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Visa (V) Outpaces Stock Market Gains: What You Should Know
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Visa (V - Free Report) closed the most recent trading day at $132.71, moving +1% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.01%. At the same time, the Dow added 0.35%, and the tech-heavy Nasdaq gained 0.45%.
Heading into today, shares of the global payments processor had lost 2.49% over the past month, outpacing the Business Services sector's loss of 6.88% and the S&P 500's loss of 7.29% in that time.
Wall Street will be looking for positivity from V as it approaches its next earnings report date. This is expected to be February 7, 2019. On that day, V is projected to report earnings of $1.24 per share, which would represent year-over-year growth of 14.81%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.40 billion, up 11.02% from the year-ago period.
V's full-year Zacks Consensus Estimates are calling for earnings of $5.33 per share and revenue of $22.84 billion. These results would represent year-over-year changes of +15.62% and +10.83%, respectively.
Investors might also notice recent changes to analyst estimates for V. 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 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.
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 has moved 0.26% higher. V is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, V currently has a Forward P/E ratio of 24.65. For comparison, its industry has an average Forward P/E of 18.8, which means V is trading at a premium to the group.
Investors should also note that V has a PEG ratio of 1.43 right now. 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 1.36 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 45, which puts it in the top 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow V in the coming trading sessions, be sure to utilize Zacks.com.
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Visa (V) Outpaces Stock Market Gains: What You Should Know
Visa (V - Free Report) closed the most recent trading day at $132.71, moving +1% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.01%. At the same time, the Dow added 0.35%, and the tech-heavy Nasdaq gained 0.45%.
Heading into today, shares of the global payments processor had lost 2.49% over the past month, outpacing the Business Services sector's loss of 6.88% and the S&P 500's loss of 7.29% in that time.
Wall Street will be looking for positivity from V as it approaches its next earnings report date. This is expected to be February 7, 2019. On that day, V is projected to report earnings of $1.24 per share, which would represent year-over-year growth of 14.81%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.40 billion, up 11.02% from the year-ago period.
V's full-year Zacks Consensus Estimates are calling for earnings of $5.33 per share and revenue of $22.84 billion. These results would represent year-over-year changes of +15.62% and +10.83%, respectively.
Investors might also notice recent changes to analyst estimates for V. 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 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.
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 has moved 0.26% higher. V is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, V currently has a Forward P/E ratio of 24.65. For comparison, its industry has an average Forward P/E of 18.8, which means V is trading at a premium to the group.
Investors should also note that V has a PEG ratio of 1.43 right now. 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 1.36 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 45, which puts it in the top 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow V in the coming trading sessions, be sure to utilize Zacks.com.