MasterCard (MA) Dips More Than Broader Market: What You Should Know

MasterCard (MA) closed the most recent trading day at $550.18, moving -2.37% from the previous trading session. The stock trailed the S&P 500, which registered a daily loss of 0.33%. Elsewhere, the Dow saw a downswing of 0.63%, while the tech-heavy Nasdaq depreciated by 0.22%. Prior to today's trading, shares of the processor of debit and credit card payments had lost 4.37% lagged the Business Services sector's loss of 2.01% and the S&P 500's gain of 4.07%.Investors will be eagerly watching for the performance of MasterCard in its upcoming earnings disclosure. The company is forecasted to report an EPS of $4.05, showcasing a 12.81% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $7.96 billion, reflecting a 14.35% rise from the equivalent quarter last year. For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $15.99 per share and a revenue of $31.86 billion, representing changes of +9.52% and +13.1%, respectively, from the prior year. Any recent changes to analyst estimates for MasterCard should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential. Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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. Within the past 30 days, our consensus EPS projection has moved 0.05% higher. Right now, MasterCard possesses a Zacks Rank of #2 (Buy). In the context of valuation, MasterCard is at present trading with a Forward P/E ratio of 35.24. This represents a premium compared to its industry average Forward P/E of 16.76. Also, we should mention that MA has a PEG ratio of 2.45. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Financial Transaction Services industry had an average PEG ratio of 1.33 as trading concluded yesterday. The Financial Transaction Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 65, this industry ranks in the top 27% 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. You can find more information on all of these metrics, and much more, on Zacks.com. Should You Invest in Mastercard Incorporated (MA)?Before you invest in Mastercard Incorporated (MA), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Mastercard Incorporated (MA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks