Global Payments Stock Return On Equity
| GPN Stock | USD 118.96 0.42 0.35% |
Global Payments fundamentals help investors to digest information that contributes to Global Payments' financial success or failures. It also enables traders to predict the movement of Global Stock. The fundamental analysis module provides a way to measure Global Payments' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Global Payments stock.
| Last Reported | Projected for Next Year | ||
| Return On Equity | 0.04 | 0.04 |
Global | Return On Equity |
Global Payments Company Return On Equity Analysis
Global Payments' Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Current Global Payments Return On Equity | 0.0606 |
Most of Global Payments' fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Global Payments is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Global Return On Equity Driver Correlations
Understanding the fundamental principles of building solid financial models for Global Payments is extremely important. It helps to project a fair market value of Global Stock properly, considering its historical fundamentals such as Return On Equity. Since Global Payments' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Global Payments' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Global Payments' interrelated accounts and indicators.
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Global Return On Equity Historical Pattern
Today, most investors in Global Payments Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Global Payments' growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's return on equity growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Global Payments return on equity as a starting point in their analysis.
Global Payments Return On Equity |
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For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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Global Total Stockholder Equity
Total Stockholder Equity |
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Based on the latest financial disclosure, Global Payments has a Return On Equity of 0.0606. This is 86.23% lower than that of the Financial Services sector and significantly higher than that of the Financials industry. The return on equity for all United States stocks is 119.55% lower than that of the firm.
Global Return On Equity Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Global Payments' direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Global Payments could also be used in its relative valuation, which is a method of valuing Global Payments by comparing valuation metrics of similar companies.Global Payments is currently under evaluation in return on equity category among its peers.
Global Payments ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Global Payments' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Global Payments' managers, analysts, and investors.Environmental | Governance | Social |
Global Fundamentals
| Return On Equity | 0.0606 | ||||
| Return On Asset | 0.0316 | ||||
| Profit Margin | 0.14 % | ||||
| Operating Margin | 0.27 % | ||||
| Current Valuation | 44.89 B | ||||
| Shares Outstanding | 254.5 M | ||||
| Shares Owned By Insiders | 0.85 % | ||||
| Shares Owned By Institutions | 92.68 % | ||||
| Number Of Shares Shorted | 6.92 M | ||||
| Price To Earning | 434.19 X | ||||
| Price To Book | 1.33 X | ||||
| Price To Sales | 3.03 X | ||||
| Revenue | 9.65 B | ||||
| Gross Profit | 5.23 B | ||||
| EBITDA | 3.74 B | ||||
| Net Income | 1.03 B | ||||
| Cash And Equivalents | 2 B | ||||
| Cash Per Share | 7.37 X | ||||
| Total Debt | 17.38 B | ||||
| Debt To Equity | 0.61 % | ||||
| Current Ratio | 0.96 X | ||||
| Book Value Per Share | 89.67 X | ||||
| Cash Flow From Operations | 2.25 B | ||||
| Short Ratio | 2.85 X | ||||
| Earnings Per Share | 5.31 X | ||||
| Price To Earnings To Growth | 0.47 X | ||||
| Target Price | 129.7 | ||||
| Number Of Employees | 27 K | ||||
| Beta | 0.98 | ||||
| Market Capitalization | 30.38 B | ||||
| Total Asset | 50.57 B | ||||
| Retained Earnings | 3.46 B | ||||
| Working Capital | (51.97 M) | ||||
| Current Asset | 2.85 B | ||||
| Current Liabilities | 2.43 B | ||||
| Annual Yield | 0.01 % | ||||
| Five Year Return | 0.30 % | ||||
| Net Asset | 50.57 B | ||||
| Last Dividend Paid | 1.0 |
About Global Payments Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Global Payments's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Global Payments using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Global Payments based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Global Payments
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Global Payments position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Global Payments will appreciate offsetting losses from the drop in the long position's value.Moving together with Global Stock
Moving against Global Stock
| 0.61 | NISN | Nisun International | PairCorr |
| 0.55 | GPAK | Gamer Pakistan Common | PairCorr |
| 0.36 | BW | Babcock Wilcox Enter | PairCorr |
| 0.35 | CP | Canadian Pacific Railway | PairCorr |
| 0.32 | SGRP | SPAR Group | PairCorr |
The ability to find closely correlated positions to Global Payments could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Global Payments when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Global Payments - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Global Payments to buy it.
The correlation of Global Payments is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Global Payments moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Global Payments moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Global Payments can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Global Payments Piotroski F Score and Global Payments Altman Z Score analysis. To learn how to invest in Global Stock, please use our How to Invest in Global Payments guide.You can also try the Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Is Transaction & Payment Processing Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Global Payments. If investors know Global will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Global Payments listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.11) | Dividend Share 1 | Earnings Share 5.31 | Revenue Per Share 39.009 | Quarterly Revenue Growth 0.051 |
The market value of Global Payments is measured differently than its book value, which is the value of Global that is recorded on the company's balance sheet. Investors also form their own opinion of Global Payments' value that differs from its market value or its book value, called intrinsic value, which is Global Payments' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Global Payments' market value can be influenced by many factors that don't directly affect Global Payments' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Global Payments' value and its price as these two are different measures arrived at by different means. Investors typically determine if Global Payments is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Global Payments' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.