Corpay Inc (CPAY) AI Stock Analysis

• Market Cap: $22.00B
• Dividend Yield: N/A
• Average Volume (3M): 484.43K
• Price to Earnings (P/E): 21.3
• Beta (1Y): 1.24
• Revenue Growth: 9.22%
• EPS Growth: 6.60%
• Country: US
• Employees: 11,200
• Sector: Technology
• Sector Strength: 83
• Industry: Software - Infrastructure
• EPS (TTM): 5.13
• Shares Outstanding: 70,614,380
• 10 Day Avg. Volume: 354,636
• 30 Day Avg. Volume: 484,434
• PEG Ratio: 3.74
• Price to Book (P/B): 7.62
• Price to Sales (P/S): 5.99
• P/FCF Ratio: 13.48
• Enterprise Value/Market Cap: 1.20
• Enterprise Value/Revenue: 6.31
• Enterprise Value/Gross Profit: 8.08
• Enterprise Value/Ebitda: 11.85
• 1Y Price Target: $384.67
• Price Target Upside: 26.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 77 Outperform
• Price Target: $361.00 ▲(18.44% Upside)

Corpay Inc's overall stock score reflects its strong financial performance and positive earnings call sentiment. While technical analysis shows mixed signals, the company's strategic initiatives and valuation provide a balanced outlook. The high debt-to-equity ratio and challenges in specific segments are areas to monitor.

Corpay Inc Business Overview & Revenue Model

Company Description

Corpay, Inc. operates as a payments company that helps businesses and consumers manage vehicle-related expenses, lodging expenses, and corporate payments in the United States, Brazil, the United Kingdom, and internationally. The company offers vehicle payment solutions, which include fuel, tolls, parking, fleet maintenance, and long-haul transportation services, as well as prepaid food and transportation vouchers and cards. It also provides corporate payment solutions consisting of accounts payable automation; virtual cards, cross-border solutions; and purchasing and travel and entertainment card products, as well as lodging payments solutions for employees who travel overnight for work purposes; traveling crews and stranded passengers from airlines and cruise lines; and insurance policyholders displaced from their homes due to damage or catastrophe. In addition, the company offers gifts and payroll cards. It serves business, merchant, consumer, and payment network customers. The company was formerly known as FLEETCOR Technologies, Inc. and changed its name to Corpay, Inc. in March 2024. Corpay, Inc. was founded in 1986 and is headquartered in Atlanta, Georgia.

How the Company Makes Money

Corpay generates revenue through various streams, primarily by charging fees for its payment processing services, which include transaction fees based on the volume and value of payments processed. Additionally, the company earns income from foreign exchange transactions, where it facilitates currency conversion for businesses engaged in international trade, often taking a margin on the exchange rate. Corpay also monetizes its spend management solutions through subscription fees and value-added services that help businesses manage their expenses and cash flow more efficiently. Key partnerships with banks and financial institutions enhance Corpay's service offerings, allowing the company to expand its market reach and increase its earnings potential.

Corpay Inc Financial Statement Overview

Summary

Corpay Inc demonstrates strong financial health with consistent revenue and profit growth, efficient operations, and robust cash flow generation. However, the high debt-to-equity ratio remains a concern despite improvements.

Income Statement

Corpay Inc has demonstrated consistent revenue growth, with a TTM growth rate of 3.12% and strong profitability metrics. The gross profit margin remains robust at 75.93%, and the net profit margin is healthy at 25.17%. EBIT and EBITDA margins are also strong, indicating efficient operations. However, the slight decline in gross profit margin compared to previous periods suggests potential cost pressures.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 1.65, indicating significant leverage, although it has improved from previous periods. Return on equity is strong at 30.89%, reflecting effective use of equity capital. The equity ratio is moderate, suggesting a balanced asset structure but with room for improvement in reducing leverage.

