GPN Valuation

Global Payments Inc

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76.030

-0.34(-0.445%)1D

GPN Relative Valuation

GPN's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, GPN is overvalued; if below, it's undervalued.

Historical Valuation

Global Payments Inc (GPN) is now in the Undervalued zone, suggesting that its current forward PE ratio of 5.74 is considered Undervalued compared with the five-year average of 12.62. The fair price of Global Payments Inc (GPN) is between 144.03 to 261.89 according to relative valuation methord. Compared to the current price of 76.03 USD , Global Payments Inc is Undervalued By 47.21%.

Relative Value

Fair Zone

144.03-261.89

Current Price：76.03

47.21%

Undervalued

5.74

Trailing

Forward

7.17

EV/EBITDA

Global Payments Inc. (GPN) has a current EV/EBITDA of 7.17. The 5-year average EV/EBITDA is 11.41. The thresholds are as follows: Strongly Undervalued below 4.67, Undervalued between 4.67 and 8.04, Fairly Valued between 14.77 and 8.04, Overvalued between 14.77 and 18.14, and Strongly Overvalued above 18.14. The current Forward EV/EBITDA of 7.17 falls within the Undervalued range.

7.95

EV/EBIT

Global Payments Inc. (GPN) has a current EV/EBIT of 7.95. The 5-year average EV/EBIT is 12.70. The thresholds are as follows: Strongly Undervalued below 5.20, Undervalued between 5.20 and 8.95, Fairly Valued between 16.46 and 8.95, Overvalued between 16.46 and 20.21, and Strongly Overvalued above 20.21. The current Forward EV/EBIT of 7.95 falls within the Undervalued range.

76.03

Global Payments Inc. (GPN) has a current PS of 76.03. The 5-year average PS is 4.65. The thresholds are as follows: Strongly Undervalued below -8.53, Undervalued between -8.53 and -1.94, Fairly Valued between 11.25 and -1.94, Overvalued between 11.25 and 17.84, and Strongly Overvalued above 17.84. The current Forward PS of 76.03 falls within the Strongly Overvalued range.

5.51

P/OCF

Global Payments Inc. (GPN) has a current P/OCF of 5.51. The 5-year average P/OCF is 11.35. The thresholds are as follows: Strongly Undervalued below 2.18, Undervalued between 2.18 and 6.76, Fairly Valued between 15.93 and 6.76, Overvalued between 15.93 and 20.52, and Strongly Overvalued above 20.52. The current Forward P/OCF of 5.51 falls within the Undervalued range.

6.14

P/FCF

Global Payments Inc. (GPN) has a current P/FCF of 6.14. The 5-year average P/FCF is 13.72. The thresholds are as follows: Strongly Undervalued below 2.62, Undervalued between 2.62 and 8.17, Fairly Valued between 19.27 and 8.17, Overvalued between 19.27 and 24.82, and Strongly Overvalued above 24.82. The current Forward P/FCF of 6.14 falls within the Undervalued range.

Global Payments Inc (GPN) has a current Price-to-Book (P/B) ratio of 0.79. Compared to its 3-year average P/B ratio of 1.20 , the current P/B ratio is approximately -34.00% higher. Relative to its 5-year average P/B ratio of 1.42, the current P/B ratio is about -44.29% higher. Global Payments Inc (GPN) has a Forward Free Cash Flow (FCF) yield of approximately 0.16%. Compared to its 3-year average FCF yield of 8.03%, the current FCF yield is approximately -98.02% lower. Relative to its 5-year average FCF yield of 6.75% , the current FCF yield is about -97.64% lower.

0.79

P/B

Median3y

1.20

Median5y

1.42

0.16

FCF Yield

Median3y

8.03

Median5y

6.75

Competitors Valuation Multiple

The average P/S ratio for GPN's competitors is 204.03, providing a benchmark for relative valuation. Global Payments Inc Corp (GPN) exhibits a P/S ratio of 76.03, which is -62.74% above the industry average. Given its robust revenue growth of -22.83%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of GPN decreased by 35.95% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 12.82 to 23.57.

The secondary factor is the Revenue Growth, contributed -22.83%to the performance.

Overall, the performance of GPN in the past 1 year is driven by Margin Expansion. Which is more sustainable.

-22.83%

2.60B → 2.01B

Revenue Growth

83.85%

12.82 → 23.57

Margin Expansion

-96.97%

377.08 → 11.43

P/E Change

-35.95%