Head to Head Review: Loomis (OTCMKTS:LOIMF) vs. Fiserv (NASDAQ:FISV)

Fiserv (NASDAQ:FISV) and Loomis (OTCMKTS:LOIMF) are both business services companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, earnings, analyst recommendations, institutional ownership, dividends, risk and profitability.

Analyst Ratings

This is a summary of current ratings and price targets for Fiserv and Loomis, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fiserv	2	24	10	0	2.22
Loomis	0	0	0	0	0.00

Fiserv currently has a consensus target price of $109.74, suggesting a potential upside of 92.33%. Given Fiserv’s stronger consensus rating and higher probable upside, analysts clearly believe Fiserv is more favorable than Loomis.

Valuation & Earnings

This table compares Fiserv and Loomis”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fiserv	$21.19 billion	1.44	$3.48 billion	$6.34	9.00
Loomis	$3.11 billion	1.00	$161.68 million	$2.37	19.68

Fiserv has higher revenue and earnings than Loomis. Fiserv is trading at a lower price-to-earnings ratio than Loomis, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Fiserv and Loomis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fiserv	16.42%	18.39%	5.90%
Loomis	5.19%	12.88%	4.18%

Institutional and Insider Ownership

91.0% of Fiserv shares are owned by institutional investors. 1.0% of Fiserv shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

Fiserv has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500. Comparatively, Loomis has a beta of -1.57, meaning that its stock price is 257% less volatile than the S&P 500.

Summary

Fiserv beats Loomis on 13 of the 14 factors compared between the two stocks.

About Fiserv

Fiserv, Inc., together with its subsidiaries, provides payments and financial services technology services in the United States, Europe, the Middle East and Africa, Latin America, the Asia-Pacific, and internationally. It operates through Merchant Acceptance, Financial Technology, and Payments and Network segments. The Merchant Acceptance segment provides merchant acquiring and digital commerce services; mobile payment services; security and fraud protection products; Clover, a cloud based POS and integrated commerce operating system for small and mid-sized businesses and independent software vendors; and Carat, an integrated operating system for large businesses. This segment distributes through various channels, including direct sales teams, strategic partnerships with agent sales forces, independent software vendors, financial institutions, and other strategic partners in the form of joint venture alliances, revenue sharing alliances, and referral agreement. The Financial Technology segment offers customer deposit and loan accounts, as well as manages an institution's general ledger and central information files. This segment also provides digital banking, financial and risk management, professional services and consulting, check processing, and other products and services. The Payments and Network segment offers card transactions, such as debit, credit, and prepaid card processing and services; funds access, debit payments, cardless ATM access, and surcharge-free ATM network; security and fraud protection products; card production; print services; and various network services, as well as non-card digital payment software and services, including bill payment, account-to-account transfers, person-to-person payments, electronic billing, and security and fraud protection products. It serves merchants, banks, credit unions, other financial institutions, and corporate clients. Fiserv, Inc. was incorporated in 1984 and is headquartered in Milwaukee, Wisconsin.

About Loomis

Loomis AB (publ) provides solutions for the distribution, payments, handling, storage, and recycling of cash and other valuables. The company offers a range of solutions for cash in transit, cash management services, foreign exchange services, automated teller machines, automated solutions, and international valuables logistics, as well as operates Loomis Pay, a payment service that enables processing of various types of payment methods, such as card, cash, and digital alternatives. It serves financial institutions, banks, retailers, commercial enterprises, and other customers, as well as public sector in Sweden, the United States, France, Switzerland, Spain, the United Kingdom, and internationally. Loomis AB (publ) was founded in 1852 and is headquartered in Stockholm, Sweden.