Skip to Content

Global Payments Inc GPN

Morningstar Rating
$109.06 −13.71 (11.17%)
View Full Chart
Unlock our analysis with Morningstar Investor

Company Report

Global Payments Earnings: Growth Holds Steady

Narrow-moat Global Payments largely maintained its recent path in the first quarter. In the quarter, overall adjusted revenue increased 7% year over year. We think the company's ability to continue to generate solid top-line growth and some margin expansion supports our view that it can retain its long-term competitive position within the evolving payments space. We will maintain our $179 fair value estimate, and we see shares as undervalued at the moment.

Price vs Fair Value

GPN is trading at a 39% discount.
Price
$109.06
Fair Value
$817.00
Uncertainty
Medium
1-Star Price
$961.78
5-Star Price
$159.60
Economic Moat
Zbtzpf
Capital Allocation
Wlfcnxdv

Bulls Say, Bears Say

Bulls

The merger with Total System Services bulked up Global Payments' acquiring business and strengthened its moat, given the importance of scale in the business.

Bears

The focus on small merchants increases Global Payments' macro sensitivity.

Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if GPN is a good fit for your portfolio.

News

Trading Information

Previous Close Price
$122.77
Day Range
$108.52122.12
52-Week Range
$95.12141.78
Bid/Ask
$106.00 / $110.80
Market Cap
$27.82 Bil
Volume/Avg
9.1 Mil / 2.3 Mil

Key Statistics

Price/Earnings (Normalized)
10.47
Price/Sales
2.90
Dividend Yield (Trailing)
0.92%
Dividend Yield (Forward)
0.92%
Total Yield
4.71%

Company Profile

Global Payments is a leading provider of payment processing and software solutions and focuses on serving small and midsize merchants. The company operates in 30 countries and generates about one fourth of its revenue from outside North America, primarily in Europe and Asia. In 2019, Global Payments merged with Total System Services in an all-stock deal that gave Total System Services shareholders 48% of the combined company’s shares. The merger added issuer processing operations.
Sector
Industrials
Industry
Specialty Business Services
Stock Style Box
Mid Core
Total Number of Employees
27,000

Competitors

Valuation

Metric
GPN
FIS
FI
Price/Earnings (Normalized)
10.4714.2418.99
Price/Book Value
1.252.053.03
Price/Sales
2.904.044.65
Price/Cash Flow
9.408.8914.31
Price/Earnings
GPN
FIS
FI

Financial Strength

Metric
GPN
FIS
FI
Quick Ratio
0.310.140.14
Current Ratio
0.920.751.04
Interest Coverage
3.021.804.85
Quick Ratio
GPN
FIS
FI

Profitability

Metric
GPN
FIS
FI
Return on Assets (Normalized)
2.82%13.19%5.63%
Return on Equity (Normalized)
6.25%33.35%16.02%
Return on Invested Capital (Normalized)
4.56%18.98%10.37%
Return on Assets
GPN
FIS
FI
See how this stock stacks up to its competitors with Morningstar Investor

Specialty Business Services Industry Comparables

Ticker
Name
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
RLXXF
RELX PLCDwhjb$77.6 Bil
RELX
RELX PLC ADRWtqjsvhqdTmkwd$77.6 Bil
TRI
Thomson Reuters CorpWcvthrqdKjbcxpp$68.2 Bil
CTAS
Cintas CorpKrstsnnnDdfq$67.3 Bil
CPRT
Copart IncTmlnzbtFfvf$52.3 Bil
WTKWY
Wolters Kluwer NV ADRKfbqgycljDvkps$35.7 Bil
WOLTF
Wolters Kluwer NVQbw$35.7 Bil
RBA
RB Global IncWnmjkfffCfqlll$13.1 Bil
RTO
Rentokil Initial PLC ADRFpfjnrzzxDgbvv$12.8 Bil

Sponsor Center