GLOBAL PAYMENTS INC (GPN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GPN - US37940X1028 - Common Stock
80.83 USD
+0.64 (+0.8%)
Taking everything into account, GPN scores 5 out of 10 in our fundamental rating. GPN was compared to 99 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
1. Profitability
1.1 Basic Checks
In the past year GPN was profitable.
In the past year GPN had a positive cash flow from operations.
GPN had positive earnings in each of the past 5 years.
Each year in the past 5 years GPN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GPN (3.65%) is better than 71.72% of its industry peers.
GPN has a Return On Equity (7.72%) which is comparable to the rest of the industry.
The Return On Invested Capital of GPN (4.90%) is better than 66.67% of its industry peers.
GPN had an Average Return On Invested Capital over the past 3 years of 4.36%. This is below the industry average of 8.44%.
The last Return On Invested Capital (4.90%) for GPN is above the 3 year average (4.36%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 7.72% | ||
| ROIC | 4.9% |
ROA(3y)1.85%
ROA(5y)1.8%
ROE(3y)3.95%
ROE(5y)3.55%
ROIC(3y)4.36%
ROIC(5y)3.81%
1.3 Margins
With a decent Profit Margin value of 19.68%, GPN is doing good in the industry, outperforming 78.79% of the companies in the same industry.
GPN's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 26.85%, GPN is doing good in the industry, outperforming 72.73% of the companies in the same industry.
GPN's Operating Margin has improved in the last couple of years.
GPN has a Gross Margin of 67.06%. This is in the better half of the industry: GPN outperforms 78.79% of its industry peers.
GPN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.85% | ||
| PM (TTM) | 19.68% | ||
| GM | 67.06% |
OM growth 3Y5.13%
OM growth 5Y1.68%
PM growth 3Y11.11%
PM growth 5Y12.13%
GM growth 3Y3.83%
GM growth 5Y1.31%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GPN is destroying value.
GPN has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, GPN has less shares outstanding
GPN has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.94, we must say that GPN is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.94, GPN is in line with its industry, outperforming 59.60% of the companies in the same industry.
GPN has a debt to FCF ratio of 7.50. This is a slightly negative value and a sign of low solvency as GPN would need 7.50 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.50, GPN is in line with its industry, outperforming 47.47% of the companies in the same industry.
A Debt/Equity ratio of 0.63 indicates that GPN is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.63, GPN is in line with its industry, outperforming 52.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 7.5 | ||
| Altman-Z | 0.94 |
ROIC/WACC0.81
WACC6.08%
2.3 Liquidity
GPN has a Current Ratio of 0.85. This is a bad value and indicates that GPN is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.85, GPN is in line with its industry, outperforming 45.45% of the companies in the same industry.
A Quick Ratio of 0.85 indicates that GPN may have some problems paying its short term obligations.
With a Quick ratio value of 0.85, GPN perfoms like the industry average, outperforming 47.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.67% over the past year.
The Earnings Per Share has been growing by 13.36% on average over the past years. This is quite good.
GPN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -11.30%.
GPN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.52% yearly.
EPS 1Y (TTM)6.67%
EPS 3Y12.23%
EPS 5Y13.36%
EPS Q2Q%5.84%
Revenue 1Y (TTM)-11.3%
Revenue growth 3Y5.84%
Revenue growth 5Y15.52%
Sales Q2Q%3.04%
3.2 Future
Based on estimates for the next years, GPN will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.55% on average per year.
GPN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.52% yearly.
EPS Next Y6.67%
EPS Next 2Y9.31%
EPS Next 3Y11.51%
EPS Next 5Y15.55%
Revenue Next Year1.39%
Revenue Next 2Y2.9%
Revenue Next 3Y3.52%
Revenue Next 5Y10.52%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.74 indicates a rather cheap valuation of GPN.
Compared to the rest of the industry, the Price/Earnings ratio of GPN indicates a rather cheap valuation: GPN is cheaper than 86.87% of the companies listed in the same industry.
GPN is valuated cheaply when we compare the Price/Earnings ratio to 26.50, which is the current average of the S&P500 Index.
GPN is valuated cheaply with a Price/Forward Earnings ratio of 5.86.
Based on the Price/Forward Earnings ratio, GPN is valued cheaply inside the industry as 84.85% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.93, GPN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.74 | ||
| Fwd PE | 5.86 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GPN is valued a bit cheaper than the industry average as 75.76% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, GPN is valued a bit cheaper than 79.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.85 | ||
| EV/EBITDA | 8.06 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
GPN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.01
PEG (5Y)0.5
EPS Next 2Y9.31%
EPS Next 3Y11.51%
5. Dividend
5.1 Amount
GPN has a Yearly Dividend Yield of 1.22%.
Compared to an average industry Dividend Yield of 2.43, GPN has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 1.87, GPN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
5.2 History
On average, the dividend of GPN grows each year by 21.27%, which is quite nice.
GPN has paid a dividend for at least 10 years, which is a reliable track record.
As GPN did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)21.27%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
GPN pays out 13.82% of its income as dividend. This is a sustainable payout ratio.
