Mizuho raises Global Payments stock price target on promising Genius POS trends

Published 08/08/2025, 12:56
Mizuho raises Global Payments stock price target on promising Genius POS trends

Investing.com - Mizuho (NYSE:MFG) raised its price target on Global Payments (NYSE:GPN) to $118.00 from $114.00 on Friday, while maintaining an Outperform rating on the stock. Currently trading at $82.02, InvestingPro analysis indicates the stock is significantly undervalued, with 15 analysts recently revising their earnings estimates upward.

The price target increase follows what Mizuho described as a "solid" second quarter for Global Payments, noting that management is "off to a great start to its transformation journey." The company’s strong performance is reflected in its 15.51% revenue growth and healthy gross profit margin of 62.9%.

Mizuho highlighted promising early trends for the Genius Point of Sale (POS) system, which the firm believes "could be a differentiating factor down the road" for the payment processing company.

The firm updated its proprietary Global Payments/Worldpay pro forma model to reflect increased cost synergy targets, which have been raised to $650 million run-rate from the previous $600 million.

Mizuho also factored in approximately $1 billion of incremental capital returns, including $500 million from a payroll sale and $500 million from President Trump’s One Big Beautiful Bill Act, resulting in a roughly 3% increase to the firm’s 2027 estimated pro forma earnings per share.

In other recent news, Global Payments has seen several adjustments to its stock price targets following its latest earnings report. Raymond (NSE:RYMD) James raised its price target to $100, noting that the company’s second-quarter earnings exceeded analyst expectations by about 1%, with revenue meeting Street estimates. Jefferies increased its target to $85, citing organic growth and improved margins as contributing factors. RBC Capital also raised its target to $93, highlighting the momentum in Global Payments’ transformation plans, particularly the rollout of its Genius POS brand. Keefe, Bruyette & Woods adjusted their target to $87, pointing to stabilization in business trends and early momentum in the Genius platform. Meanwhile, Truist Securities maintained its Hold rating with an $83 price target, acknowledging the company’s focus on the Genius POS system and capital management priorities. These developments reflect a positive response from analysts to Global Payments’ recent financial performance and strategic initiatives.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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