Corpay (CPAY): Assessing Valuation as New Partnerships Expand Global Payment Reach

Corpay (NYSE:CPAY) recently made headlines with two strategic moves: a fresh multi-year extension as SailGP’s Official Foreign Exchange Payments Supplier and a new partnership with NCR Voyix for fleet card acceptance at thousands of fuel stations.

See our latest analysis for Corpay.

Corpay has been busy making moves, not just with high-profile partnerships but also by wrapping up the AvidXchange acquisition and nearing the close of its Alpha Group International deal. While the share price has pulled back 16% year-to-date and is down nearly 8% in the last month, the company’s momentum over the long term remains impressive. The three-year total shareholder return of 67% reflects both past strength and investors reassessing the recent flurry of activity.

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With shares now trading well below recent highs and analyst price targets implying significant upside, investors have to wonder if Corpay is being overlooked as a value play or if the market is already building in the company’s future growth.

Most Popular Narrative: 23.8% Undervalued

Corpay’s current price of $285.46 sits significantly below the narrative’s fair value estimate of $374.64, suggesting the gap seen by analysts is sizeable. This difference reflects strong confidence in Corpay's earnings trajectory as the company continues to expand its role across global payment ecosystems.

Corpay's rapid expansion of its international cross-border platform, including product launches like the multicurrency account (MCA), extension of services to new customer verticals (FIs, asset managers, digital asset providers), and accretive acquisitions (e.g., Alpha, GPS) positions the company to capitalize on growing global commerce and cross-border payment flows. This supports sustained revenue growth and increases the company's long-term earnings power.

Read the complete narrative.

Want to unravel the math driving this high valuation? The secret lies in aggressive revenue scaling, margin upgrades, and transformative moves that could redefine Corpay’s industry standing. Eager to discover the exact projections behind the optimism? The full narrative has all the details.

Result: Fair Value of $374.64 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, growing competition and evolving regulations could threaten Corpay’s current growth path. This has prompted investors to question whether the bullish narrative will play out.

Find out about the key risks to this Corpay narrative.

Build Your Own Corpay Narrative

If this analysis doesn't quite fit your view or you're someone who trusts your own homework, you can craft a custom narrative in just a few minutes. So why not Do it your way

A great starting point for your Corpay research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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