
NYSE:GPN
This summary was created by AI, based on 2 opinions in the last 12 months.
Global Payments Inc. (GPN), a leading retail payment platform provider, has recently faced a challenging market environment, with shares down 13.7% since being identified as a top pick. Despite this downturn, the company reported earnings that met expectations, and management is optimistic with a projected 13-15% increase in earnings per share (EPS) for 2026. The stock is currently trading under book value and at an attractive price-to-earnings ratio of 13, while maintaining steady operating cash reserves and actively buying back shares. Experts recommend setting a stop-loss at $67 to manage risks effectively, with an upside target of $101, indicating a potential gain of 29%. Additionally, the stock offers a yield of 1.3%, positioning it as a reasonable investment opportunity based on future growth potential.
The sell-off in the share price recently is due to a few reasons:
In 2022, the company did record an impairment of goodwill of their previous acquisition, which the market perceives as an overpayment for their previous acquisition, leading to questionable capital allocation skills of management. Debt also increased with acquisitions, and is now about 5X cash flow, fairly high for the current environment.
Recessions could affect consumers’ purchases, which affects GPN’s business. Also, amid the banking crisis recently, companies related to the Financial sector are under pressure.
The good news is that there is some insider purchases at these prices in the last few months, and the company also repurchased shares quite significantly in 2022, indicating management believes shares are quite undervalued. Payments and card processing is a high-quality business with high ROEs and predictable growth. We think GPN will do OK going forward, although investors also need to be mindful of their acquisitions strategies. Its decline is not really out of line vs other companies over the past year, and it is well priced at 9.6X earnings.
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Global Payments Inc. is a American stock, trading under the symbol GPN (previously GPN-N on Stockchase) on the New York Stock Exchange (GPN). It is usually referred to as NYSE:GPN or GPN
In the last year, 2 stock analysts issued a Buy, Sell, or Hold rating on GPN (previously GPN-N on Stockchase). 2 analysts recommended to BUY and 0 analysts recommended to SELL the stock. The latest stock analyst rating is PAST TOP PICK. Read the latest stock experts' ratings for Global Payments Inc. .
Global Payments Inc. was recommended as a Top Pick by The Panic-Proof Portfolio (Stockchase Research) on 2026-04-02. Read the latest stock experts ratings for Global Payments Inc. .
Earnings reports or recent company news can cause the stock price to drop. Read stock experts' recommendations for Global Payments Inc. .
Global Payments Inc. is followed by 19 investors on Stockchase and is a trending stock that is worth watching.
On 2026-08-13, Global Payments Inc. (GPN) stock closed at a price of $94.11.
Our PAST TOP PICK with GPN has triggered its stop at $67. To remain disciplined, we recommend covering the position at this time.