US37940X1028 - Common Stock

**GPN** gets a fundamental rating of **5** out of 10. The analysis compared the fundamentals against 101 industry peers in the **Financial Services** industry. While **GPN** has a great profitability rating, there are quite some concerns on its financial health. **GPN** may be a bit undervalued, certainly considering the very reasonable score on growth

In the past year **GPN** was profitable.

Looking at the **Return On Invested Capital**, with a value of **3.78%**, **GPN** is in the better half of the industry, outperforming **71.29%** of the companies in the same industry.

Measured over the past 3 years, the **Average Return On Invested Capital** for **GPN** is below the industry average of **7.13%**.

The 3 year average ROIC (**3.20%**) for **GPN** is below the current ROIC(**3.78%**), indicating increased profibility in the last year.

Industry Rank | Sector Rank | ||
---|---|---|---|

ROA | 1.79% | ||

ROE | 3.9% | ||

ROIC | 3.78% |

ROA(3y)1.23%

ROA(5y)1.62%

ROE(3y)2.14%

ROE(5y)3.86%

ROIC(3y)3.2%

ROIC(5y)3.49%

Looking at the **Profit Margin**, with a value of **9.23%**, **GPN** is in line with its industry, outperforming **53.47%** of the companies in the same industry.

In the last couple of years the **Operating Margin** of **GPN** has grown nicely.

Industry Rank | Sector Rank | ||
---|---|---|---|

OM | 21.94% | ||

PM (TTM) | 9.23% | ||

GM | 60.59% |

OM growth 3Y0.3%

OM growth 5Y8.87%

PM growth 3Y-47.86%

PM growth 5Y-36.23%

GM growth 3Y-0.38%

GM growth 5Y2.5%

The number of shares outstanding for **GPN** has been increased compared to 5 years ago.

Compared to 1 year ago, **GPN** has a worse debt to assets ratio.

A Debt/Equity ratio of **0.77** indicates that **GPN** is somewhat dependend on debt financing.

The **Debt to Equity ratio** of **GPN** (**0.77**) is comparable to the rest of the industry.

Industry Rank | Sector Rank | ||
---|---|---|---|

Debt/Equity | 0.77 | ||

Debt/FCF | 10.54 | ||

Altman-Z | 1.15 |

ROIC/WACC0.51

WACC7.36%

Looking at the **Current ratio**, with a value of **1.09**, **GPN** is in line with its industry, outperforming **46.53%** of the companies in the same industry.

A Quick Ratio of **1.09** indicates that **GPN** should not have too much problems paying its short term obligations.

Looking at the **Quick ratio**, with a value of **1.09**, **GPN** is in line with its industry, outperforming **49.51%** of the companies in the same industry.

Industry Rank | Sector Rank | ||
---|---|---|---|

Current Ratio | 1.09 | ||

Quick Ratio | 1.09 |

The **Earnings Per Share** has grown by an nice **12.72%** over the past year.

Looking at the last year, **GPN** shows a small growth in **Revenue**. The Revenue has grown by **6.25%** in the last year.

Measured over the past years, **GPN** shows a quite strong growth in **Revenue**. The Revenue has been growing by **17.69%** on average per year.

EPS 1Y (TTM)12.72%

EPS 3Y14.78%

EPS 5Y18.4%

EPS growth Q2Q10.89%

Revenue 1Y (TTM)6.25%

Revenue growth 3Y22.26%

Revenue growth 5Y17.69%

Revenue growth Q2Q8.33%

Based on estimates for the next years, **GPN** will show a small growth in **Revenue**. The Revenue will grow by **6.18%** on average per year.

EPS Next Y12.63%

EPS Next 2Y12.96%

EPS Next 3Y13.24%

EPS Next 5Y14.66%

Revenue Next Year7.38%

Revenue Next 2Y7.26%

Revenue Next 3Y7.23%

Revenue Next 5Y6.18%

The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.

When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.

A **Price/Earnings** ratio of **11.79** indicates a reasonable valuation of **GPN**.

Based on the **Price/Earnings** ratio, **GPN** is valued a bit cheaper than the industry average as 65.35% of the companies are valued more expensively.

The **Price/Forward Earnings** ratio is **10.09**, which indicates a very decent valuation of **GPN**.

When comparing the **Price/Forward Earnings** ratio of **GPN** to the average of the S&P500 Index (**20.22**), we can say **GPN** is valued rather cheaply.

Industry Rank | Sector Rank | ||
---|---|---|---|

PE | 11.79 | ||

Fwd PE | 10.09 |

Based on the **Enterprise Value to EBITDA** ratio, **GPN** is valued a bit cheaper than 72.28% of the companies in the same industry.

Compared to the rest of the industry, the **Price/Free Cash Flow** ratio of **GPN** indicates a somewhat cheap valuation: **GPN** is cheaper than 62.38% of the companies listed in the same industry.

Industry Rank | Sector Rank | ||
---|---|---|---|

P/FCF | 18.99 | ||

EV/EBITDA | 12.08 |

The decent profitability rating of **GPN** may justify a higher PE ratio.

