Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Global Payments Inc. (0IW7.L)

Company Dividend Discount ModelIndustry: Software - ServicesSector: Technology

Valuation Snapshot

Stable Growth$217.23 - $924.30$375.67
Multi-Stage$132.53 - $144.98$138.64
Blended Fair Value$257.15
Current Price$83.08
Upside209.53%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162016
DPS23.86%47.07%1.031.061.111.060.950.350.030.030.020.02
YoY Growth---2.93%-4.94%5.48%11.37%168.87%1,269.84%-5.94%13.99%8.59%1.85%
Dividend Yield--1.05%0.81%1.06%0.77%0.47%0.24%0.02%0.02%0.03%0.03%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)1,749.76
(-) Cash Dividends Paid (M)241.80
(=) Cash Retained (M)1,507.96
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)349.95218.72131.23
Cash Retained (M)1,507.961,507.961,507.96
(-) Cash Required (M)-349.95-218.72-131.23
(=) Excess Retained (M)1,158.011,289.241,376.73
(/) Shares Outstanding (M)245.80245.80245.80
(=) Excess Retained per Share4.715.255.60
LTM Dividend per Share0.980.980.98
(+) Excess Retained per Share4.715.255.60
(=) Adjusted Dividend5.706.236.58
WACC / Discount Rate8.27%8.27%8.27%
Growth Rate5.50%6.50%7.50%
Fair Value$217.23$375.67$924.30
Upside / Downside161.47%352.18%1,012.55%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,749.761,863.491,984.622,113.622,251.002,397.322,469.24
Payout Ratio13.82%29.06%44.29%59.53%74.76%90.00%92.50%
Projected Dividends (M)241.80541.44879.011,258.181,682.932,157.592,284.04

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.27%8.27%8.27%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)495.41500.10504.80
Year 2 PV (M)735.90749.92764.06
Year 3 PV (M)963.78991.451,019.64
Year 4 PV (M)1,179.541,224.901,271.56
Year 5 PV (M)1,383.651,450.481,519.86
PV of Terminal Value (M)27,815.9229,159.4430,554.38
Equity Value (M)32,574.2034,076.2935,634.31
Shares Outstanding (M)245.80245.80245.80
Fair Value$132.53$138.64$144.98
Upside / Downside59.52%66.87%74.50%

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