I will start by saying that when Fiserv took away our 401(k) match back in April I understood considering how poorly the market performed in March and the unknowns of COVID-19. However, since that time the messaging from Frank on earnings calls have been confusing. In one breath, he states that he in unsure if the 401(k) match or ESPP discount will come back due to the "hard" times these days. In the next, he states that Fiserv is best in class in valuation metrics compared to the industry, such as Free Cash Flow. If we have such a large cash reserve, wouldn't that mean the pandemic has not affected us as much as we anticipated? Why is there a continuous delay to bring the match back? Will it ever come back?
10 replies (most recent on top)
The 401k match is such a small number next to the stock buy back amount and even less that franks executive compensation. But it was the first thing to go
There is nothing confusing about the 401K. Frank said it will be back on Jan 1. He just wanted a little time to ensure there wasn’t another dip. He will announce soon.
The stock is a laggard. When institutions start dumping it’ll be in the 60’s. The execs will be at their beach houses and boats starting their new gigs
Yeah, sinking ship is right. He has been the head of the company for almost a year now. Employee morale is down, and stockholders are seeing the poor performance from it. Senior management seems like a three ring circus putting out fires left and right from the gaping holes created by the "synergies" layoffs identified by the combination of both companies. I wouldn't expect much in the way of solid performance for another two years.
https://www.forbes.com/sites/greatspeculations/2020/08/14/the-good-and-bad-caterpillar–fiserv/
@pcd+16J7cXMu I'm now 5x glad I sold that worthless stock back in late January.
I feel bad for those who missed the chance, but there is still opportunity to leave the sinking ship now, before you're forced to go job-hunting against all of your cow-workers once the desperation layoffs start to hit.
@pcd+16J7cXMu I am assuming this is the article you are referring to?
https://www.forbes.com/sites/greatspeculations/2020/08/14/the-good-and-bad-caterpillar–fiserv/#1187c82249d0
Interesting as this tells a completely different story than what Frank is putting out there.
Read the Forbes article
@lth+16J7cXMu Yes his recent appearances on Fox Business and CNBC show him touting how great Fiserv's growth opportunities are at this moment. Even discussing how well Fiserv has navigated through the pandemic, great quarterly financials, and even becoming a true competitor to Square with Clover. Yet, Fiserv is in the 11% of companies that reduced or eliminate their 401(k) match completely?
https://www.yahoo.com/finance/news/company-401-k-matches-are-mostly-surviving-the-coronavirus-182659234.htm
Something is not adding up here.
They are stripping fiserv for parts. This is not a long term play for people. Think of it as a contract engagement
Frank is a terrible representative for Fiserv. He’s incoherent and his stream of consciousness is hard to follow at times. He has no depth or substance just flashy buzzwords. And his presence on multiple Fox entities makes me feel as if he’s been politically compromised.