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MasterCard (MA) Beats Stock Market Upswing: What Investors Need to Know
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In the latest market close, MasterCard (MA - Free Report) reached $506.66, with a +0.88% movement compared to the previous day. The stock outpaced the S&P 500's daily gain of 0.77%. Elsewhere, the Dow saw an upswing of 0.47%, while the tech-heavy Nasdaq appreciated by 0.87%.
The processor of debit and credit card payments's stock has climbed by 1.8% in the past month, falling short of the Business Services sector's gain of 3.7% and the S&P 500's gain of 4.87%.
The investment community will be closely monitoring the performance of MasterCard in its forthcoming earnings report. It is anticipated that the company will report an EPS of $3.72, marking a 9.73% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.24 billion, up 10.88% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $14.30 per share and revenue of $27.92 billion. These totals would mark changes of +16.64% and +11.25%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for MasterCard. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.04% upward. Right now, MasterCard possesses a Zacks Rank of #2 (Buy).
Digging into valuation, MasterCard currently has a Forward P/E ratio of 35.13. This denotes a premium relative to the industry's average Forward P/E of 17.41.
Also, we should mention that MA has a PEG ratio of 2.23. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Financial Transaction Services was holding an average PEG ratio of 1.32 at yesterday's closing price.
The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 86, this industry ranks in the top 35% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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MasterCard (MA) Beats Stock Market Upswing: What Investors Need to Know
In the latest market close, MasterCard (MA - Free Report) reached $506.66, with a +0.88% movement compared to the previous day. The stock outpaced the S&P 500's daily gain of 0.77%. Elsewhere, the Dow saw an upswing of 0.47%, while the tech-heavy Nasdaq appreciated by 0.87%.
The processor of debit and credit card payments's stock has climbed by 1.8% in the past month, falling short of the Business Services sector's gain of 3.7% and the S&P 500's gain of 4.87%.
The investment community will be closely monitoring the performance of MasterCard in its forthcoming earnings report. It is anticipated that the company will report an EPS of $3.72, marking a 9.73% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.24 billion, up 10.88% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $14.30 per share and revenue of $27.92 billion. These totals would mark changes of +16.64% and +11.25%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for MasterCard. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.04% upward. Right now, MasterCard possesses a Zacks Rank of #2 (Buy).
Digging into valuation, MasterCard currently has a Forward P/E ratio of 35.13. This denotes a premium relative to the industry's average Forward P/E of 17.41.
Also, we should mention that MA has a PEG ratio of 2.23. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Financial Transaction Services was holding an average PEG ratio of 1.32 at yesterday's closing price.
The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 86, this industry ranks in the top 35% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.