Guru Ken Fisher (Trades, Portfolio) sold out his stake in Heartland Payment Systems (HPY, Financial) in the first quarter.
Heartland Payment Systems was incorporated in 2000 in the state of Delaware. The company provides Card Payment Processing services to merchants in the U.S. and provides end-to-end electronic payment processing services to merchants. The company primarily focuses their business on secure payments for the restaurant, lodging and hospitality, education, and Petroleum/C store industries. As of December 2015, Heartland Payment Systems employs 4,272 full time employees across the U.S.
Heartland Payment Systems has a market cap of $3.81 billion, a P/E ratio of 45.41, an enterprise value of $4.24 billion, a P/B ratio of 11.34 and a dividend yield of 0.39.
Heartland Payment Systems has a few medium warning signs according to GuruFocus. The company dividend yield is close to a three-year low at 0.39. During the previous 13 years, the company dividend yield was the highest at 7.32% and the lowest was 0.09%. Heartland Payment Systems price is close to a 10-year high, which may have influenced Ken Fisher (Trades, Portfolio)'s decision to sell out of the company. The company has also been issuing new debt. In the past three years, the company has issued $323.369 million of debt.
Below is a Peter Lynch Chart for Heartland Payment Systems.
It is possible that Fisher sold out his holdings in Heartland Payment Systems because he entered his position in the first quarter of 2014, purchasing 1,748,920 shares of the company at an average price of $43.96. In the first quarter of 2016, Fisher sold out his remaining 1,226,974 shares of Heartland Payment Systems at an average price of $92.09, which is a significant return for his investment in the company over the previous two years.
Cheers to your investment success.
Disclosure: Author does not own any shares of this stock.
