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Why MasterCard (MA) Outpaced the Stock Market Today
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In the latest trading session, MasterCard (MA - Free Report) closed at $616.32, marking a +2.17% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.33%. Meanwhile, the Dow gained 1.08%, and the Nasdaq, a tech-heavy index, added 0.08%.
The stock of processor of debit and credit card payments has risen by 6.25% in the past month, leading the Business Services sector's loss of 1.1% and the S&P 500's gain of 1.41%.
Market participants will be closely following the financial results of MasterCard in its upcoming release. The company plans to announce its earnings on October 29, 2026. The company's earnings per share (EPS) are projected to be $5.13, reflecting a 17.12% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $9.62 billion, reflecting a 11.86% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $19.9 per share and a revenue of $37.24 billion, representing changes of +16.99% and +13.57%, respectively, from the prior year.
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. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.01% higher. MasterCard presently features a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that MasterCard has a Forward P/E ratio of 30.31 right now. Its industry sports an average Forward P/E of 14.32, so one might conclude that MasterCard is trading at a premium comparatively.
Investors should also note that MA has a PEG ratio of 1.72 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Financial Transaction Services industry held an average PEG ratio of 0.78.
The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 178, this industry ranks in the bottom 28% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MA in the coming trading sessions, be sure to utilize Zacks.com.
View the Zacks #1 Rank List
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Why MasterCard (MA) Outpaced the Stock Market Today
In the latest trading session, MasterCard (MA - Free Report) closed at $616.32, marking a +2.17% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.33%. Meanwhile, the Dow gained 1.08%, and the Nasdaq, a tech-heavy index, added 0.08%.
The stock of processor of debit and credit card payments has risen by 6.25% in the past month, leading the Business Services sector's loss of 1.1% and the S&P 500's gain of 1.41%.
Market participants will be closely following the financial results of MasterCard in its upcoming release. The company plans to announce its earnings on October 29, 2026. The company's earnings per share (EPS) are projected to be $5.13, reflecting a 17.12% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $9.62 billion, reflecting a 11.86% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $19.9 per share and a revenue of $37.24 billion, representing changes of +16.99% and +13.57%, respectively, from the prior year.
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. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.01% higher. MasterCard presently features a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that MasterCard has a Forward P/E ratio of 30.31 right now. Its industry sports an average Forward P/E of 14.32, so one might conclude that MasterCard is trading at a premium comparatively.
Investors should also note that MA has a PEG ratio of 1.72 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Financial Transaction Services industry held an average PEG ratio of 0.78.
The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 178, this industry ranks in the bottom 28% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MA in the coming trading sessions, be sure to utilize Zacks.com.