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.
OnAug 12, 2016, we updated our research report on the money transfer company MoneyGram International Inc. . In the most recently reported second quarter, the company’s earnings of 15 cents per share came in line with the Zacks Consensus Estimate, but declined 35% year over year, due to revenue decline from Libya, Angola and Saudi Arabia.
Moneygram serves more than 10 millions of its customers worldwide via about 357,000 locations in more than 200 countries and territories. While the market for money transfer and bill payment services continues to be intensely competitive, Moneygram remains the second largest global money transfer service company in the world based on total face value of remittances. Since its inception in 2004, MoneyGram has grown inorganically through strategic alliances, mergers, acquisitions and spin-offs.
Moneygram’s diverse products and services are available through online and mobile channels. The company is also aggressively making investments in ramping up its digital channel for money transfer, given the growing acceptance of digital forms of remittance. Other companies in the space like Western Union Co. (WU - Free Report) , Paypal Holdings (PYPL - Free Report) also have made significant investments to grow their digital money transfer business and pose stiff competition.
The company has also strengthened its presence in the high-growth potential markets of Latin America, Russia, the Asia Pacific, Africa, Western and Eastern Europe. It has also intensely penetrated several unexplored and underdeveloped global markets of the Middle East, South America, Vietnam and Myanmar.
Its boosts a wide agent network by virtue of its partnership with several post offices, numerous national banks and stores globally. In the beginning of the year, MoneyGram extended its partnership with Wal-Mart Stores Inc. (WMT - Free Report) for three years.
Moneygram has also undertaken cost saving initiatives which include closing facilities, headcount reductions, improving system processes, investing in automation and offshoring. These initiatives are expected to reduce cost and accrue to the bottom line in the coming years.
Nevertheless, increased commission, operating expenses, foreign exchange volatility as well as compliance spending also exert pressure on operating margins and cash flow at a time when operating revenues are already facing headwinds due to global instability.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
MoneyGram (MGI) Grows Online & Seeks Tie-Ups Amid Risks
On Aug 12, 2016, we updated our research report on the money transfer company MoneyGram International Inc. . In the most recently reported second quarter, the company’s earnings of 15 cents per share came in line with the Zacks Consensus Estimate, but declined 35% year over year, due to revenue decline from Libya, Angola and Saudi Arabia.
Moneygram serves more than 10 millions of its customers worldwide via about 357,000 locations in more than 200 countries and territories. While the market for money transfer and bill payment services continues to be intensely competitive, Moneygram remains the second largest global money transfer service company in the world based on total face value of remittances. Since its inception in 2004, MoneyGram has grown inorganically through strategic alliances, mergers, acquisitions and spin-offs.
Moneygram’s diverse products and services are available through online and mobile channels. The company is also aggressively making investments in ramping up its digital channel for money transfer, given the growing acceptance of digital forms of remittance. Other companies in the space like Western Union Co. (WU - Free Report) , Paypal Holdings (PYPL - Free Report) also have made significant investments to grow their digital money transfer business and pose stiff competition.
The company has also strengthened its presence in the high-growth potential markets of Latin America, Russia, the Asia Pacific, Africa, Western and Eastern Europe. It has also intensely penetrated several unexplored and underdeveloped global markets of the Middle East, South America, Vietnam and Myanmar.
Its boosts a wide agent network by virtue of its partnership with several post offices, numerous national banks and stores globally. In the beginning of the year, MoneyGram extended its partnership with Wal-Mart Stores Inc. (WMT - Free Report) for three years.
Moneygram has also undertaken cost saving initiatives which include closing facilities, headcount reductions, improving system processes, investing in automation and offshoring. These initiatives are expected to reduce cost and accrue to the bottom line in the coming years.
Nevertheless, increased commission, operating expenses, foreign exchange volatility as well as compliance spending also exert pressure on operating margins and cash flow at a time when operating revenues are already facing headwinds due to global instability.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>