 1.12
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FISUndervalued (+13.1%)

Margin of Safety

+13.1%

Fair Value

$55.57

Current Price

$38.14

$17.43 discount

UndervaluedFair: $55.57Overvalued

Intrinsic value data unavailable for KD.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FIS6 strengths · Avg: 9.7/10
PEG RatioValuation
0.2210/10

Growing faster than its price suggests

P/E RatioValuation
6.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

EPS GrowthGrowth
3041.0%10/10

Earnings expanding 3041.0% YoY

Return on EquityProfitability
21.0%9/10

Every $100 of equity generates 21 in profit

Profit MarginProfitability
27.7%9/10

Keeps 28 of every $100 in revenue as profit

KD1 strengths · Avg: 8.0/10
Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Areas to Watch

FIS2 concerns · Avg: 2.5/10
Debt/EquityHealth
1.323/10

Elevated debt levels

Altman Z-ScoreHealth
-0.222/10

Distress zone — elevated risk

KD4 concerns · Avg: 3.0/10
P/E RatioValuation
34.6x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
0.6%3/10

0.6% margin — thin

Operating MarginProfitability
2.9%3/10

Operating margin of 2.9%

Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : FIS

The strongest argument for FIS centers on PEG Ratio, P/E Ratio, Price/Book. Profitability is solid with margins at 27.7% and operating margin at 20.7%. Revenue growth of 29.1% demonstrates continued momentum.

Bull Case : KD

The strongest argument for KD centers on Price/Book.

Bear Case : FIS

The primary concerns for FIS are Debt/Equity, Altman Z-Score.

Bear Case : KD

The primary concerns for KD are P/E Ratio, Profit Margin, Operating Margin. Debt-to-equity of 4.61 is elevated, increasing financial risk. Thin 0.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

FIS profiles as a growth stock while KD is a value play — different risk/reward profiles.

KD carries more volatility with a beta of 1.71 — expect wider price swings.

FIS is growing revenue faster at 29.1% — sustainability is the question.

FIS generates stronger free cash flow (238M), providing more financial flexibility.

Bottom Line

FIS scores higher overall (89/100 vs 39/100), backed by strong 27.7% margins and 29.1% revenue growth. Both earn "Exceptional Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Fidelity National Information Services Inc

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

FIS is an American Fortune 500 company which offers a wide range of financial products and services. Headquartered in Jacksonville, Florida, FIS employs approximately 63,000 people worldwide. FIS is most known for its development of Financial Technology, or FinTech, and as of Q2 2020 it offers its solutions in three primary segments: Merchant Solutions, Banking Solutions, and Capital Market Solutions.

Kyndryl Holdings Inc

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Kyndryl Holdings Inc (KD) is a leading global technology services provider that emerged as a standalone entity from IBM in 2021. Specializing in the management, modernization, and optimization of critical IT infrastructure, Kyndryl offers a comprehensive range of services, including cloud integration, data security, and digital transformation solutions. Through strategic alliances with top technology firms, the company delivers customized and innovative services designed to address the dynamic needs of the digital landscape. With its extensive industry expertise and focus on fostering technological advancements, Kyndryl serves as an indispensable partner for organizations looking to enhance their operational capabilities and sustain competitive advantage.

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