WallStSmart

Global Payments Inc (GPN)vsRentokil Initial PLC (RTO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Global Payments Inc generates 28% more annual revenue ($8.86B vs $6.91B). RTO leads profitability with a 6.8% profit margin vs -8.0%. GPN appears more attractively valued with a PEG of 0.19. RTO earns a higher WallStSmart Score of 60/100 (C).

GPN

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 3.5Value: 8.7Quality: 4.5
Piotroski: 4/9Altman Z: 1.02

RTO

Buy

60

out of 100

Grade: C

Growth: 8.7Profit: 6.0Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 2.05
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GPNUndervalued (+40.6%)

Margin of Safety

+40.6%

Fair Value

$121.53

Current Price

$65.09

$56.44 discount

UndervaluedFair: $121.53Overvalued
RTOSignificantly Overvalued (-27.1%)

Margin of Safety

-27.1%

Fair Value

$25.56

Current Price

$28.50

$2.94 premium

UndervaluedFair: $25.56Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GPN3 strengths · Avg: 10.0/10
PEG RatioValuation
0.1910/10

Growing faster than its price suggests

Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
63.1%10/10

Revenue surging 63.1% year-over-year

RTO3 strengths · Avg: 8.7/10
EPS GrowthGrowth
95.2%10/10

Earnings expanding 95.2% YoY

PEG RatioValuation
0.898/10

Growing faster than its price suggests

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Areas to Watch

GPN4 concerns · Avg: 2.0/10
Return on EquityProfitability
-3.0%2/10

ROE of -3.0% — below average capital efficiency

EPS GrowthGrowth
-59.2%2/10

Earnings declined 59.2%

Free Cash FlowQuality
$-550.16M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
1.022/10

Distress zone — elevated risk

RTO3 concerns · Avg: 2.7/10
Profit MarginProfitability
6.8%3/10

6.8% margin — thin

Debt/EquityHealth
1.123/10

Elevated debt levels

P/E RatioValuation
53.0x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : GPN

The strongest argument for GPN centers on PEG Ratio, Price/Book, Revenue Growth. Revenue growth of 63.1% demonstrates continued momentum. PEG of 0.19 suggests the stock is reasonably priced for its growth.

Bull Case : RTO

The strongest argument for RTO centers on EPS Growth, PEG Ratio, Price/Book. PEG of 0.89 suggests the stock is reasonably priced for its growth.

Bear Case : GPN

The primary concerns for GPN are Return on Equity, EPS Growth, Free Cash Flow.

Bear Case : RTO

The primary concerns for RTO are Profit Margin, Debt/Equity, P/E Ratio. A P/E of 53.0x leaves little room for execution misses.

Key Dynamics to Monitor

GPN profiles as a hypergrowth stock while RTO is a value play — different risk/reward profiles.

GPN carries more volatility with a beta of 0.77 — expect wider price swings.

GPN is growing revenue faster at 63.1% — sustainability is the question.

RTO generates stronger free cash flow (401M), providing more financial flexibility.

Bottom Line

RTO scores higher overall (60/100 vs 59/100). GPN offers better value entry with a 40.6% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Global Payments Inc

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

Global Payments Inc. is an American company providing financial technology services globally headquartered in Atlanta, Georgia.

Visit Website →

Rentokil Initial PLC

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

Rentokil Initial plc offers route-based services in North America, the UK, the rest of Europe, Asia, the Pacific and internationally. The company is headquartered in Crawley, the United Kingdom.

Want to dig deeper into these stocks?