Global Payments (NYSE:GPN) Shares Gap Up - Time to Buy?

Key Points

• Global Payments shares gapped up before the open, opening at $80.90 after closing at $77.82, and were last trading around $79.06. The move came alongside moderate trading volume of 616,028 shares.
• Analyst sentiment remains cautious overall: the stock carries a consensus Hold rating with an average price target of $83.33. Recent target cuts came from Wells Fargo, BNP Paribas Exane, and Argus, though Susquehanna maintained a $111 target with a positive rating.
• In its latest earnings report, Global Payments beat expectations with $2.96 EPS versus $2.82 expected and revenue of $2.86 billion versus $2.81 billion expected. The company also pays a quarterly dividend of $0.25 per share, implying a 1.2% annual yield.

Global Payments Inc. (NYSE:GPN - Get Free Report) gapped up before the market opened on Monday . The stock had previously closed at $77.82, but opened at $80.90. Global Payments shares last traded at $79.0550, with a volume of 616,028 shares trading hands.

Analysts Set New Price Targets

GPN has been the subject of several research reports. Wells Fargo & Company decreased their price objective on shares of Global Payments from $105.00 to $95.00 and set an "overweight" rating for the company in a report on Thursday, July 9th. Weiss Ratings downgraded shares of Global Payments from a "hold (c-)" rating to a "sell (d)" rating in a research report on Monday, May 11th. BNP Paribas Exane decreased their target price on shares of Global Payments from $64.00 to $60.00 and set an "underperform" rating for the company in a research note on Friday, April 10th. Susquehanna set a $111.00 price target on Global Payments and gave the company a "positive" rating in a report on Wednesday, June 3rd. Finally, Argus cut their price objective on Global Payments from $100.00 to $95.00 in a report on Friday, May 8th. Four investment analysts have rated the stock with a Buy rating, nineteen have given a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $83.33.

Global Payments Stock Performance

The business's fifty day moving average is $71.06 and its 200-day moving average is $71.87. The company has a quick ratio of 0.79, a current ratio of 0.79 and a debt-to-equity ratio of 0.86. The company has a market cap of $22.58 billion, a PE ratio of -40.46, a P/E/G ratio of 0.44 and a beta of 0.76.

Global Payments (NYSE:GPN - Get Free Report) last announced its earnings results on Wednesday, May 6th. The business services provider reported $2.96 EPS for the quarter, beating analysts' consensus estimates of $2.82 by $0.14. The business had revenue of $2.86 billion during the quarter, compared to analysts' expectations of $2.81 billion. Global Payments had a negative net margin of 7.99% and a positive return on equity of 13.11%. The firm's revenue was up 63.1% on a year-over-year basis. During the same period in the prior year, the company earned $2.82 earnings per share. Global Payments has set its FY 2026 guidance at 13.800-14.000 EPS. As a group, research analysts predict that Global Payments Inc. will post 13.84 EPS for the current fiscal year.

Global Payments Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Friday, June 12th were given a dividend of $0.25 per share. The ex-dividend date was Friday, June 12th. This represents a $1.00 annualized dividend and a yield of 1.2%. Global Payments's payout ratio is -49.02%.

Institutional Trading of Global Payments

A number of hedge funds and other institutional investors have recently bought and sold shares of GPN. Traynor Capital Management Inc. boosted its position in Global Payments by 3.5% in the fourth quarter. Traynor Capital Management Inc. now owns 4,221 shares of the business services provider's stock valued at $327,000 after buying an additional 141 shares in the last quarter. BI Asset Management Fondsmaeglerselskab A S increased its holdings in shares of Global Payments by 1.6% during the fourth quarter. BI Asset Management Fondsmaeglerselskab A S now owns 10,260 shares of the business services provider's stock worth $794,000 after buying an additional 163 shares in the last quarter. Southern Financial Group LLC lifted its stake in shares of Global Payments by 5.1% in the 1st quarter. Southern Financial Group LLC now owns 3,651 shares of the business services provider's stock valued at $246,000 after acquiring an additional 178 shares during the last quarter. Allworth Financial LP lifted its stake in shares of Global Payments by 43.2% in the 3rd quarter. Allworth Financial LP now owns 610 shares of the business services provider's stock valued at $51,000 after acquiring an additional 184 shares during the last quarter. Finally, Van ECK Associates Corp boosted its holdings in shares of Global Payments by 0.6% during the 3rd quarter. Van ECK Associates Corp now owns 30,262 shares of the business services provider's stock valued at $2,514,000 after acquiring an additional 187 shares in the last quarter. Hedge funds and other institutional investors own 89.76% of the company's stock.

Global Payments Company Profile

Global Payments Inc NYSE: GPN is a worldwide provider of payment technology and software solutions that enables commerce for merchants, issuers and enterprises. The company develops and operates payment processing networks, point-of-sale systems and cloud-based software that facilitate electronic transactions across in-store, online and mobile channels. Its services span merchant acquiring, payment gateway services, omnichannel commerce platforms, and solutions for recurring and subscription billing.

Global Payments offers a range of products and services including integrated payment terminals and point-of-sale software, e-commerce and gateway technologies, fraud prevention and tokenization tools, and business analytics and reporting.

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