Global Payments (NYSE:GPN) Trading Down 7.5% – Here’s Why

Global Payments Inc. (NYSE:GPN)’s share price fell 7.5% on Wednesday . The company traded as low as $68.50 and last traded at $68.50. 647,695 shares were traded during trading, a decline of 82% from the average session volume of 3,548,334 shares. The stock had previously closed at $74.03.

Analyst Ratings Changes

Several research analysts have recently commented on the company. Mizuho reduced their price target on Global Payments from $125.00 to $110.00 and set an “outperform” rating for the company in a research report on Thursday, March 26th. The Goldman Sachs Group initiated coverage on Global Payments in a research note on Monday, March 9th. They issued a “hold” rating and a $88.00 target price on the stock. BMO Capital Markets assumed coverage on shares of Global Payments in a research report on Tuesday, April 21st. They set a “market perform” rating and a $76.00 price target for the company. TD Cowen cut their price objective on shares of Global Payments from $91.00 to $86.00 and set a “hold” rating on the stock in a research report on Tuesday, April 7th. Finally, Royal Bank Of Canada reduced their price objective on shares of Global Payments from $97.00 to $82.00 and set a “sector perform” rating for the company in a research note on Wednesday, April 8th. Four equities research analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $85.50.

Global Payments Stock Performance

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 capitalization of $17.71 billion, a PE ratio of -31.74, a PEG ratio of 0.42 and a beta of 0.76. The business has a 50 day simple moving average of $69.31 and a 200 day simple moving average of $73.51.

Global Payments (NYSE:GPN) last issued its quarterly earnings results on Wednesday, May 6th. The business services provider reported $2.96 earnings per share for the quarter, topping analysts’ consensus estimates of $2.82 by $0.14. The business had revenue of $2.86 billion for the quarter, compared to analyst estimates of $2.81 billion. Global Payments had a positive return on equity of 13.11% and a negative net margin of 7.99%.The company’s revenue was up 63.1% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.82 earnings per share. Global Payments has set its FY 2026 guidance at 13.800-14.000 EPS. Equities research analysts predict that Global Payments Inc. will post 13.89 EPS for the current fiscal year.

Global Payments Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, June 26th. Stockholders of record on Friday, June 12th will be paid a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 1.5%. The ex-dividend date is Friday, June 12th. Global Payments’s payout ratio is presently -49.02%.

Institutional Trading of Global Payments

A number of institutional investors and hedge funds have recently added to or reduced their stakes in GPN. Parallel Advisors LLC grew its stake in Global Payments by 30.4% during the 1st quarter. Parallel Advisors LLC now owns 3,018 shares of the business services provider’s stock valued at $203,000 after purchasing an additional 704 shares during the last quarter. Front Street Capital Management Inc. boosted its position in Global Payments by 2.0% in the first quarter. Front Street Capital Management Inc. now owns 62,913 shares of the business services provider’s stock valued at $4,234,000 after buying an additional 1,263 shares during the last quarter. Western Wealth Management LLC acquired a new position in Global Payments in the 1st quarter worth approximately $34,000. Edgestream Partners L.P. purchased a new position in Global Payments during the 1st quarter worth approximately $895,000. Finally, Arkadios Wealth Advisors lifted its stake in Global Payments by 53.2% during the 1st quarter. Arkadios Wealth Advisors now owns 6,248 shares of the business services provider’s stock valued at $421,000 after acquiring an additional 2,171 shares during the period. Institutional investors and hedge funds own 89.76% of the company’s stock.

About Global Payments

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.