Why Should You Put Global Payments Inc. (NYSE: GPN) On Your Portfolio?


    T. Rowe Price Associates, Inc. (I. recently announced the acquisition of new stake in Global Payments Inc. (NYSE:GPN). The institutional investor has increased its shareholding in the Industrials company by 13.99% to 43.26 million shares with purchase of 5.31 million shares. This fresh investment now brings its stake to 14.46% valued currently at $7.34 billion. In addition, Wellington Management Co. LLP raised its holdings by 4.69 million to 14.22 million shares. And Massachusetts Financial Services. has lifted its position by 0.55% or 48226.0 shares – to 8.81 million shares.

    With over 1.19 million Global Payments Inc. (GPN) shares trading Wednesday and a closing price of $177.07 on the day, the dollar volume was approximately $211.02 million. The shares have shown a negative weekly performance of -1.25% and its price on 07/28/20 gained nearly 3.02%. Currently, there are 299.39M common shares owned by the public and among those 297.00M shares have been available to trade.

    Incidentally, analysts’ outlook for the Global Payments Inc. stock is 1.80 for the next 12 months.

    Insiders at the company have transacted a total of 138 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 70 of these insider trades were purchases, accounting for 1,764,700 shares. Insider sales of the common stock occurred on 68 occasions, with total insider shares sold totaling 464,404 shares.

    The top 3 mutual fund holders in Global Payments Inc. are Vanguard Total Stock Market Index, T Rowe Price Blue Chip Growth Fun, and Vanguard 500 Index Fund. Vanguard Total Stock Market Index owns 8.52 million shares of the company’s stock, all valued at over $1.45 billion. The company sold -0.15 million shares recently to bring their total holdings to about 2.85% of the shares outstanding. T Rowe Price Blue Chip Growth Fun bought 0.55 million shares to see its total holdings expand to 8.12 million shares valued at over $1.38 billion and representing 2.72% of the shares outstanding. Vanguard 500 Index Fund bought 67008.0 shares to bring its total holdings to over 6.2 million shares at a value of $1.05 billion. Vanguard 500 Index Fund now owns shares totaling to 2.07% of the shares outstanding.

    Shares of Global Payments Inc. (NYSE: GPN) opened at $173.43, up $1.56 from a prior closing price of $171.87. However, the script later closed the day at $177.07, up 3.02%. The company’s stock has a 5-day price change of -1.25% and 5.53% over the past three months. GPN shares are trading -5.86% year to date (YTD), with the 12-month market performance up to 0.24% higher. It has a 12-month low price of $105.54 and touched a high of $209.62 over the same period. Currently, 1.19 million shares have been traded, compared to an average intraday trading volume of 1.91 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 4.17%, 0.94%, and 1.88% respectively.

    Institutional ownership of Global Payments Inc. (NYSE: GPN) shares accounts for 91.70% of the company’s 299.39M shares outstanding. Mutual fund holders own 5.71%, while other institutional holders and individual stakeholders account for 50.64% and 39.30% respectively.

    It has a market capitalization of $52.11B and a beta (3y monthly) value of 1.12. The stock’s trailing 12-month PE ratio is 81.19, while the earnings-per-share (ttm) stands at $2.12. The company has a PEG of 5.77 and a Quick Ratio of 1.30 with the debt-to-equity ratio at 0.37. Price movements for the stock have been influenced by the stock’s volatility, which stands at 2.34% over the week and 2.82% over the month.

    Analysts forecast that Global Payments Inc. (GPN) will achieve an EPS of $1.2 for the current quarter, $1.6 for the next quarter and $7.86 for 2021. The lowest estimate earnings-per-share for the quarter is $0.71 while analysts give the company a high EPS estimate of $1.44. Comparatively, EPS for the current quarter was $1.51 a year ago. Earnings per share for the fiscal year are expected to decrease by -19.70%, and 26.41% over the next financial year. EPS should grow at an annualized rate of 14.07% over the next five years, compared to 1.00% over the past 5-year period.

    Looking at the support for the GPN, a number of firms have released research notes about the stock. Goldman stated their Buy rating for the stock in a research note on July 14, 2020, with the firm’s price target at $197. Argus coverage for the Global Payments Inc. (GPN) stock in a research note released on June 15, 2020 offered a Buy rating with a price target of $220. Oppenheimer was of a view on June 01, 2020 that the stock is Outperform, while Rosenblatt gave the stock Buy rating on March 27, 2020, issuing a price target of $179. Credit Suisse on their part issued Outperform rating on January 24, 2020.


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