The dividend of GPN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP13.82%
EPS Next 2Y9.31%
EPS Next 3Y11.51%
NYSE:GPN (12/24/2025, 12:12:04 PM)
80.83
+0.64 (+0.8%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners95.78%
Inst Owner Change0.7%
Ins Owners0.54%
Ins Owner Change-1.01%
Market Cap19.14B
Revenue(TTM)8.89B
Net Income(TTM)1.75B
Analysts70.86
Price TargetN/A
Short Float %3.07%
Short Ratio3.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
Yearly Dividend0.99
Dividend Growth(5Y)21.27%
DP13.82%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.02%
Min EPS beat(2)-0.49%
Max EPS beat(2)0.44%
EPS beat(4)1
Avg EPS beat(4)-0.8%
Min EPS beat(4)-1.97%
Max EPS beat(4)0.44%
EPS beat(8)2
Avg EPS beat(8)-0.8%
EPS beat(12)5
Avg EPS beat(12)-0.27%
EPS beat(16)6
Avg EPS beat(16)-0.31%
Revenue beat(2)0
Avg Revenue beat(2)-0.73%
Min Revenue beat(2)-1%
Max Revenue beat(2)-0.46%
Revenue beat(4)0
Avg Revenue beat(4)-0.99%
Min Revenue beat(4)-1.67%
Max Revenue beat(4)-0.46%
Revenue beat(8)0
Avg Revenue beat(8)-1%
Revenue beat(12)2
Avg Revenue beat(12)0.22%
Revenue beat(16)6
Avg Revenue beat(16)2.55%
PT rev (1m)0.25%
PT rev (3m)0.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.13%
EPS NY rev (1m)0.01%
EPS NY rev (3m)0.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.3%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.74 | ||
| Fwd PE | 5.86 | ||
| P/S | 2.15 | ||
| P/FCF | 8.85 | ||
| P/OCF | 6.85 | ||
| P/B | 0.84 | ||
| P/tB | 11.55 | ||
| EV/EBITDA | 8.06 |
EPS(TTM)12
EY14.85%
EPS(NY)13.8
Fwd EY17.08%
FCF(TTM)9.13
FCFY11.29%
OCF(TTM)11.81
OCFY14.61%
SpS37.56
BVpS95.75
TBVpS7
PEG (NY)1.01
PEG (5Y)0.5
Graham Number160.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 7.72% | ||
| ROCE | 6.04% | ||
| ROIC | 4.9% | ||
| ROICexc | 5.24% | ||
| ROICexgc | 11.76% | ||
| OM | 26.85% | ||
| PM (TTM) | 19.68% | ||
| GM | 67.06% | ||
| FCFM | 24.31% |
ROA(3y)1.85%
ROA(5y)1.8%
ROE(3y)3.95%
ROE(5y)3.55%
ROIC(3y)4.36%
ROIC(5y)3.81%
ROICexc(3y)4.61%
ROICexc(5y)4.02%
ROICexgc(3y)47.47%
ROICexgc(5y)47.57%
ROCE(3y)5.34%
ROCE(5y)4.65%
ROICexgc growth 3Y5.38%
ROICexgc growth 5Y12.85%
ROICexc growth 3Y11.96%
ROICexc growth 5Y18.11%
OM growth 3Y5.13%
OM growth 5Y1.68%
PM growth 3Y11.11%
PM growth 5Y12.13%
GM growth 3Y3.83%
GM growth 5Y1.31%
F-Score7
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 7.5 | ||
| Debt/EBITDA | 3.64 | ||
| Cap/Depr | 41.25% | ||
| Cap/Sales | 7.13% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.24% | ||
| Profit Quality | 123.52% | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 0.94 |
F-Score7
WACC6.08%
ROIC/WACC0.81
Cap/Depr(3y)36.77%
Cap/Depr(5y)33.3%
Cap/Sales(3y)6.79%
Cap/Sales(5y)6.4%
Profit Quality(3y)601.21%
Profit Quality(5y)472.37%
High Growth Momentum
Growth
EPS 1Y (TTM)6.67%
EPS 3Y12.23%
EPS 5Y13.36%
EPS Q2Q%5.84%
EPS Next Y6.67%
EPS Next 2Y9.31%
EPS Next 3Y11.51%
EPS Next 5Y15.55%
Revenue 1Y (TTM)-11.3%
Revenue growth 3Y5.84%
Revenue growth 5Y15.52%
Sales Q2Q%3.04%
Revenue Next Year1.39%
Revenue Next 2Y2.9%
Revenue Next 3Y3.52%
Revenue Next 5Y10.52%
EBIT growth 1Y2.31%
EBIT growth 3Y11.27%
EBIT growth 5Y17.46%
EBIT Next Year10.45%
EBIT Next 3Y7.54%
EBIT Next 5Y9.19%
FCF growth 1Y31.17%
FCF growth 3Y7.7%
FCF growth 5Y21.41%
OCF growth 1Y21.47%
OCF growth 3Y8.3%
OCF growth 5Y20.49%
GLOBAL PAYMENTS INC / GPN FAQ
Can you provide the ChartMill fundamental rating for GLOBAL PAYMENTS INC?
ChartMill assigns a fundamental rating of 5 / 10 to GPN.
Can you provide the valuation status for GLOBAL PAYMENTS INC?
ChartMill assigns a valuation rating of 8 / 10 to GLOBAL PAYMENTS INC (GPN). This can be considered as Undervalued.
What is the profitability of GPN stock?
GLOBAL PAYMENTS INC (GPN) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for GPN stock?
The Price/Earnings (PE) ratio for GLOBAL PAYMENTS INC (GPN) is 6.74 and the Price/Book (PB) ratio is 0.84.
How sustainable is the dividend of GLOBAL PAYMENTS INC (GPN) stock?
The dividend rating of GLOBAL PAYMENTS INC (GPN) is 5 / 10 and the dividend payout ratio is 13.82%.