Global Payments (GPN) Declares $0.25 Dividend

Global Payments said on August 1, 2023 that its board of directors declared a regular quarterly dividend of $0.25 per share ($1.00 annualized). Previously, the company paid $0.25 per share.

Shares must be purchased before the ex-div date of September 14, 2023 to qualify for the dividend. Shareholders of record as of September 15, 2023 will receive the payment on September 29, 2023.

At the current share price of $121.65 / share, the stock's dividend yield is 0.82%.

Looking back five years and taking a sample every week, the average dividend yield has been 0.48%, the lowest has been 0.02%, and the highest has been 1.07%. The standard deviation of yields is 0.33 (n=235).

The current dividend yield is 1.04 standard deviations above the historical average.

Additionally, the company's dividend payout ratio is 0.33. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company's 3-Year dividend growth rate is 0.28%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 1649 funds or institutions reporting positions in Global Payments. This is a decrease of 7 owner(s) or 0.42% in the last quarter. Average portfolio weight of all funds dedicated to GPN is 0.35%, an increase of 10.70%. Total shares owned by institutions decreased in the last three months by 4.02% to 261,968K shares. The put/call ratio of GPN is 0.77, indicating a bullish outlook.

Analyst Price Forecast Suggests 14.98% Upside

As of August 2, 2023, the average one-year price target for Global Payments is 139.87. The forecasts range from a low of 89.89 to a high of $218.40. The average price target represents an increase of 14.98% from its latest reported closing price of 121.65.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Global Payments is 8,614MM, a decrease of 7.21%. The projected annual non-GAAP EPS is 10.54.

What are Other Shareholders Doing?

Wellington Management Group Llp holds 14,193K shares representing 5.42% ownership of the company. In it's prior filing, the firm reported owning 14,932K shares, representing a decrease of 5.21%. The firm decreased its portfolio allocation in GPN by 85.95% over the last quarter.

Price T Rowe Associates holds 11,877K shares representing 4.53% ownership of the company. In it's prior filing, the firm reported owning 12,589K shares, representing a decrease of 5.99%. The firm decreased its portfolio allocation in GPN by 6.97% over the last quarter.

Synovus Financial holds 8,230K shares representing 3.14% ownership of the company. In it's prior filing, the firm reported owning 8,225K shares, representing an increase of 0.06%. The firm increased its portfolio allocation in GPN by 4.76% over the last quarter.

VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 7,577K shares representing 2.89% ownership of the company. In it's prior filing, the firm reported owning 7,853K shares, representing a decrease of 3.64%. The firm decreased its portfolio allocation in GPN by 5.60% over the last quarter.

Orbis Allan Gray holds 6,547K shares representing 2.50% ownership of the company. In it's prior filing, the firm reported owning 6,360K shares, representing an increase of 2.86%. The firm increased its portfolio allocation in GPN by 8.03% over the last quarter.

Global Payments Background Information
(This description is provided by the company.)

Global Payments Inc. is a leading pure play payments technology company delivering innovative software and services to its customers globally. Its technologies, services and employee expertise enable the company to provide a broad range of solutions that allow its customers to operate their businesses more efficiently across a variety of channels around the world.

Additional reading:

• Delivers Strong Second Quarter Performance Raises 2023 Outlook Remains on Track to Achieve Targeted Synergies from EVO Acquisition
• AMENDED AND RESTATED EMPLOYMENT AGREEMENT
• Form of Restricted Stock Award pursuant to the 2011 Amended and Restated Incentive Plan for Executive Officers (calendar 2023).
• Form of Performance Unit Award Agreement pursuant to the 2011 Amended and Restated Incentive Plan for Executive Officers (calendar 2023).
• Form of Stock Option Award pursuant to the 2011 Amended and Restated Incentive Plan for Executive Officers (calendar 2023).

This story originally appeared on Fintel.