Global Payments Sees Unusually Large Options Volume (NYSE:GPN)

Global Payments Inc. (NYSE:GPN) was the target of some unusual options trading activity on Friday. Investors acquired 4,666 call options on the stock. This is an increase of approximately 76% compared to the average volume of 2,645 call options.

Global Payments Trading Down 1.6 %

Global Payments stock traded down $1.56 during trading hours on Friday, reaching $97.91. The stock had a trading volume of 533,220 shares, compared to its average volume of 2,036,136. The company has a fifty day simple moving average of $103.93 and a 200-day simple moving average of $107.44. Global Payments has a 52 week low of $90.99 and a 52 week high of $133.63. The stock has a market cap of $24.07 billion, a PE ratio of 15.84, a PEG ratio of 0.86 and a beta of 1.04. The company has a debt-to-equity ratio of 0.66, a current ratio of 0.97 and a quick ratio of 0.93.

Global Payments (NYSE:GPN) last posted its earnings results on Thursday, February 13th. The business services provider reported $2.84 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.98 by ($0.14). Global Payments had a return on equity of 12.21% and a net margin of 15.54%. The business had revenue of $2.29 billion during the quarter, compared to the consensus estimate of $2.31 billion. Analysts forecast that Global Payments will post 11.89 EPS for the current fiscal year.

Global Payments Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 28th. Investors of record on Friday, March 14th will be paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 1.02%. The ex-dividend date is Friday, March 14th. Global Payments’s payout ratio is 16.18%.

Analysts Set New Price Targets

A number of analysts have commented on the company. Morgan Stanley decreased their price objective on Global Payments from $166.00 to $163.00 and set an “overweight” rating for the company in a report on Friday, February 14th. Bank of America lowered their price target on Global Payments from $156.00 to $149.00 and set a “buy” rating for the company in a research report on Friday, February 14th. Citigroup lowered their target price on shares of Global Payments from $138.00 to $135.00 and set a “buy” rating for the company in a report on Tuesday, February 18th. Barclays cut their price target on shares of Global Payments from $135.00 to $125.00 and set an “overweight” rating on the stock in a report on Tuesday, February 18th. Finally, Stephens lowered shares of Global Payments from an “overweight” rating to an “equal weight” rating and decreased their price objective for the company from $125.00 to $120.00 in a research note on Friday, January 10th. One investment analyst has rated the stock with a sell rating, eleven have given a hold rating and fifteen have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $134.33.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in GPN. Beaird Harris Wealth Management LLC bought a new stake in shares of Global Payments during the 3rd quarter valued at about $25,000. Optiver Holding B.V. purchased a new stake in Global Payments in the fourth quarter worth about $28,000. Whipplewood Advisors LLC purchased a new position in shares of Global Payments during the 4th quarter worth approximately $37,000. Quintet Private Bank Europe S.A. bought a new position in shares of Global Payments in the 4th quarter worth approximately $38,000. Finally, True Wealth Design LLC purchased a new position in shares of Global Payments in the 4th quarter valued at approximately $40,000. 89.76% of the stock is owned by hedge funds and other institutional investors.

Global Payments Company Profile

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