Fiserv is an American financial technology company. It provides mission-critical payments processing, electronic funds transfer, and other complementary services to banks and credit unions. It has a greater focus on smaller banks. It also has a segment that offers payment processing services to merchants and competed with the likes of Shopify and Square. The core nature of Fiserv’s services increases the switching costs for banks and financial institutions and strengthens Fiserv’s moat. It is one of the few leaders in the financial technology provider sub-sector, and the company has strong future growth prospects.
The long-term monthly chart for Fiserv shows a clean uptrend with few pullbacks. The most significant one was in March 2020, when the price fell 40% and briefly went below the bottom trend line. Since then, the price has bounced back up but has been in a sideways movement. It has found support at the $100 level. Most recently, in July 2021, the price looks to be moving up towards the previous peak of $127. This would be the target price for a long position, while a minimum stop loss can be placed below the support level at around $98.
Position entered into our long-term tracking portfolio today. The entry point is at $111.57, and stop-loss is placed at $81.86, which is 27% below the entry point. The short-term to medium-term take profit at the top of the trend is set at $125.90, giving a profit of 13%.
On the video and images above you will see the reason this stock was selected.
You will see the image is of a monthly chart of the stock showing the long-term upwards trend formed over the years. You will also see the entry point and the where the stop loss is placed. For more information please watch the video given.
Once it is time to move the original stop loss up you will see an additional image.