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MasterCard (MA) Dips More Than Broader Markets: What You Should Know
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MasterCard (MA - Free Report) closed at $380.23 in the latest trading session, marking a -0.41% move from the prior day. This move lagged the S&P 500's daily loss of 0.04%. Elsewhere, the Dow lost 0.22%, while the tech-heavy Nasdaq added 2.93%.
Coming into today, shares of the processor of debit and credit card payments had gained 3.89% in the past month. In that same time, the Business Services sector gained 3.93%, while the S&P 500 gained 4.22%.
MasterCard will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.96, up 15.63% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.18 billion, up 12.44% from the year-ago period.
MA's full-year Zacks Consensus Estimates are calling for earnings of $12.24 per share and revenue of $25.15 billion. These results would represent year-over-year changes of +14.93% and +13.1%, respectively.
Investors should also note any recent changes to analyst estimates for MasterCard. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.26% lower. MasterCard currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that MasterCard has a Forward P/E ratio of 31.2 right now. Its industry sports an average Forward P/E of 13.77, so we one might conclude that MasterCard is trading at a premium comparatively.
We can also see that MA currently has a PEG ratio of 1.78. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. MA's industry had an average PEG ratio of 1.18 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 171, which puts it in the bottom 33% 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.
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) Dips More Than Broader Markets: What You Should Know
MasterCard (MA - Free Report) closed at $380.23 in the latest trading session, marking a -0.41% move from the prior day. This move lagged the S&P 500's daily loss of 0.04%. Elsewhere, the Dow lost 0.22%, while the tech-heavy Nasdaq added 2.93%.
Coming into today, shares of the processor of debit and credit card payments had gained 3.89% in the past month. In that same time, the Business Services sector gained 3.93%, while the S&P 500 gained 4.22%.
MasterCard will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.96, up 15.63% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.18 billion, up 12.44% from the year-ago period.
MA's full-year Zacks Consensus Estimates are calling for earnings of $12.24 per share and revenue of $25.15 billion. These results would represent year-over-year changes of +14.93% and +13.1%, respectively.
Investors should also note any recent changes to analyst estimates for MasterCard. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.26% lower. MasterCard currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that MasterCard has a Forward P/E ratio of 31.2 right now. Its industry sports an average Forward P/E of 13.77, so we one might conclude that MasterCard is trading at a premium comparatively.
We can also see that MA currently has a PEG ratio of 1.78. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. MA's industry had an average PEG ratio of 1.18 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 171, which puts it in the bottom 33% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.