Corpay Inc (CPAY, Financial) has recently garnered attention from the investment community, showcasing a solid financial profile that has piqued the interest of both investors and analysts. With a current share price of $314.11, Corpay Inc has enjoyed a daily increase of 1.21%, alongside a notable three-month appreciation of 12.41%. An in-depth evaluation, anchored by the GF Score, positions Corpay Inc for significant growth, hinting at a bright future ahead.
What Is the GF Score?
The GF Score is a proprietary ranking system from GuruFocus, which evaluates stocks based on five key aspects of valuation. These aspects have shown a strong correlation with long-term stock performance from 2006 to 2021. Stocks with higher GF Scores typically yield better returns than those with lower scores, making the GF Score a valuable tool for investors seeking high-performing investments. The GF Score ranges from 0 to 100, with 100 indicating the highest potential for outperformance.
- Financial strength rank: 5/10
- Profitability rank: 9/10
- Growth rank: 10/10
- GF Value rank: 6/10
- Momentum rank: 10/10
Each component of the GF Score is individually ranked, with each rank positively correlating with long-term stock performance. After evaluating these components, GuruFocus has awarded Corpay Inc a GF Score of 94 out of 100, indicating a strong potential for market outperformance.
Understanding Corpay Inc's Business
Corpay Inc is a global S&P 500 company specializing in corporate payments, with a market capitalization of $22.57 billion and sales of $3.76 billion. The company boasts an impressive operating margin of 44.09%, reflecting its efficiency in managing expenses and generating profits. Corpay Inc's innovative payment solutions cater to a wide range of business needs, including vehicle-related expenses, travel costs, and vendor payments, which help customers save both time and money.
Profitability Rank Breakdown
The Profitability Rank of Corpay Inc is a testament to its superior ability to generate profits compared to its industry counterparts. This rank is further bolstered by the Piotroski F-Score, which evaluates the company's financial health across nine criteria, indicating strong profitability, funding, and operational efficiency. Additionally, Corpay Inc's Predictability Rank of 4.0 stars out of five highlights its consistent operational performance, instilling greater confidence in investors.
Growth Rank Breakdown
Corpay Inc's high Growth Rank reflects its dedication to business expansion. The company's 3-Year Revenue Growth Rate of 22.4% surpasses 77.97% of companies in the Software industry. Corpay Inc's EBITDA has also seen significant growth, with a three-year growth rate of 22.7 and a five-year rate of 11.1, underscoring the company's ability to sustain growth.
Next Steps
Considering Corpay Inc's robust financial strength, exceptional profitability, and impressive growth metrics, the GF Score highlights the company's prime position for potential outperformance. Investors seeking similar opportunities can explore more companies with strong GF Scores using the GF Score Screen provided by GuruFocus Premium.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
