NYSE · Industrials

Global Payments Inc.

GPN · Specialty Business Services

$85.29

▲ 0.23 (0.27%)

Cached · 10 min

Overall Grade

Defensive

Enterprising

Profitability

C⤢

Gross Profit Margin 61.0%

Operating Margin 10.2%

Net Income Margin 0.4%

Fin. Health

F⤢

Years to Pay Off Debt 1816.0 yrs

Working Capital vs Long-Term Debt -$24.0B

Working Capital -$2.5B

Valuation

D⤢

Margin of Safety 0.0%

Price-to-Book 0.98x

Cash Flow

C⤢

Free Cash Flow $427M

CapEx % of Net Income 1816.9%

Owner Earnings $1.1B

Profitability

Gross Profit Margin 61.0%

Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.

Operating Margin 10.2%

Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.

Net Income Margin 0.4%

Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.

Financial Health

Years to Pay Off Debt 1816.0 yrs

Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.

Working Capital vs Long-Term Debt -$24.0B

Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.

Working Capital -$2.5B

Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.

Cash Flow

Free Cash Flow $427M

Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.

CapEx % of Net Income 1816.9%

Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.

Owner Earnings $1.1B

Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

About Global Payments Inc.

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 offers authorization, settlement and funding, customer support, chargeback resolution, reconciliation and dispute management, terminal rental, sales and deployment, payment security, and consolidated billing and reporting services. The company also provides an array of enterprise software solutions that streamline business operations of its customers in various vertical markets; and value-added solutions and services, such as point-of-sale software, analytics and customer engagement, payroll and reporting, and human capital management. It markets its products and services through direct sales force, trade associations, agent and enterprise software providers, referral arrangements with value-added resellers, independent sales organizations, payment facilitators, and financial institutions. The company was founded in 1967 and is headquartered in Atlanta, Georgia.

Market Data

Market Cap $22.6B

Enterprise Value $41.6B

P/E (TTM) 40.42

Dividend Yield 1.18%

Exchange NYSE

Key Margins

Gross Profit 61.0%

Operating Margin 10.2%

Net Margin 0.4%

Company Info

Sector Industrials

Industry Specialty Business Services

Employees 26000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Global Payments Inc. at $85.29.

The business passes only 3 of 6 of Graham's defensive criteria — well below his required standard.

At $85.29, the stock trades at a 761% premium to its Graham Number of $9.91. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

Showing Key Metrics

Income Highlights

Metric	Q2 2026	Q4 2025
Gross Profit %	61.0%▼	70.6%
Operating Margin %	10.2%▼	12.1%
Net Income %	0.4%▼	11.3%
Diluted EPS	0.05▼	0.92

Balance Sheet Highlights

Metric	Q2 2026	Q4 2025	Q4 2024
Total Assets	$63.6B	$53.3B	N/A
Total Debt	$23.6B▲	$21.9B•	N/A
Working Capital	-$2.5B▼	$5.1B•	N/A
Years to Pay Debt	1,815.98	100.52	N/A

Cash Flow Highlights

Metric	Q2 2026	Q4 2025	Q4 2024
Free Cash Flow	$427M▲	$347M•	N/A
Owner Earnings	$1.1B	$722M	N/A
CapEx % of Net Income	1,816.9%	77.3%	N/A

