Global Payments (NYSE:GPN) Sees Large Volume Increase Following Earnings Beat

Global Payments Inc. (NYSE:GPNGet Rating) shares saw unusually-high trading volume on Monday following a better than expected earnings announcement. Approximately 124,302 shares traded hands during mid-day trading, a decline of 94% from the previous session’s volume of 1,954,985 shares.The stock last traded at $130.17 and had previously closed at $122.32.

The business services provider reported $2.36 EPS for the quarter, beating analysts’ consensus estimates of $2.34 by $0.02. The business had revenue of $2.28 billion during the quarter, compared to analyst estimates of $2.09 billion. Global Payments had a return on equity of 8.79% and a net margin of 11.66%. Global Payments’s revenue was up 6.7% on a year-over-year basis. During the same period in the prior year, the company posted $1.92 earnings per share.

Global Payments Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, September 30th. Investors of record on Friday, September 16th will be paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.78%. Global Payments’s payout ratio is 28.65%.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on GPN shares. Stephens started coverage on Global Payments in a research note on Wednesday, April 6th. They set an “overweight” rating and a $170.00 price objective for the company. Barclays dropped their price objective on Global Payments from $182.00 to $160.00 in a research note on Tuesday, May 3rd. The Goldman Sachs Group started coverage on Global Payments in a research note on Tuesday, May 17th. They set a “neutral” rating and a $151.00 price objective for the company. Wolfe Research dropped their price objective on Global Payments from $200.00 to $160.00 in a research note on Wednesday, July 20th. Finally, Oppenheimer dropped their price objective on Global Payments from $176.00 to $152.00 and set a “maintains” rating for the company in a research note on Monday, July 25th. Six analysts have rated the stock with a hold rating and twenty-two have assigned a buy rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $175.79.

Insiders Place Their Bets

In other Global Payments news, EVP David Lawrence Green sold 16,252 shares of the firm’s stock in a transaction dated Friday, June 3rd. The stock was sold at an average price of $130.10, for a total transaction of $2,114,385.20. Following the transaction, the executive vice president now owns 97,818 shares in the company, valued at $12,726,121.80. The sale was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 1.19% of the company’s stock.

Hedge Funds Weigh In On Global Payments

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. State Street Corp boosted its holdings in Global Payments by 3.5% during the fourth quarter. State Street Corp now owns 11,472,284 shares of the business services provider’s stock worth $1,550,823,000 after buying an additional 387,950 shares during the last quarter. Boston Partners lifted its holdings in shares of Global Payments by 7.3% during the 1st quarter. Boston Partners now owns 5,051,165 shares of the business services provider’s stock valued at $691,018,000 after purchasing an additional 345,616 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of Global Payments by 4.6% during the 4th quarter. Geode Capital Management LLC now owns 4,766,200 shares of the business services provider’s stock valued at $642,546,000 after purchasing an additional 208,681 shares in the last quarter. JPMorgan Chase & Co. lifted its holdings in shares of Global Payments by 10.6% during the 1st quarter. JPMorgan Chase & Co. now owns 3,395,277 shares of the business services provider’s stock valued at $464,607,000 after purchasing an additional 326,254 shares in the last quarter. Finally, Victory Capital Management Inc. lifted its holdings in shares of Global Payments by 2.5% during the 2nd quarter. Victory Capital Management Inc. now owns 3,006,129 shares of the business services provider’s stock valued at $332,598,000 after purchasing an additional 73,722 shares in the last quarter. Institutional investors own 84.53% of the company’s stock.

Global Payments Price Performance

The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.46. The firm has a market cap of $36.03 billion, a P/E ratio of 36.67, a PEG ratio of 0.80 and a beta of 1.04. The company has a fifty day moving average price of $118.32 and a two-hundred day moving average price of $129.46.

About Global Payments

(Get Rating)

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

Featured Stories

Receive News & Ratings for Global Payments Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Global Payments and related companies with MarketBeat.com's FREE daily email newsletter.