Global Payments Earnings: Solid Growth and Margin Expansion

Overall, we think Global Payments' third-quarter results came in as expected and the narrow-moat company is maintaining its recent path. In our view, the ongoing ability to produce solid revenue growth and some margin expansion supports our opinion that Global Payments can maintain its competitive position. We maintain our $171 fair value estimate and see the shares as materially undervalued at the moment, as we believe that the market underrates the firm's long-term prospects.