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MasterCard (MA) Increases Despite Market Slip: Here's What You Need to Know
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MasterCard (MA - Free Report) closed at $479.43 in the latest trading session, marking a +0.22% move from the prior day. This move outpaced the S&P 500's daily loss of 0.72%. Elsewhere, the Dow saw a downswing of 1%, while the tech-heavy Nasdaq depreciated by 0.95%.
The processor of debit and credit card payments's stock has climbed by 2.12% in the past month, exceeding the Business Services sector's loss of 0.92% and lagging the S&P 500's gain of 2.16%.
Analysts and investors alike will be keeping a close eye on the performance of MasterCard in its upcoming earnings disclosure. The company is expected to report EPS of $3.22, up 15% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $6.34 billion, showing a 10.23% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $14.35 per share and revenue of $28.12 billion, indicating changes of +17.05% and +12.05%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for MasterCard. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.1% lower within the past month. Currently, MasterCard is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, MasterCard is presently being traded at a Forward P/E ratio of 33.34. This expresses a premium compared to the average Forward P/E of 15.12 of its industry.
Meanwhile, MA's PEG ratio is currently 1.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Financial Transaction Services industry currently had an average PEG ratio of 1.24 as of yesterday's close.
The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 40, which puts it in the top 16% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MA in the coming trading sessions, be sure to utilize Zacks.com.
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MasterCard (MA) Increases Despite Market Slip: Here's What You Need to Know
MasterCard (MA - Free Report) closed at $479.43 in the latest trading session, marking a +0.22% move from the prior day. This move outpaced the S&P 500's daily loss of 0.72%. Elsewhere, the Dow saw a downswing of 1%, while the tech-heavy Nasdaq depreciated by 0.95%.
The processor of debit and credit card payments's stock has climbed by 2.12% in the past month, exceeding the Business Services sector's loss of 0.92% and lagging the S&P 500's gain of 2.16%.
Analysts and investors alike will be keeping a close eye on the performance of MasterCard in its upcoming earnings disclosure. The company is expected to report EPS of $3.22, up 15% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $6.34 billion, showing a 10.23% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $14.35 per share and revenue of $28.12 billion, indicating changes of +17.05% and +12.05%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for MasterCard. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.1% lower within the past month. Currently, MasterCard is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, MasterCard is presently being traded at a Forward P/E ratio of 33.34. This expresses a premium compared to the average Forward P/E of 15.12 of its industry.
Meanwhile, MA's PEG ratio is currently 1.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Financial Transaction Services industry currently had an average PEG ratio of 1.24 as of yesterday's close.
The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 40, which puts it in the top 16% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MA in the coming trading sessions, be sure to utilize Zacks.com.