We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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.
Western Union (WU) Exceeds Market Returns: Some Facts to Consider
Read MoreHide Full Article
Western Union (WU - Free Report) ended the recent trading session at $8.08, demonstrating a +1.13% change from the preceding day's closing price. This change outpaced the S&P 500's 0.34% gain on the day. On the other hand, the Dow registered a gain of 0.09%, and the technology-centric Nasdaq increased by 0.42%.
Prior to today's trading, shares of the money transfer company had lost 8.69% lagged the Business Services sector's gain of 0.7% and the S&P 500's gain of 3.54%.
The investment community will be paying close attention to the earnings performance of Western Union in its upcoming release. The company is predicted to post an EPS of $0.43, indicating a 6.52% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $1.02 billion, indicating a 1.39% downward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $1.7 per share and a revenue of $4.08 billion, demonstrating changes of -2.3% and -3.06%, respectively, from the preceding year.
Any recent changes to analyst estimates for Western Union should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Western Union is currently a Zacks Rank #4 (Sell).
In the context of valuation, Western Union is at present trading with a Forward P/E ratio of 4.7. This expresses a discount compared to the average Forward P/E of 14.31 of its industry.
Meanwhile, WU's PEG ratio is currently 2.74. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Financial Transaction Services stocks are, on average, holding a PEG ratio of 1.16 based on yesterday's closing prices.
The Financial Transaction Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 38, finds itself in the top 16% echelons 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Western Union (WU) Exceeds Market Returns: Some Facts to Consider
Western Union (WU - Free Report) ended the recent trading session at $8.08, demonstrating a +1.13% change from the preceding day's closing price. This change outpaced the S&P 500's 0.34% gain on the day. On the other hand, the Dow registered a gain of 0.09%, and the technology-centric Nasdaq increased by 0.42%.
Prior to today's trading, shares of the money transfer company had lost 8.69% lagged the Business Services sector's gain of 0.7% and the S&P 500's gain of 3.54%.
The investment community will be paying close attention to the earnings performance of Western Union in its upcoming release. The company is predicted to post an EPS of $0.43, indicating a 6.52% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $1.02 billion, indicating a 1.39% downward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $1.7 per share and a revenue of $4.08 billion, demonstrating changes of -2.3% and -3.06%, respectively, from the preceding year.
Any recent changes to analyst estimates for Western Union should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Western Union is currently a Zacks Rank #4 (Sell).
In the context of valuation, Western Union is at present trading with a Forward P/E ratio of 4.7. This expresses a discount compared to the average Forward P/E of 14.31 of its industry.
Meanwhile, WU's PEG ratio is currently 2.74. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Financial Transaction Services stocks are, on average, holding a PEG ratio of 1.16 based on yesterday's closing prices.
The Financial Transaction Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 38, finds itself in the top 16% echelons 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.