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MasterCard (MA) Surpasses Market Returns: Some Facts Worth Knowing

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MasterCard (MA - Free Report) ended the recent trading session at $539.66, demonstrating a +1.77% change from the preceding day's closing price. The stock's change was more than the S&P 500's daily gain of 0.05%. Meanwhile, the Dow gained 0.46%, and the Nasdaq, a tech-heavy index, lost 0.64%.

Heading into today, shares of the processor of debit and credit card payments had gained 8.46% over the past month, outpacing the Business Services sector's gain of 3.24% and the S&P 500's gain of 0.61%.

The upcoming earnings release of MasterCard will be of great interest to investors. The company's earnings report is expected on July 30, 2026. The company is forecasted to report an EPS of $4.77, showcasing a 14.94% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $9.06 billion, up 11.37% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $19.63 per share and a revenue of $37.02 billion, indicating changes of +15.4% and +12.89%, respectively, from the former year.

Investors might also notice recent changes to analyst estimates for MasterCard. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.13% higher. MasterCard presently features a Zacks Rank of #3 (Hold).

In the context of valuation, MasterCard is at present trading with a Forward P/E ratio of 27.02. This represents a premium compared to its industry average Forward P/E of 13.25.

One should further note that MA currently holds a PEG ratio of 1.66. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Financial Transaction Services industry stood at 0.88 at the close of the market yesterday.

The Financial Transaction Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 86, putting it in the top 35% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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