Shares of Total System Services Inc. fell Thursday after an analyst lowered his earnings estimate, for the second time in two weeks.
Sanjay Sakhrani of KBW Inc.'s Keefe, Bruyette & Woods Inc. wrote in a research note published Thursday that the poor economy and consolidation among TSYS' customers could drive down its earnings.
He lowered his 2008 earnings forecast to $1.28 a share. Last week he had lowered it to $1.31. He lowered his 2009 forecast to $1.31 on Thursday, from $1.42.
TSYS processes transactions for Washington Mutual Inc., whose banking operations were sold to JPMorgan Chase & Co. last month, and for Wachovia Corp., which is selling itself to Wells Fargo & Co.; it said last week that those contracts generate about 4.5% of its revenue.
The processor's shares were trading at $12.64 midday Thursday, down 2.92% from Wednesday's closing price.
