Analyst Trevor Williams of Jefferies maintained a Buy rating on Corpay Inc (CPAY – Research Report), retaining the price target of $375.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Trevor Williams’s rating is based on Corpay Inc’s strategic financial maneuvers and potential growth opportunities. The company has a significant investment in AVDX, with an option to fully acquire it by 2028, which could enhance its market position and drive future growth. This potential acquisition, valued at approximately $4 billion, demonstrates Corpay’s commitment to expanding its influence in the payments sector.
Additionally, the involvement of Mastercard as a minority investor adds another layer of financial stability and growth potential. The structured agreements with both AVDX and Mastercard, including the call option and repurchase agreements, are designed to secure favorable returns and protect Corpay’s investments. These strategic decisions indicate a promising outlook for Corpay, justifying the Buy rating given by Trevor Williams.
In another report released on May 12, Barclays also maintained a Buy rating on the stock with a $400.00 price target.