8 Best Stocks to Buy for High Returns in 2024

5. Global Payments Inc. (NYSE:GPN)

Average Analyst Upside: 38.00%

Number of Hedge Fund Holders: 66

Global Payments Inc. (NYSE:GPN), a U.S.-based fintech company, delivers payment technology and software solutions across a vast global network of 4.6 million merchant accounts, 4,000 tech partners, and 1,500 financial institutions across more than 100 industries.

At its 2024 Investor Conference, Global Payments Inc. (NYSE:GPN) outlined its strategy for operational transformation and long-term value creation, including potential divestitures worth $500 million to $600 million in annual revenue to streamline operations and enhance profitability.

Moreover, the company reported solid Q2 2024 results, with GAAP revenue reaching $2.57 billion—a 5% year-over-year increase—and GAAP diluted earnings per share (EPS) rising 40% to $1.47.

On October 15, Baird reaffirmed its Outperform rating on Global Payments Inc. (NYSE:GPN) with a $150 price target. The firm expects Q3 EPS to meet projections, with a potential modest slowdown in the Merchant segment. However, currency exchange rates may provide a slight advantage. Baird also highlighted that future stock buybacks could be significant once Global Payments Inc. (NYSE:GPN) achieves a better leverage position.

As of Q2 2024, Insider Monkey’s database showed that 66 hedge funds held stakes in Global Payments Inc. (NYSE:GPN).

Parnassus Investments stated the following regarding Global Payments Inc. (NYSE:GPN) in its Q2 2024 investor letter:

“Global Payments Inc. (NYSE:GPN) stock fell on investor fears that a slowing economy could weigh on payment processing companies. The company will host an investor day focused on improving efficiencies and strategic redeployment of assets in the fall, which we believe will unlock hidden value in the undervalued shares.”