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Western Union (WU) Stock Declines While Market Improves: Some Information for Investors
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Western Union (WU - Free Report) ended the recent trading session at $8.46, demonstrating a -3.09% change from the preceding day's closing price. This change lagged the S&P 500's daily gain of 0.72%. Elsewhere, the Dow saw an upswing of 0.48%, while the tech-heavy Nasdaq appreciated by 1.16%.
The money transfer company's shares have seen a decrease of 8.78% over the last month, not keeping up with the Business Services sector's loss of 5.71% and the S&P 500's loss of 4.99%.
Market participants will be closely following the financial results of Western Union in its upcoming release. The company's earnings per share (EPS) are projected to be $0.4, reflecting a 2.44% decrease from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $968.05 million, down 1.58% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.79 per share and revenue of $4.18 billion, which would represent changes of +2.29% and +3.22%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Western Union. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, 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 has moved 0.32% lower within the past month. Western Union presently features a Zacks Rank of #3 (Hold).
In the context of valuation, Western Union is at present trading with a Forward P/E ratio of 4.89. This signifies a discount in comparison to the average Forward P/E of 9.94 for its industry.
Investors should also note that WU has a PEG ratio of 1.71 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Financial Transaction Services industry was having an average PEG ratio of 0.8.
The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 167, which puts it in the bottom 32% 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Western Union (WU) Stock Declines While Market Improves: Some Information for Investors
Western Union (WU - Free Report) ended the recent trading session at $8.46, demonstrating a -3.09% change from the preceding day's closing price. This change lagged the S&P 500's daily gain of 0.72%. Elsewhere, the Dow saw an upswing of 0.48%, while the tech-heavy Nasdaq appreciated by 1.16%.
The money transfer company's shares have seen a decrease of 8.78% over the last month, not keeping up with the Business Services sector's loss of 5.71% and the S&P 500's loss of 4.99%.
Market participants will be closely following the financial results of Western Union in its upcoming release. The company's earnings per share (EPS) are projected to be $0.4, reflecting a 2.44% decrease from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $968.05 million, down 1.58% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.79 per share and revenue of $4.18 billion, which would represent changes of +2.29% and +3.22%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Western Union. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, 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 has moved 0.32% lower within the past month. Western Union presently features a Zacks Rank of #3 (Hold).
In the context of valuation, Western Union is at present trading with a Forward P/E ratio of 4.89. This signifies a discount in comparison to the average Forward P/E of 9.94 for its industry.
Investors should also note that WU has a PEG ratio of 1.71 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Financial Transaction Services industry was having an average PEG ratio of 0.8.
The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 167, which puts it in the bottom 32% 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.