Cashing in on Global Payments

Global Payments Inc. (GPN) provides electronic transaction processing services around the globe. It processes credit and debit cards; gift cards; and electronic check conversion and check guarantee, verification, and recovery, including electronic check services, as well as terminal management.

[PostStockWidget stock_valuation="" pricetype="live" manual_date="Dec. 21, 2012, 2:04pm GMT" symbolcodes="'GPN'" symbolprices="107" div_align="right"]

• We bought this back office processor in September 2012 at $43.

• At the time the shares traded at 12X earnings, today the shares trade at 18X earnings. We raised our targets a few times as earnings improved and now we believe that the shares are reasonably valued.

• New valuation range: Low valuation $56.00, high valuation $72.00

• HIGH VALUATION IN GLOBAL PAYMENTS AT $USD 71.95 (GPN $71.68) FULL POSITION

• This trade including dividends TOTAL RETURN: +67.6%