ACIW vs FIS

For growth investors, ACI Worldwide, Inc.

(ACIW) is the stronger pick with 10. 4% revenue growth year-over-year, versus 5. 4% for Fidelity National Information Services, Inc. (FIS). ACI Worldwide, Inc. (ACIW) offers the better valuation at 21. 6x trailing P/E (19. 0x forward), making it the more compelling value choice. Analysts rate ACI Worldwide, Inc. (ACIW) a "Buy" — based on 17 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, ACI Worldwide, Inc.

(ACIW) is the cheapest at 21. 6x versus Fidelity National Information Services, Inc. at 63. 0x. On forward P/E, Fidelity National Information Services, Inc. is actually cheaper at 7. 5x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Fidelity National Information Services, Inc. wins at 0. 31x versus ACI Worldwide, Inc. 's 0. 67x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, ACI Worldwide, Inc.

(ACIW) delivered a total return of +21. 7%, compared to -63. 2% for Fidelity National Information Services, Inc. (FIS). Over 10 years, the gap is even starker: ACIW returned +131. 7% versus FIS's -13. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Fidelity National Information Services, Inc.

(FIS) is the lower-risk stock at 0. 76β versus ACI Worldwide, Inc. 's 1. 03β — meaning ACIW is approximately 36% more volatile than FIS relative to the S&P 500. On balance sheet safety, Fidelity National Information Services, Inc. (FIS) carries a lower debt/equity ratio of 29% versus 57% for ACI Worldwide, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), ACI Worldwide, Inc.

(ACIW) is pulling ahead at 10. 4% versus 5. 4% for Fidelity National Information Services, Inc. (FIS). On earnings-per-share growth, the picture is similar: ACI Worldwide, Inc. grew EPS 13. 1% year-over-year, compared to -47. 2% for Fidelity National Information Services, Inc.. Over a 3-year CAGR, ACIW leads at 7. 4% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

ACI Worldwide, Inc.

(ACIW) is the more profitable company, earning 12. 9% net margin versus 3. 6% for Fidelity National Information Services, Inc. — meaning it keeps 12. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ACIW leads at 18. 7% versus 16. 5% for FIS. At the gross margin level — before operating expenses — ACIW leads at 49. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Fidelity National Information Services, Inc. (FIS) is the more undervalued stock at a PEG of 0. 31x versus ACI Worldwide, Inc. 's 0. 67x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Fidelity National Information Services, Inc. (FIS) trades at 7. 5x forward P/E versus 19. 0x for ACI Worldwide, Inc. — 11. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ACIW: 50. 1% to $70. 00.

In this comparison, FIS (3.

5% yield) pays a dividend. ACIW does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Fidelity National Information Services, Inc.

(FIS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 76), 3. 5% yield). Both have compounded well over 10 years (FIS: -13. 2%, ACIW: +131. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: ACIW is a small-cap quality compounder stock; FIS is a mid-cap income-oriented stock. FIS pays a dividend while ACIW does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.