Corpay Inc (CPAY, Financial) has recently captured the attention of investors and financial analysts, thanks to its strong financial performance and promising growth prospects. With a current share price of $332.49 and a daily gain of 0.45%, Corpay Inc has shown a significant three-month change of 22.38%. A detailed analysis, supported by the GF Score, indicates that Corpay Inc is poised for substantial growth, making it a compelling choice for investors.
What Is the GF Score?
The GF Score is a proprietary stock performance ranking system developed by GuruFocus. It evaluates stocks based on five key aspects: financial strength, profitability, growth, GF Value, and momentum. These aspects are weighted differently to calculate a total score, which ranges from 0 to 100, with 100 indicating the highest potential for outperformance. By backtesting from 2006 to 2021, stocks with higher GF Scores have generally yielded higher returns.
- Financial strength rank: 5/10
- Profitability rank: 9/10
- Growth rank: 10/10
- GF Value rank: 6/10
- Momentum rank: 8/10
With a GF Score of 93 out of 100, Corpay Inc demonstrates a high potential for market outperformance, driven by its exceptional growth and profitability metrics.
Understanding Corpay Inc's Business
Corpay Inc is a global leader in corporate payments, part of the S&P 500, with a market capitalization of $23.09 billion and annual sales of $3.82 billion. The company boasts an impressive operating margin of 44.51%. It provides modern payment solutions that help businesses and consumers manage expenses efficiently, covering vehicle-related costs, travel expenses, and vendor payments. This operational efficiency not only saves time for its customers but also reduces their spending.
Profitability and Growth Metrics
Corpay Inc's high Profitability Rank reflects its superior ability to generate profits compared to its peers. Additionally, the company's Piotroski F-Score indicates a robust financial state, further supported by a strong Predictability Rank of 4.0 stars, which enhances investor confidence in its consistent operational performance.
Corpay Inc is also distinguished by its remarkable growth. It has a Growth Rank of 10/10, with a 3-Year Revenue Growth Rate of 22.4%, outperforming 77.02% of companies in the Software industry. The company's EBITDA has also seen significant increases, with a three-year growth rate of 22.7% and a five-year rate of 11.1%.
Conclusion
Considering Corpay Inc's robust financial strength, impressive profitability, and consistent growth metrics, the GF Score highlights the company's unparalleled position for potential outperformance. Investors looking for similar opportunities can explore more companies with strong GF Scores using the GF Score Screen.
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.
