Recently, Fiserv, Inc. ( FISV ) declared that its Cash and Logistics Solutions portal has been adopted by Geldservice Nederland B.V. (GSN). The company will be engaged in optimizing the entire cash distribution channel through improving its efficiency, accuracy and safety for three banks based in the Netherlands.
GSN, established in 2011, is considered as the main solution provider to the leading banks in the Netherlands. It offers various solutions including cash counting, management as well as logistics services and is also engaged in the maintenance of cash devices.
Now, with this association GSN will gain access to a range of Fiserv's Cash and Logistics Solutions, which include Integrated Currency Manager, Device Manager, Performance View and MatchPoint. The company's best-in-class services would help GSN to improve its currency supply chain management through maximizing the potential of cash management, incident and event management for various devices including ATMs, in-branch deposit, vendor management and business analytics.
These solutions by Fiserv would help GSN's clients to minimize their operational expenses and cash cost and maximize its business techniques and assist in decision-making through deploying improved business analytics.
The company expressed its enthusiasm regarding this association by stating that it will strengthen GSN's services. Fiserv's solution would help it ameliorate its vendor service standards and cater to growth potentials in the market through enhancing client satisfaction.
Various strategic contract wins hold future pledge for Fiserv. The company confirmed winning a bunch of contracts from various financial institutions during 2012. Recently, Fiserv declared that its LoanServ solution has been adopted by BSI Financial Services (BSI). With the introduction of LoanServ in its product profile, BSI Financial will be able to modify its sub- services with improved default management solutions and it will easily fulfill the requirement of its clients.
However, the company's financial segment faces tough competition from various big companies including Mastercard Incorporated ( MA ) and Fidelity National Information Services, Inc. ( FIS ). Mastercard recently entered into an agreement with C-SAM. Hence, the company has to be extra cautious of competitive strides in the industry.
The current Zacks Consensus Estimates for Fiserv, Inc. are $1.42 and $5.17 for the fourth quarter of 2012 and for 2012, respectively. The estimate for fourth quarter is a year-over-year growth of 12.1% and 12.9% for 2012. We currently have a long-term 'Neutral' recommendation for Fiserv. The stock carries a Zacks #3 Rank, which translates into a short-term 'Hold' rating.