Cash Flow

Corpay Inc's cash flow performance is solid, with a significant free cash flow growth rate of 44.17% in the TTM period. The operating cash flow to net income ratio is stable, and the free cash flow to net income ratio is high at 91.15%, indicating strong cash generation relative to earnings. However, the operating cash flow coverage ratio is relatively low, suggesting potential constraints in covering liabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.17B	3.97B	3.76B	3.43B	2.83B	2.39B
Gross Profit	3.26B	3.11B	2.94B	2.66B	2.27B	1.79B
EBITDA	2.22B	2.12B	2.01B	1.76B	1.51B	1.27B
Net Income	1.05B	1.00B	981.89M	954.33M	839.50M	704.22M
Balance Sheet
Total Assets	20.44B	17.96B	15.48B	14.09B	13.40B	11.19B
Cash, Cash Equivalents and Short-Term Investments	2.19B	1.55B	1.39B	1.44B	1.52B	934.90M
Total Debt	8.12B	8.00B	6.72B	7.04B	5.98B	4.30B
Total Liabilities	16.47B	14.81B	12.19B	11.55B	10.54B	7.84B
Stockholders Equity	3.93B	3.12B	3.28B	2.54B	2.87B	3.36B
Cash Flow
Free Cash Flow	1.93B	1.77B	1.95B	603.37M	1.09B	1.39B
Operating Cash Flow	2.12B	1.94B	2.10B	754.80M	1.20B	1.47B
Investing Cash Flow	-883.50M	-807.48M	-380.72M	-368.35M	-715.93M	-106.25M
Financing Cash Flow	722.58M	404.99M	-898.21M	-311.23M	343.93M	-1.42B

Corpay Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 304.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CPAY, the sentiment is Negative. The current price of 304.8 is below the 20-day moving average (MA) of 319.20, below the 50-day MA of 323.69, and below the 200-day MA of 340.91, indicating a bearish trend. The MACD of -2.72 indicates Positive momentum. The RSI at 36.73 is Neutral, neither overbought nor oversold. The STOCH value of 15.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CPAY.

Corpay Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPAY	77 Outperform	$22.00B	21.28	31.43%	―	9.22%	6.60%
WEX	77 Outperform	$5.91B	21.81	22.19%	―	-1.62%	36.57%
PAYO	75 Outperform	$2.44B	25.86	13.86%	―	13.02%	-2.57%
FOUR	73 Outperform	$7.72B	32.33	19.00%	―	23.86%	79.35%
TOST	73 Outperform	$23.76B	119.34	14.51%	―	26.11%	―
EEFT	68 Neutral	$3.71B	12.49	25.94%	―	8.71%	25.75%
Sector *	61 Neutral	$35.83B	9.00	-10.39%	1.87%	8.46%	-7.85%

Corpay Inc Corporate Events

Corpay Inc Reports Strong Q2 2025 Financial Results

Corpay, Inc. reported a 13% increase in revenue and adjusted EPS growth for the second quarter of 2025, with significant contributions from its Corporate Payments segment. The company announced the acquisition of Alpha Group and partnerships in the stablecoin sector, indicating strategic expansion and positioning in the digital currency market. The financial results surpassed expectations, prompting an upward revision of the fiscal year 2025 outlook, highlighting strong sales performance and improved foreign currency rates.

Corpay Inc Announces Acquisition of Alpha Group

On July 23, 2025, Corpay, Inc. announced its intention to acquire Alpha Group International plc, a leading provider of B2B cross-border FX solutions in the UK and Europe, for approximately £1.6 billion. The acquisition, expected to close in the fourth quarter of 2025, will be executed through a court-sanctioned scheme of arrangement and is anticipated to enhance Corpay’s relationships with investment managers and expand its customer segments. The transaction is expected to be accretive to Corpay’s earnings per share by 2026 and will be financed through a combination of cash, debt, and other financial strategies.

Corpay Inc Holds Annual Shareholder Meeting

On June 11, 2025, Corpay Inc held its Annual Meeting where shareholders voted on several key matters. The election of eleven directors saw varying levels of support, with Jeffrey S. Sloan receiving the highest number of votes in favor. Additionally, Ernst & Young LLP was reappointed as the independent public accounting firm for 2025. A shareholder proposal for an independent Board chair was rejected, and the advisory vote on executive compensation showed a divided opinion among shareholders.

Corpay Inc Appoints Peter Walker as New CFO

On June 10, 2025, Corpay, Inc. announced the appointment of Peter Walker as Chief Financial Officer, effective July 21, 2025. Peter Walker, who previously served as CFO at Instructure Holdings, brings a wealth of experience from various financial leadership roles. His appointment is expected to enhance Corpay’s business operations and strategic financial management. Interim CFO Alissa Vickery will return to her role as Chief Accounting Officer following Walker’s appointment.