#United States #New York #investors #Faruqi & Faruqi #Fiserv

Factual Overview of the Investigation

Faruqi & Faruqi, LLP, a prestigious securities law firm with a long-standing reputation for championing investors' rights, has recently announced its investigation into Fiserv, Inc. This inquiry comes in light of allegations that the company and its executives may have breached federal securities laws. Investors who acquired Fiserv securities between July 24, 2024, and July 22, 2025, are encouraged to come forward and discuss their legal rights relating to the potential claims.

Why This Investigation Matters

The investigation centers on various claims suggesting that Fiserv misled its investors by failing to disclose critical information regarding its payment processing solutions, particularly the older Payeezy platform. Investors learned that due to the issues with Payeezy, Fiserv reportedly coerced merchants to transition to its Clover platform. This migration was allegedly marketed as a growth strategy. However, this decision concealed several underlying issues, including a decrease in Clover's revenue growth and customer retention.

Allegations of Misleading Information

According to the complaint, it is asserted that Fiserv and its senior executives made numerous false statements regarding the performance of the Clover platform. The allegations indicate that:

• - Due to cost complications and other challenges with the Payeezy platform, merchants were essentially forced to migrate to Clover.
• - The revenue growth attributed to Clover was artificially inflated due to the mandatory conversions, masking a decline in new merchant acquisitions.
• - Soon after switching platforms, many former Payeezy merchants began to seek competitive solutions owing to Clover's high costs and operational inefficiencies.
• - As a result, the growth in Gross Payment Volume (GPV) for Clover significantly declined after the forced merchant conversions, contradicting earlier assertions made by Fiserv.
• - Consequently, the optimistic statements shared by the company regarding Clover's market position and growth potential were ultimately misleading to investors.

Impact on Investors

The ramifications from Fiserv's reported shortcomings surfaced on April 24, 2025, when the company revealed that Clover's GPV growth plummeted to only 8% compared to much higher growth rates in 2024. This news led to an immediate market reaction, with Fiserv's stock price falling dramatically by 18.5%. Continuing negative reports about GPV growth on subsequent dates further impacted investor confidence, showcasing the pattern of declining performance.

Entering the Legal Arena

For shareholders wanting to unite against what they perceive as market manipulation, Faruqi & Faruqi highlights the September 22, 2025 deadline to seek the role of lead plaintiff in a federal securities class action against Fiserv. This role is crucial as it allows a representative to oversee the litigation process on behalf of the affected investors. Those interested in taking action must consider their options diligently. Additionally, anyone with pertinent information about Fiserv's practices, including whistleblowers and former employees, may reach out to the firm for possible collaboration in the investigation.

Moving Forward

The legal ramifications surrounding Fiserv and its executives mark a significant moment in the sector, emphasizing the need for transparency and accountability within the financial services landscape. As Faruqi & Faruqi continues its investigation, investors are urged not only to stay informed about their rights but also to engage with the legal resources available to them. For further information, Fiserv investors can reach out directly to the firm to find out more about the ongoing claims and how to potentially participate in the actions against the company.

Conclusion

With its extensive experience in securities litigation, Faruqi & Faruqi, LLP stands ready to assist investors seeking justice in this complicated landscape. The firm encourages potential plaintiffs and anyone with additional insights into the matter to take action before the deadline passes. The unfolding developments surrounding Fiserv represent a critical juncture for investors seeking to protect their interests and ensure compliance within the financial markets.