Global Payments: Why I Am Not Buying At A Forward P/E Of ~6x

Global Payments shares fell about 12% after Clayton Dubilier & Rice and GTCR stopped pursuing a deal to take the company private. The stock is trading at roughly six times forward earnings, but an analyst argues that the low valuation alone is not enough to make it attractive without a separate catalyst for a rebound. The company reported net leverage of 3.4 times in the third quarter and targets three times by the end of 2027.