We continue to maintain our Neutral recommendation on Fiserv, Inc. (FISV). Judging by the degree of uncertainty the company still experiences with regard to competitive threats and clouded industry conditions, we think it wise not to be too upbeat about its future performance even with contract wins and strong quarterly results delivered of late.

Fiserv continues to post approbatory yields in its quarterly financial results. On May 1, 2012, the company reported a 5.3% annual increase in adjusted revenues to reach $1.034 billion in the quarter along with an adjusted operating margin surge from 28.3% in the previous year quarter to 28.7% in the first quarter of 2012. What was more impressive than its recent achievement was the strong guidance averred by management which declared growth expectations in almost all important parameters such as net income, revenues and margins.

A major growth driver for Fiserv is its ability to create and retain partnerships. We observed that the company extended ties with Carleton, Inc. for its SmartCales financial tool during the quarter whereas Badan Sertifikasi Manajemen Risiko (:BSMR) joined hands with Fiserv again for managing and setting up educational financial risk management workshops in Indonesia in 2012. As we look ahead, the company’s ZashPay and Mobile Money platforms are likely to bolster recurring revenues comprehensively in the coming quarters.

While catering to technological advancements and partnership deals, the company does not neglect investor interests. Strong buy-back activities seem to be a regular feature for the company every quarter. In its first quarter of 2012, it repurchased 3.7 million shares for $245 million.

However, the scenario is not really as bright as it appears as certain bottlenecks still continue to be bothersome for the company. Fiserv needs to focus on battling these downsides better in order to make the entire picture look more favorable.

Ongoing threats from big players in the industry such as Heartland Payment Systems (HPY), Mastercard Inc. (MA) and Alliance Data Systems Corporation (ADS) are quite consistent and prevalent. Moreover, self-sufficient financial corporations and billers who create and develop their own electronic payment and internet banking solutions are quite detrimental to the market share of Fiserv.

One aspect which may be troublesome to investors for the time being is the company’s poor cash flow in the first quarter of 2012. Ordinarily, it does not look to be a huge downside but is noteworthy for Fiserv as cash flow generation has been a major strength for the company perennially over the past quarters. However, in the recent quarter results, the company’s cash flow from operation depreciated around 17% due to working capital changes and stock purchase activities implemented.

Apart from these, the company remains vulnerable to fluctuations arising from fiscal adversities, weakened loan demands, unidentified revenue sources, etc. It is imperative that Fiserv makes an earnest effort in order to overcome these bottlenecks as nothing apart from individual performance strengths can cope with the problems.  

Hence, owing to the precarious zone the company continues to prevail in, we find it wise to maintain a sideline stance for the time being. In the short run, we have a Zacks #3 Rank on the stock which translates into a short-term ‘Hold’ rating.

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Article source: http://finance.yahoo.com/news/remain-neutral-fiserv-151519195.html

Teens Creative Writing workshops will be held 4-5 p.m. May 19, and the third Saturday of each month, in the in the Board Room at the Blount County Public Library, 508 North Cusick Street in Maryville.

They will be facilitated by Erin Meadows-Tallant. Teens can learn methods appropriate for all genres of writing, character development, point of view and various literary devices. Participants will engage in writing exercises to enhance creativity and expression and will be inspired to enjoy writing and nurture creativity and self-expression.

There will be writing exercises at every meeting, so students can practice what they learn. As time permits, there may also be readings to enhance the group experience.

For more info, call 865-982-0981 or visit www.blountlibrary.org/.

Article source: http://www.knoxnews.com/news/2012/may/17/yournews-blount-county-library-will-host-teen-crea/?partner=RSS

SEASIDE

Caregiver workshops Saturday

“Caregiver University 2012,” a day of free workshops for caregivers, will be held Saturday at Oldemeyer Center, 986 Hilby Ave., beginning with registration at 8 a.m.

Classes will be offered in English and Spanish. Free continental breakfast and lunch will be served.

The event is presented by the Health Projects Center and the Area Agency on Aging. To register or for information, call 459-6639.

MONTEREY

Coast Guard holds boat safety activities

The crew of Coast Guard Station Monterey will host various boating safety activities and displays from 9 a.m. to 1 p.m. Saturday at San Carlos Beach Park.

The park is between Cannery Row and the city boat launch, across from the Coast Guard rescue station.

For information, call 647-7308.

CARMEL VALLEY

Watershed event held at Carmel River

A “Watershed Awareness Day” will be held on the Carmel River on Sunday.

The free event will take place from 9 a.m. to noon at Dampierre Park in Carmel Valley and coincides with California Watershed Network’s Watershed Awareness Month.

The event is hosted by the Resource Conservation District of Monterey County, the Monterey Peninsula Regional Park District and the Monterey Peninsula Water Management District.

To register, see www.mprpd.org or call 659-6065. For more information, see www.watershednetwork.org.

SEASIDE

Groups host discussion on immigration

“Complex Allegiances,” a reading and panel discussion on immigration, citizenship and belonging, will be held at 7 p.m. Tuesday at the Peace Resource Center, 1364 Fremont Blvd.

The event is sponsored by the Monterey County chapter of the ACLU of Northern California and Universal Table/Wising Up Press.

Article source: http://www.mercurynews.com/california/ci_20651702/your-town-caregiver-workshops-saturday