Global Payments Target of Unusually High Options Trading (NYSE:GPN)

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

Global Payments Price Performance

NYSE:GPN traded down $1.56 during trading hours on Friday, hitting $97.91. The company’s stock had a trading volume of 533,220 shares, compared to its average volume of 2,036,136. Global Payments has a 52-week low of $90.99 and a 52-week high of $133.63. The company has a debt-to-equity ratio of 0.66, a quick ratio of 0.93 and a current ratio of 0.97. The business’s 50-day moving average is $103.93 and its two-hundred day moving average is $107.44. The company has a market capitalization of $24.07 billion, a PE ratio of 15.84, a PEG ratio of 0.86 and a beta of 1.04.

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

Global Payments Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, March 28th. Stockholders of record on Friday, March 14th will be paid a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 1.02%. The ex-dividend date of this dividend is Friday, March 14th. Global Payments’s dividend payout ratio (DPR) is 16.18%.

Institutional Investors Weigh In On Global Payments

A number of institutional investors and hedge funds have recently modified their holdings of the company. Beaird Harris Wealth Management LLC purchased a new stake in Global Payments during the third quarter worth $25,000. Optiver Holding B.V. acquired a new position in shares of Global Payments during the 4th quarter worth $28,000. Whipplewood Advisors LLC purchased a new stake in shares of Global Payments in the 4th quarter worth about $37,000. Quintet Private Bank Europe S.A. acquired a new stake in Global Payments in the 4th quarter valued at about $38,000. Finally, True Wealth Design LLC purchased a new position in Global Payments during the 4th quarter valued at about $40,000. Institutional investors and hedge funds own 89.76% of the company’s stock.

Analysts Set New Price Targets

Several brokerages have issued reports on GPN. The Goldman Sachs Group reaffirmed a “neutral” rating and set a $122.00 price objective (down previously from $155.00) on shares of Global Payments in a report on Thursday, January 9th. Keefe, Bruyette & Woods raised their price target on Global Payments from $130.00 to $140.00 and gave the stock an “outperform” rating in a research note on Monday, December 9th. Barclays reduced their price objective on Global Payments from $135.00 to $125.00 and set an “overweight” rating for the company in a research note on Tuesday, February 18th. Stephens lowered shares of Global Payments from an “overweight” rating to an “equal weight” rating and lowered their target price for the stock from $125.00 to $120.00 in a research report on Friday, January 10th. Finally, StockNews.com raised shares of Global Payments from a “hold” rating to a “buy” rating in a report on Thursday, January 23rd. One analyst has rated the stock with a sell rating, eleven have given a hold rating and fifteen have issued a buy rating to the stock. According to MarketBeat, Global Payments currently has a consensus rating of “Moderate Buy” and an average target price of $134.33.

About Global Payments

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.