Eye On Growth: ROBERT BALDWIN JR Adds $1.09M Of Global Payments Stock To Portfolio

Disclosed in the latest SEC filing, a significant insider purchase on December 12, involves ROBERT BALDWIN JR, Director at Global Payments (NYSE:GPN).

What Happened: In a significant move reported in a Form 4 filing with the U.S. Securities and Exchange Commission on Friday, JR purchased 13,392 shares of Global Payments, demonstrating confidence in the company's growth potential. The total value of the transaction stands at $1,086,866.

The latest market snapshot at Friday morning reveals Global Payments shares up by 1.62%, trading at $83.25.

Delving into Global Payments's Background

Global Payments is a leading provider of payment processing and software solutions and focuses on serving small and midsize merchants. The company operates in 30 countries and generates about one fourth of its revenue from outside North America, primarily in Europe and Asia. In 2019, Global Payments merged with Total System Services in an all-stock deal that gave Total System Services shareholders 48% of the combined company's shares. The merger added issuer processing operations.

Financial Milestones: Global Payments's Journey

Revenue Growth: Global Payments displayed positive results in 3 months. As of 30 September, 2025, the company achieved a solid revenue growth rate of approximately 0.5%. This indicates a notable increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Financials sector.

Profitability Metrics: Unlocking Value

  • Gross Margin: The company maintains a high gross margin of 72.27%, indicating strong cost management and profitability compared to its peers.

  • Earnings per Share (EPS): Global Payments's EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 2.65.

Debt Management: Global Payments's debt-to-equity ratio is below the industry average. With a ratio of 0.71, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Financial Valuation:

  • Price to Earnings (P/E) Ratio: The Price to Earnings ratio of 12.43 is lower than the industry average, indicating potential undervaluation for the stock.

  • Price to Sales (P/S) Ratio: The current P/S ratio of 2.0 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.

  • EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an EV/EBITDA ratio lower than industry averages at 7.64, Global Payments could be considered undervalued.

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

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The Importance of Insider Transactions

Considering insider transactions is valuable, but it's crucial to evaluate them in conjunction with other investment factors.

Exploring the legal landscape, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.

Highlighted by a company insider's new purchase, there's a positive anticipation for the stock to rise.

But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

The Insider's Guide to Important Transaction Codes

When it comes to transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S indicates a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Global Payments's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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