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Visa (V) Stock Sinks As Market Gains: What You Should Know
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Visa (V - Free Report) closed at $208.48 in the latest trading session, marking a -0.23% move from the prior day. This change lagged the S&P 500's 1.86% gain on the day. Meanwhile, the Dow gained 1.79%, and the Nasdaq, a tech-heavy index, added 0.4%.
Coming into today, shares of the global payments processor had lost 10.07% in the past month. In that same time, the Business Services sector lost 10.02%, while the S&P 500 lost 5.05%.
Investors will be hoping for strength from Visa as it approaches its next earnings release. On that day, Visa is projected to report earnings of $1.65 per share, which would represent year-over-year growth of 19.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.87 billion, up 19.85% from the year-ago period.
V's full-year Zacks Consensus Estimates are calling for earnings of $7.12 per share and revenue of $28.72 billion. These results would represent year-over-year changes of +20.47% and +19.13%, respectively.
Any recent changes to analyst estimates for Visa should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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 0.01% lower. Visa is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Visa currently has a Forward P/E ratio of 29.35. For comparison, its industry has an average Forward P/E of 15.22, which means Visa is trading at a premium to the group.
Meanwhile, V's PEG ratio is currently 1.77. 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. V's industry had an average PEG ratio of 1.01 as of yesterday's close.
The Financial Transaction Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 203, putting it in the bottom 21% 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.
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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Visa (V) Stock Sinks As Market Gains: What You Should Know
Visa (V - Free Report) closed at $208.48 in the latest trading session, marking a -0.23% move from the prior day. This change lagged the S&P 500's 1.86% gain on the day. Meanwhile, the Dow gained 1.79%, and the Nasdaq, a tech-heavy index, added 0.4%.
Coming into today, shares of the global payments processor had lost 10.07% in the past month. In that same time, the Business Services sector lost 10.02%, while the S&P 500 lost 5.05%.
Investors will be hoping for strength from Visa as it approaches its next earnings release. On that day, Visa is projected to report earnings of $1.65 per share, which would represent year-over-year growth of 19.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.87 billion, up 19.85% from the year-ago period.
V's full-year Zacks Consensus Estimates are calling for earnings of $7.12 per share and revenue of $28.72 billion. These results would represent year-over-year changes of +20.47% and +19.13%, respectively.
Any recent changes to analyst estimates for Visa should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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 0.01% lower. Visa is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Visa currently has a Forward P/E ratio of 29.35. For comparison, its industry has an average Forward P/E of 15.22, which means Visa is trading at a premium to the group.
Meanwhile, V's PEG ratio is currently 1.77. 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. V's industry had an average PEG ratio of 1.01 as of yesterday's close.
The Financial Transaction Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 203, putting it in the bottom 21% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.