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Visa (V) Gains But Lags Market: What You Should Know
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In the latest trading session, Visa (V - Free Report) closed at $206.63, marking a +0.7% move from the previous day. The stock lagged the S&P 500's daily gain of 1.06%. At the same time, the Dow added 0.71%, and the tech-heavy Nasdaq gained 0.09%.
Coming into today, shares of the global payments processor had lost 2.9% in the past month. In that same time, the Business Services sector lost 3.38%, while the S&P 500 lost 1.14%.
Wall Street will be looking for positivity from Visa as it approaches its next earnings report date. On that day, Visa is projected to report earnings of $1.87 per share, which would represent year-over-year growth of 15.43%. Our most recent consensus estimate is calling for quarterly revenue of $7.58 billion, up 15.63% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.41 per share and revenue of $29.08 billion, which would represent changes of +25.38% and +20.63%, respectively, from the prior year.
Any recent changes to analyst estimates for Visa should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.09% higher. Visa is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Visa's current valuation metrics, including its Forward P/E ratio of 27.69. This valuation marks a premium compared to its industry's average Forward P/E of 17.2.
Also, we should mention that V has a PEG ratio of 1.66. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial Transaction Services was holding an average PEG ratio of 1.1 at yesterday's closing price.
The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 172, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Visa (V) Gains But Lags Market: What You Should Know
In the latest trading session, Visa (V - Free Report) closed at $206.63, marking a +0.7% move from the previous day. The stock lagged the S&P 500's daily gain of 1.06%. At the same time, the Dow added 0.71%, and the tech-heavy Nasdaq gained 0.09%.
Coming into today, shares of the global payments processor had lost 2.9% in the past month. In that same time, the Business Services sector lost 3.38%, while the S&P 500 lost 1.14%.
Wall Street will be looking for positivity from Visa as it approaches its next earnings report date. On that day, Visa is projected to report earnings of $1.87 per share, which would represent year-over-year growth of 15.43%. Our most recent consensus estimate is calling for quarterly revenue of $7.58 billion, up 15.63% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.41 per share and revenue of $29.08 billion, which would represent changes of +25.38% and +20.63%, respectively, from the prior year.
Any recent changes to analyst estimates for Visa should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.09% higher. Visa is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Visa's current valuation metrics, including its Forward P/E ratio of 27.69. This valuation marks a premium compared to its industry's average Forward P/E of 17.2.
Also, we should mention that V has a PEG ratio of 1.66. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial Transaction Services was holding an average PEG ratio of 1.1 at yesterday's closing price.
The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 172, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.