We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Western Union (WU) Stock Declines While Market Improves: Some Information for Investors
Read MoreHide Full Article
Western Union (WU - Free Report) ended the recent trading session at $11.93, demonstrating a -1.89% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.42%. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.38%.
Prior to today's trading, shares of the money transfer company had lost 0.33% over the past month. This has lagged the Business Services sector's gain of 4.34% and the S&P 500's gain of 2.06% in that time.
The upcoming earnings release of Western Union will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.44, reflecting a 2.33% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $1.03 billion, reflecting a 5.91% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.77 per share and revenue of $4.18 billion, indicating changes of +1.72% and -4.08%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Western Union. 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. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Western Union is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, Western Union is presently trading at a Forward P/E ratio of 6.89. Its industry sports an average Forward P/E of 16.4, so one might conclude that Western Union is trading at a discount comparatively.
Also, we should mention that WU has a PEG ratio of 1.82. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial Transaction Services industry had an average PEG ratio of 1.28 as trading concluded yesterday.
The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 62, this industry ranks in the top 25% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Western Union (WU) Stock Declines While Market Improves: Some Information for Investors
Western Union (WU - Free Report) ended the recent trading session at $11.93, demonstrating a -1.89% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.42%. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.38%.
Prior to today's trading, shares of the money transfer company had lost 0.33% over the past month. This has lagged the Business Services sector's gain of 4.34% and the S&P 500's gain of 2.06% in that time.
The upcoming earnings release of Western Union will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.44, reflecting a 2.33% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $1.03 billion, reflecting a 5.91% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.77 per share and revenue of $4.18 billion, indicating changes of +1.72% and -4.08%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Western Union. 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. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Western Union is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, Western Union is presently trading at a Forward P/E ratio of 6.89. Its industry sports an average Forward P/E of 16.4, so one might conclude that Western Union is trading at a discount comparatively.
Also, we should mention that WU has a PEG ratio of 1.82. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial Transaction Services industry had an average PEG ratio of 1.28 as trading concluded yesterday.
The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 62, this industry ranks in the top 25% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.