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Fiserv (FISV) to Benefit From BentoBox Buyout: Here's How

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Fiserv, Inc. FISV announced that it has inked a deal to acquire BentoBox, a digital marketing and commerce platform provider that helps restaurants offer hassle-free dining experience to their customers. Subject to customary approvals and closing conditions, the deal is anticipated to complete during fourth-quarter 2021. Financial terms of the deal have been kept under wraps.

Founded in 2013, BentoBox offers an integrated online platform (which includes website design, online ordering and marketing tools) for smooth operations of restaurant businesses. Serving as the digital front door for restaurants, BentoBox enables more than 7,500 restaurant concepts across 14,000 locations.

Over the past year, shares of Fiserv have gained 12% against 4.9% decline of the industry it belongs to.

Zacks Investment Research
Zacks Investment Research

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How Will Fiserv Benefit?

The deal is expected to strengthen Fiserv’s Clover dining solutions, and commerce and business management capabilities, which help almost 200,000 restaurants of all sizes operate seamlessly. BentoBox is specialized in aiding restaurants by creating new revenue streams, converting visitors into loyal customers and generating differentiated customer experiences.

The combination of BentoBox solution with the end-to-end management platform and omnicommerce capabilities of Clover should create increased operational efficiencies for restaurants and enable operators to offer smooth hospitality experiences across physical and digital dining.

Considering the COVID-19-induced indoor activities and the growing consumer demand for hassle-free dining experience with restaurants both online and offline, the latest deal seems to be a strategic move on Fiserv’s part to strengthen its competitive position in the market.

Notably, Frank Bisignano, president and chief executive officer at Fiserv, stated, "The addition of BentoBox’s premier website capabilities to the business management solutions of Fiserv will strengthen our omnichannel platform, providing restaurants of all sizes and types with an integrated offering that delivers a customizable consumer experience. We look forward to welcoming the BentoBox team to Fiserv, as we build on our strategy to deliver blended digital and in-person customer experiences across channels that drive deeper engagement and increased loyalty for our clients."

Zacks Rank and Other Stocks to Consider

Fiserv currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

Some other similar-ranked stocks in the broader Zacks Business Services sector are Accenture ACN, IQVIA Holdings IQV and Avis Budget CAR, each carrying a Zacks Rank #2 as well.

The long-term expected EPS (three to five years) growth rate for Accenture, IQVIA Holdings and Avis Budget is pegged at 10%, 15.7% and 27.5%, respectively.

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Accenture PLC (ACN) : Free Stock Analysis Report

Avis Budget Group, Inc. (CAR) : Free Stock Analysis Report

Fiserv, Inc. (FISV) : Free Stock Analysis Report

IQVIA Holdings Inc. (IQV) : Free Stock Analysis Report

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