Cantor Fitzgerald has launched coverage on Global Payments (NYSE:GPN) with a Neutral recommendation and an $80.00 price objective, according to the firm’s initial research note. At the time of the report the stock was trading at $75.44 and carried a price-to-earnings ratio of 11.34, per InvestingPro data.
The brokerage highlights that Global Payments has repositioned itself as a pure-play merchant acquirer after completing the WorldPay acquisition and exiting its Issuer Solutions operation. Cantor Fitzgerald describes the company’s approach as a "divest and refresh strategy," under which Global Payments sold business lines that lacked strategic fit and consolidated internal platforms with the stated goal of improving customer service.
Those moves appear to be reflected in the company’s recent top-line performance: Global Payments reported revenue growth of 22.33% over the last twelve months, a metric Cantor Fitzgerald cites as evidence its strategic changes are bearing fruit.
The $80 price target rests on two elements, the note says. First, Cantor Fitzgerald applies a multiple of 5 times its fiscal year 2027 earnings-per-share estimate of $15.09. Second, the firm supplements that multiple-based valuation with a discounted cash flow analysis to arrive at its overall target.
InvestingPro’s valuation context is also referenced in the coverage initiation: InvestingPro’s Fair Value analysis indicates the stock may be trading below intrinsic value, while analyst price targets collected by InvestingPro span a wide range from $70 to $194.
In its initial report Cantor Fitzgerald identifies three principal risks to the investment thesis. The first is execution risk tied to integrating WorldPay. The second is sensitivity to consumer spending should macroeconomic growth slow, which could dampen transaction volumes. The third is the competitive intensity in the payments sector that could pressure margins and market share.
Separately, InvestingPro notes some long-term financial stability markers for Global Payments: the company has paid dividends for 25 consecutive years and carries an overall financial health rating of "GOOD." Additional analysis and data are available in Global Payments’ Pro Research Report through an InvestingPro subscription.
Other developments highlighted alongside Cantor Fitzgerald’s initiation include the completion of the Worldpay acquisition, which the company says converts Global Payments into a commerce solutions provider capable of servicing over 6 million merchant locations and processing approximately $3.7 trillion in payment volume annually across more than 175 countries. The firm also divested its Issuer Solutions business to FIS as part of refocusing its operations.
Market reactions from other brokerages are mixed: Seaport Global Securities upgraded Global Payments to Buy and set a $109.00 target, citing expected benefits from integrating Worldpay by 2026. UBS reiterated a Neutral rating with a $93.00 price target and pointed to expansions into markets such as Japan, France, and the Middle East.
Summary: Cantor Fitzgerald inaugurates coverage of Global Payments with a Neutral rating and an $80 price target, highlighting the company’s transition to a pure-play merchant acquirer after the WorldPay deal and a program of divestitures and platform consolidation. The valuation combines a 5x multiple on fiscal 2027 EPS and a discounted cash flow analysis. Identified risks include integration execution, macro-sensitive consumer spending, and intense competition.