Global Payments (NYSE:GPN) Reaches New 1-Year Low – Here’s Why

Global Payments Inc. (NYSE:GPN)’s share price reached a new 52-week low on Wednesday . The company traded as low as $90.99 and last traded at $91.43, with a volume of 389177 shares. The stock had previously closed at $93.25.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on GPN shares. Keefe, Bruyette & Woods upped their price target on Global Payments from $130.00 to $140.00 and gave the stock an “outperform” rating in a research note on Monday, December 9th. The Goldman Sachs Group restated a “neutral” rating and issued a $122.00 price objective (down from $155.00) on shares of Global Payments in a research report on Thursday, January 9th. Citigroup lowered their price objective on shares of Global Payments from $138.00 to $135.00 and set a “buy” rating for the company in a research report on Tuesday, February 18th. StockNews.com upgraded Global Payments from a “hold” rating to a “buy” rating in a research report on Thursday, January 23rd. Finally, Stephens downgraded Global Payments from an “overweight” rating to an “equal weight” rating and cut their price target for the company from $125.00 to $120.00 in a report on Friday, January 10th. One investment analyst has rated the stock with a sell rating, eleven have given a hold rating and fifteen have assigned a buy rating to the stock. According to data from MarketBeat, Global Payments has an average rating of “Moderate Buy” and a consensus price target of $134.33.

Global Payments Price Performance

The company has a market cap of $23.08 billion, a P/E ratio of 15.08, a PEG ratio of 0.86 and a beta of 1.04. The company has a debt-to-equity ratio of 0.66, a quick ratio of 0.93 and a current ratio of 0.97. The company has a fifty day moving average price of $107.19 and a two-hundred day moving average price of $108.51.

Global Payments (NYSE:GPN) last released its quarterly earnings results on Thursday, February 13th. The business services provider reported $2.84 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.98 by ($0.14). The business had revenue of $2.29 billion for the quarter, compared to the consensus estimate of $2.31 billion. Global Payments had a net margin of 15.54% and a return on equity of 12.21%. On average, sell-side analysts anticipate that Global Payments Inc. will post 11.89 earnings per share for the current fiscal year.

Global Payments Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, March 28th. Investors of record on Friday, March 14th will be issued a dividend of $0.25 per share. The ex-dividend date is Friday, March 14th. This represents a $1.00 dividend on an annualized basis and a yield of 1.07%. Global Payments’s dividend payout ratio is currently 16.18%.

Insiders Place Their Bets

In other news, Director Robert H. B. Baldwin, Jr. acquired 5,800 shares of Global Payments stock in a transaction dated Friday, December 13th. The stock was purchased at an average cost of $116.00 per share, with a total value of $672,800.00. Following the completion of the purchase, the director now directly owns 42,738 shares in the company, valued at approximately $4,957,608. This trade represents a 15.70 % increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 0.98% of the company’s stock.

Hedge Funds Weigh In On Global Payments

Several large investors have recently modified their holdings of GPN. Beaird Harris Wealth Management LLC bought a new position in Global Payments in the third quarter worth approximately $25,000. Optiver Holding B.V. acquired a new stake in shares of Global Payments in the fourth quarter worth $28,000. Capital Performance Advisors LLP acquired a new position in Global Payments in the third quarter valued at approximately $33,000. Whipplewood Advisors LLC purchased a new position in shares of Global Payments in the 4th quarter valued at about $37,000. Finally, Quintet Private Bank Europe S.A. acquired a new stake in Global Payments in the 4th quarter valued at $38,000. Institutional investors own 89.76% of the company’s stock.

Global Payments Company Profile

Global Payments Inc provides payment technology and software solutions for card, check, and digital-based payments in the Americas, Europe, and the Asia-Pacific. It operates through two segments, Merchant Solutions and Issuer Solutions. The Merchant Solutions segment offers authorization, settlement and funding, customer support, chargeback resolution, terminal rental, sales and deployment, payment security, and consolidated billing and reporting services.