Robert Freedland

Global Payments Rated a Hold

Veni,

Thank you for your comment. Silly? Perhaps. I try to be entertaining as well as informative. In this particular entry drawn from my blog, I have tried to convey the why of my own particular sale, and how it affects my idiosyncratic portfolio management strategy.

I do think these thoughts are valuable but perhaps taken out of the context of the rest of my entries may sound silly. I apologize if I have offended your sensibilities.

Global Payments Rated a Buy

From the Seeking Alpha transcript of the earnings report
(seekingalpha.com/artic...)
"Moving on to the balance sheet, our reported cash was $288 million at the end of August. Despite the current economic environment and the credit issues other companies have experienced, we believe that we are in a position of significant financial strength. We expect to easily meet the repayment obligations on our five-year term loan using internally-generated cash flow and we have an uncapped $350 million line of credit with a group of stable commercial banks."

Will this be enough? Will the banks truly have that credit available? Will other events affect the accessability to credit for this company?

These are great questions and I certainly don't have the answers. It appears that there are no places that are safe to avoid the current correction. Hopefully I shall be able to hold my GPN stock long enough to tell you that it was a good idea.

What are your thoughts?