.jpg "Total System Services (NYSE: TSS)")
In a report released yesterday, Glenn Greene from Oppenheimer maintained a Buy rating on Total System Services (TSS), with a price target of $110. The company’s shares closed yesterday at $102.24, close to its 52-week high of $102.67.
Greene noted:
“TSS reported mixed 1Q results with net revenue growth of ~5.6% in CC% Y/Y reflecting ~4% CC Issuer growth (300bps Q/Q deceleration) and 8% organic Merchant growth. EPS of $1.20 beat our expectations by $0.04 and benefited from strong margin performance and a low tax rate. TSS maintained its FY19 outlook, which anticipates 5-7% net revenue growth (includes 50bps FX and ~100bps net CFPB headwinds) and EPS of $4.75-4.90, or 6-10% EPS growth (reflects ~250bps CFPB drag). Although revenue disappointed, TSS had a healthy client signing/renewal quarter, and appears to still retain a robust Issuer pipeline. Shares trade at ~18.5x our FY20E EPS and appear attractive. Maintain Outperform rating and $110 price target.”
According to TipRanks.com, Greene is a top 25 analyst with an average return of 20.1% and a 85.6% success rate. Greene covers the Technology sector, focusing on stocks such as Jack Henry & Associates, Fidelity National Info, and Global Payments Inc.
Total System Services has an analyst consensus of Moderate Buy, with a price target consensus of $106, implying a 3.7% upside from current levels. In a report issued on April 17, Goldman Sachs also upgraded the stock to Buy with a $115 price target.
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Total System Services’ market cap is currently $18.2B and has a P/E ratio of 32.59. The company has a Price to Book ratio of 7.14.
Based on the recent corporate insider activity of 55 insiders, corporate insider sentiment is negative on the stock. Last month, Patricia Watson, the Senior EVP and CIO of TSS sold 37,519 shares for a total of $3,518,637.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
Total System Services, Inc. provides electronic payment processing services to banks and other financial institutions. It operates through the following segments: Issuer Solutions, Merchant Solutions and Consumer Solutions.