Income Statement

	2026	2025
Tax Effect Of Unusual Items	0	-13,733
Tax Rate For Calcs	0	0
Normalized EBITDA	1,265,874	630,830
Total Unusual Items	0	-65,393
Total Unusual Items Excluding Goodwill	0	-65,393
Net Income From Continuing Operation Net Minority Interest	114,934	180,937
Reconciled Depreciation	884,053	336,017
Reconciled Cost Of Revenue	1,293,879	569,046
EBITDA	1,265,874	565,437
EBIT	381,821	229,420
Net Interest Income	-232,838	-145,358
Interest Expense	277,538	205,470
Interest Income	44,700	60,112
Normalized Income	114,934	232,597
Net Income From Continuing And Discontinued Operation	12,971	217,524
Total Expenses	2,983,670	1,698,106
Total Operating Income As Reported	337,121	169,308
Diluted Average Shares	270,115	237,250
Basic Average Shares	259,420	236,439
Diluted EPS	0	0
Basic EPS	0	0
Diluted NI Availto Com Stockholders	12,971	217,524
Net Income Common Stockholders	12,971	217,524
Net Income	12,971	217,524
Minority Interests	-15,953	-19,058
Net Income Including Noncontrolling Interests	28,924	236,582
Net Income From Tax Loss Carryforward
Net Income Discontinuous Operations	-101,963	36,587
Net Income Continuous Operations	130,887	199,995
Earnings From Equity Interest Net Of Tax	21,678	65,030
Tax Provision	-4,926	-111,015
Pretax Income	104,283	23,950
Other Income Expense		-65,393
Special Income Charges	0	-65,393
Gain On Sale Of Business	0	-32,175
Impairment Of Capital Assets	0
Net Non Operating Interest Income Expense	-232,838	-145,358
Interest Expense Non Operating	277,538
Interest Income Non Operating	44,700	60,112
Operating Income	337,121	234,701
Operating Expense	1,689,791	1,129,060
Selling General And Administration	1,689,791	1,129,060
Gross Profit	2,026,912	1,363,761
Cost Of Revenue	1,293,879	569,046
Total Revenue	3,320,791	1,932,807
Operating Revenue	3,320,791	1,932,807

Balance Sheet

	2026	2025	2024
Ordinary Shares Number	265,812	236,693
Share Issued	265,812	236,693
Net Debt	18,146,128	13,470,909
Total Debt	23,555,090	21,865,376
Tangible Book Value	-23,284,003	1,580,916
Invested Capital	46,665,797	44,696,078
Working Capital	-2,483,967	5,145,827
Net Tangible Assets	-23,284,003	1,580,916
Capital Lease Obligations		58,065	59,820
Common Stock Equity	23,110,707	22,888,767
Total Capitalization	44,604,001	42,430,279
Total Equity Gross Minority Interest	23,969,650	23,779,481
Minority Interest	858,943	890,714
Stockholders Equity	23,110,707	22,888,767
Gains Losses Not Affecting Retained Earnings	-309,157	-126,207
Other Equity Adjustments	-309,157	-126,207
Retained Earnings	4,014,698	5,936,322
Additional Paid In Capital	19,405,166	17,078,652
Total Liabilities Net Minority Interest	39,604,137	29,559,003
Total Non Current Liabilities Net Minority Interest	25,450,339	22,102,159
Other Non Current Liabilities	1,069,873	522,121
Liabilities Heldfor Sale Non Current	0	433,022
Non Current Deferred Liabilities	2,887,172	1,605,504
Non Current Deferred Taxes Liabilities	2,887,172	1,605,504
Long Term Debt And Capital Lease Obligation	21,493,294	19,541,512
Long Term Debt	21,493,294	19,541,512
Current Liabilities	14,153,798	7,456,844
Other Current Liabilities	5,934,765	2,530,909
Current Deferred Liabilities		797,657	1,141,337
Current Deferred Revenue		797,657	1,141,337
Current Debt And Capital Lease Obligation	2,061,796	2,323,864
Current Capital Lease Obligation		58,065	59,820
Current Debt	2,061,796	2,265,799
Other Current Borrowings	925,032	1,920,792
Line Of Credit	1,136,764	345,007
Pensionand Other Post Retirement Benefit Plans Current		224,727	228,209
Payables And Accrued Expenses	6,157,237	1,579,687
Current Accrued Expenses		1,111,121	886,465
Interest Payable		204,319	171,220
Payables	6,157,237	468,566
Total Tax Payable	2,449,991	190,475	266,178
Income Tax Payable	2,449,991	117,509	207,554
Accounts Payable	3,707,246	278,091
Total Assets	63,573,787	53,338,484
Total Non Current Assets	51,903,956	40,735,813
Other Non Current Assets	2,186,839	16,937,959
Non Current Deferred Assets	344,836	171,430
Non Current Deferred Taxes Assets	344,836	171,430
Non Current Note Receivables	842,739	816,810
Goodwill And Other Intangible Assets	46,394,710	21,307,851
Other Intangible Assets	19,409,900	4,231,227
Goodwill	26,984,810	17,076,624
Net PPE	2,134,832	1,501,763
Accumulated Depreciation		-2,007,954	-1,637,170
Gross PPE		3,509,717	3,058,438
Leases		88,942	92,707
Construction In Progress		381,575	398,176
Other Properties		1,025,580	846,968
Machinery Furniture Equipment		1,985,716	1,698,070
Buildings And Improvements		24,787	21,304
Land And Improvements		3,117	1,213
Current Assets	11,669,831	12,602,671
Other Current Assets	4,683,883	2,278,561
Assets Held For Sale Current	0	1,203,534
Receivables	1,576,986	784,174
Accounts Receivable	1,576,986	784,174
Allowance For Doubtful Accounts Receivable		-50,200	-24,000
Gross Accounts Receivable		834,374	811,687
Cash Cash Equivalents And Short Term Investments	5,408,962	8,336,402
Cash And Cash Equivalents	5,408,962	8,336,402