A more expensive valuation may be justified as **GPN**'s earnings are expected to grow with **13.24%** in the coming years.

PEG (NY)0.93

PEG (5Y)0.64

EPS Next 2Y12.96%

EPS Next 3Y13.24%

With a yearly dividend of 0.83%, **GPN** is not a good candidate for dividend investing.

Compared to an average industry **Dividend Yield** of **3.79**, **GPN** pays a bit more dividend than its industry peers.

Compared to an average S&P500 **Dividend Yield** of **2.55**, **GPN**'s dividend is way lower than the S&P500 average.

Industry Rank | Sector Rank | ||
---|---|---|---|

Dividend Yield | 0.83% |

The dividend of **GPN** is nicely growing with an annual growth rate of **87.54%**!

Dividend Growth(5Y)87.54%

Div Incr Years4

Div Non Decr Years5

DP29.91%

EPS Next 2Y12.96%

EPS Next 3Y13.24%

**GLOBAL PAYMENTS INC**

NYSE:GPN (12/8/2023, 7:04:00 PM)

After market: 120.78 +0.62 (+0.52%)**120.16**

**+0.29 (+0.24%) **

Chartmill FA Rating

GICS SectorFinancials

GICS IndustryGroupFinancial Services

GICS IndustryFinancial Services

Earnings (Last)

Earnings (Next)

Inst Owners

Inst Owner Change

Ins Owners

Ins Owner Change

Market Cap31.29B

Analysts

Price Target

Dividend

Industry Rank | Sector Rank | ||
---|---|---|---|

Dividend Yield | 0.83% |

Dividend Growth(5Y)

DP

Div Incr Years

Div Non Decr Years

Ex-Date

Surprises & Revisions

EPS beat(2)

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Revenue beat(2)

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Revenue beat(8)

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Revenue beat(16)

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PT rev (1m)

PT rev (3m)

EPS NQ rev (1m)

EPS NQ rev (3m)

EPS NY rev (1m)

EPS NY rev (3m)

Revenue NQ rev (1m)

Revenue NQ rev (3m)

Revenue NY rev (1m)

Revenue NY rev (3m)

Valuation

Industry Rank | Sector Rank | ||
---|---|---|---|

PE | 11.79 | ||

Fwd PE | 10.09 | ||

P/S | |||

P/FCF | |||

P/OCF | |||

P/B | |||

P/tB | |||

EV/EBITDA |

EPS(TTM)

EY

EPS(NY)

Fwd EY

FCF(TTM)

FCFY

OCF(TTM)

OCFY

SpS

BVpS

TBVpS

PEG (NY)0.93

PEG (5Y)0.64

Profitability

Industry Rank | Sector Rank | ||
---|---|---|---|

ROA | 1.79% | ||

ROE | 3.9% | ||

ROCE | |||

ROIC | |||

ROICexc | |||

ROICexgc | |||

OM | 21.94% | ||

PM (TTM) | 9.23% | ||

GM | 60.59% | ||

FCFM |

ROA(3y)

ROA(5y)

ROE(3y)

ROE(5y)

ROIC(3y)

ROIC(5y)

ROICexc(3y)

ROICexc(5y)

ROICexgc(3y)

ROICexgc(5y)

ROCE(3y)

ROCE(5y)

ROICexcg growth 3Y

ROICexcg growth 5Y

ROICexc growth 3Y

ROICexc growth 5Y

OM growth 3Y

OM growth 5Y

PM growth 3Y

PM growth 5Y

GM growth 3Y

GM growth 5Y

F-Score

Asset Turnover0.19

Health

Industry Rank | Sector Rank | ||
---|---|---|---|

Debt/Equity | 0.77 | ||

Debt/FCF | |||

Debt/EBITDA | |||

Cap/Depr | |||

Cap/Sales | |||

Interest Coverage | |||

Cash Conversion | |||

Profit Quality | |||

Current Ratio | 1.09 | ||

Quick Ratio | 1.09 | ||

Altman-Z |

F-Score

WACC

ROIC/WACC

Cap/Depr(3y)

Cap/Depr(5y)

Cap/Sales(3y)

Cap/Sales(5y)

Profit Quality(3y)

Profit Quality(5y)

Growth

EPS 1Y (TTM)12.72%

EPS 3Y14.78%

EPS 5Y

EPS growth Q2Q

EPS Next Y12.63%

EPS Next 2Y

EPS Next 3Y

EPS Next 5Y

Revenue 1Y (TTM)6.25%

Revenue growth 3Y22.26%

Revenue growth 5Y

Revenue growth Q2Q

Revenue Next Year

Revenue Next 2Y

Revenue Next 3Y

Revenue Next 5Y

EBIT growth 1Y

EBIT growth 3Y

EBIT growth 5Y

EBIT Next Year

EBIT Next 3Y

EBIT Next 5Y

FCF growth 1Y

FCF growth 3Y

FCF growth 5Y

OCF growth 1Y

OCF growth 3Y

OCF growth 5Y