How Has Vantiv Performed in a Competitive Market?

Vantiv Stock Rises 8.4% after 3Q15 Earnings Release

(Continued from Prior Part)

Vantiv and its peers

In this part of the series, we’ll compare Vantiv with its peers.

  • The PE (price-to-earnings) ratios of Vantiv (VNTV), Paypal Holdings (PYPL), Fiserv (FISV), Fidelity National Information Services (FIS), and Global Payments (GPN) are 55.96x, 41.03x, 32.85x, 29.35x, and 31.67x, respectively.

  • The PBV (price-to-book value) ratios of Vantiv, Paypal, Fiserv, Fidelity, and Global Payments are 7.59x, 3.49x, 7.27x, 3.18x, and 11.39x, respectively.

  • The PS (price-to-sales) ratios of Vantiv, Paypal, Fiserv, Fidelity, and Global Payments are 3.30x, 5.17x, 4.40x, 3.29x, and 3.17x, respectively.

Vantiv has outperformed its peers based on PE and PBV.

ETFs that invest in Vantiv

The First Trust Financials AlphaDEX ETF (FXO) invests 1.2% of its holdings in Vantiv. The ETF seeks to outperform the US financials sector by tracking a proprietary index of stocks selected from the Russell 1000 Financial Services Index.

The PowerShares Russell Midcap Pure Growth ETF (PXMG) invests 0.69% of its holdings in Vantiv. The ETF tracks an index of US growth stocks, ranked from 201 to 1,000 by market cap. Stocks are selected and weighted by price to book, forecast growth, and historical sales growth.

The First Trust US IPO ETF (FPX) invests 0.61% of its holdings in Vantiv. The ETF tracks a market-cap–weighted index of the 100 largest US IPOs over the first 1,000 trading days of each stock. Stocks must pass additional quantitative screens to make it into the index.

Vantiv compared to its ETFs

Now let’s compare Vantiv with the ETFs that invest in it:

  • The year-to-date price movements of Vantiv, FXO, PXMG, and FPX are 50.1%, 3.2%, -4.1%, and 3.4%, respectively.

  • The PE (price-to-earnings) ratios of Vantiv, FXO, PXMG, and FPX are 55.96x, 13.35x, 38.81x, and 28.90x, respectively.

  • The PBV (price-to-book value) ratios of Vantiv, FXO, PXMG, and FPX are 7.59x, 1.49x, 6.69x, and 3.79x, respectively.

Vantiv has outperformed its ETFs based on price movement, PE, and PBV.

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