Cash Flow

	2026	2025	2024
Free Cash Flow	426,955	346,999
Repurchase Of Capital Stock	-583,806	-39,566
Repayment Of Debt	-4,436,840	-1,234,791
Issuance Of Debt	3,987,308	6,962,472
Capital Expenditure	-235,664	-168,213
End Cash Position	5,692,894	9,116,414
Beginning Cash Position	6,124,486	3,036,631
Effect Of Exchange Rate Changes	3,146	15,969
Changes In Cash	-434,738	6,063,814
Financing Cash Flow	-833,846	5,858,526
Cash Flow From Continuing Financing Activities	-833,846	5,858,526
Net Other Financing Charges	-197,887	385,629
Proceeds From Stock Option Exercised	39,065	45,713
Cash Dividends Paid	-66,471	-59,057
Common Stock Dividend Paid	-66,471	-59,057
Net Common Stock Issuance	-583,806	-39,566
Common Stock Payments	-583,806	-39,566
Net Issuance Payments Of Debt	-24,747	5,525,807
Net Short Term Debt Issuance	424,785	-641,237
Net Long Term Debt Issuance	-449,532	6,167,044
Long Term Debt Payments	-4,436,840	-1,234,791
Long Term Debt Issuance	3,987,308	7,401,835
Investing Cash Flow	-263,511	-309,924
Cash Flow From Continuing Investing Activities	-263,511	-309,924
Net Other Investing Changes		4,375	6,633
Net Investment Purchase And Sale		668	932
Sale Of Investment		668	932
Net Business Purchase And Sale	-32,222	-146,754
Sale Of Business	0	3,483
Purchase Of Business	-32,222	-150,237
Capital Expenditure Reported	-235,664	-168,213
Operating Cash Flow	662,619	515,212
Cash Flow From Continuing Operating Activities	662,619	515,212
Dividend Received Cfo	0	28,319
Change In Working Capital	-492,668	-175,037
Change In Other Working Capital			-451,361
Change In Payables And Accrued Expense	-211,439	-252,125
Change In Payable	-211,439	-252,125
Change In Account Payable	-70,935	-252,125
Change In Tax Payable	-140,504
Change In Income Tax Payable	-140,504
Change In Prepaid Assets	-95,520	-14,945
Change In Receivables	-185,709	92,033
Changes In Account Receivables	-185,709	92,033
Other Non Cash Items	35,689	70,191
Stock Based Compensation	35,707	38,826
Provisionand Write Offof Assets	38,133	18,433
Asset Impairment Charge		-7
Deferred Tax	154,459	-165,778
Deferred Income Tax	154,459	-165,778
Depreciation Amortization Depletion	884,053	336,017
Depreciation And Amortization	884,053	336,017
Amortization Cash Flow	757,581	236,906
Amortization Of Intangibles	757,581	236,906
Depreciation	126,472	99,111
Operating Gains Losses	-21,678	127,666
Earnings Losses From Equity Investments	-21,678	-64,958
Gain Loss On Sale Of Business	0	192,624
Net Income From Continuing Operations	28,924	236,582

📊 Quarterly mode — Graham Fair Value & 7 Criteria require annual data. Switch to Annual for full analysis.

Quarter vs Same Quarter Last Year

YoY strips seasonality

Revenue Growth (YoY)

Prior year: $2.0B ▲ $3.3B +68.6%

Revenue growth vs same quarter last year strips seasonality. Consistent double-digit growth is a Buffett hallmark.

Gross Margin

Prior year: 74.5% ▲ 61.0% -13.5pp

Buffett: consistent gross margin above 40% signals durable pricing power and competitive moat.

Operating Margin

Prior year: 17.1% ▼ 10.2% -7.0pp

Graham: operating margin reflects true business economics before financing. Trend matters as much as level.

Net Margin

Prior year: 12.3% ▼ 0.4% -11.9pp

Net margin can be distorted by one-time items, tax timing, or interest costs — compare to operating margin for signal quality.

Quarterly Health Checks

3 Graham/Buffett criteria that are valid and reliable on quarterly data

✅ Adequate Size

Graham required scale for resilience. Quarterly revenue × 4 gives an annualised proxy.

$3.3B/qtr (≈$13.3B ann.)

vs > $1.5B annualised revenue

❌ Financial Condition

Current assets vs current liabilities — a real-time liquidity snapshot. Valid and reliable on quarterly data.

0.82x current ratio

vs ≥ 2.0x

✅ Free Cash Flow

Buffett's most important single metric. A positive FCF quarter means the business generated real cash for owners after maintaining its asset base.

$427M

vs Positive

Operating Cash Flow

$663M

Latest quarter · Buffett's cash reality check

ROIC

0.5%

Based on latest annual operating income

Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.

Market Cap / Net Assets

0.9x

Net Assets: $24.0B

⚠️ Net margin compressed 11.9pp vs same quarter last year. Common causes: one-time charges (restructuring, write-downs, legal settlements), tax rate changes, or rising interest expense. Check the income statement notes before drawing conclusions about operating health.

⚠️ Revenue grew vs prior year but operating margin contracted. Possible explanations: deliberate investment in growth (hiring, marketing, R&D), input cost inflation, or pricing pressure from competition. Buffett distinguishes between spending that builds moat vs. spending that doesn't.

Peers & Industry

No auto-detected peers for Specialty Business Services. You can manually compare GPN against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.93%

Low — management has little skin in the game

Return on Equity (ROE)

0.1%

Weak — poor returns on equity

Return on Assets (ROA)

0.0%

Poor — assets are not generating adequate returns

Share Buybacks (Latest Year)

$1.2B

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-0.1% YoY

Debt is declining — management is deleveraging

Leadership Team

Cameron Bready CPA

CEO & Director

Age 53

Pay: $4,177,406

32.206% of net income

Robert Cortopassi

President & COO

Age 48

Pay: $2,347,455

18.098% of net income

Joshua Whipple

Senior EVP & CFO

Age 51

Pay: $2,127,586

16.403% of net income

David Rumph

President of SMB

Top Institutional Holders

Institution	% Owned	Shares
GTCR, LLC	16.35%	43,268,041
Blackrock Inc.	7.17%	18,970,360
Vanguard Capital Management LLC	5.56%	14,713,333
Harris Associates L.P.	4.88%	12,912,987
Ameriprise Financial, Inc.	4.60%	12,178,274
Pzena Investment Management LLC	4.42%	11,691,625
State Street Corporation	3.97%	10,513,168
Vanguard Portfolio Management LLC	3.74%	9,900,889

⚠️ Current ratio below 1 — liquidity risk

Risk Analysis

Beta (Market Risk)

0.79

Low volatility — more stable than the market

Short Interest

7.3% of float

Moderate short interest

Debt-to-Equity

0.98x

Conservative balance sheet — low financial risk

Current Ratio

0.82x

Weak liquidity — current liabilities exceed current assets

52-Week Price Range

Low: $61.16 Current: $85.29 High: $95.88

Currently at 69% of 52-week range

Global Payments Inc.

Metric Explanations

Full Graham Analysis

Income Highlights

Balance Sheet Highlights

Cash Flow Highlights

Quarter vs Same Quarter Last Year

Quarterly Health Checks

Operating Cash Flow

ROIC

Market Cap / Net Assets

Peers & Industry

Capital Allocation & Alignment

Leadership Team

Top Institutional Holders

Risk Analysis