Fiserv, Inc. (FI) stock has dropped over 13% since its Q2 earnings release, but it generated strong earnings and free cash flow, making it look undervalued. With a historical average suggesting a potential 28% increase to $182 per share, FI’s future free cash flow (FCF) could range between $5.2 and $5.6 billion, with a potential dividend yield of 6.6%. Analysts project a price target of $187.00, while potential upside from various methods indicates the stock is deeply undervalued. To capitalize on this, investors can sell short out-of-the-money put options for a lower buy-in and potential upside, providing good downside protection and an expected return of 3.50%.

Read more at Yahoo Finance: Fiserv Stock Gets Pummeled After Earnings