|Bid||0.00 x 1000|
|Ask||0.00 x 800|
|Day's Range||40.16 - 40.43|
|52 Week Range||32.40 - 43.49|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.24|
|Expense Ratio (net)||0.75%|
With exchange-traded funds (ETFs) garnering over $300 billion in assets in 2018 despite a volatile end to the year, it's clear that there's an appetite for the ETF as an investment vehicle that's expected to continue in 2019 and beyond. ETF Trends Publisher Tom Lydon joined CNBC's Bob Pisani on the new "ETF Edge" show on Monday to discuss opportunities in banking ETFs, disruptive technology, niche ETFs, and a model ETF portfolio to beat the market. Should Investors Deposit into Banking ETFs? Citigroup kicked off earnings season with banks like Wells Fargo, Bank of America and JP Morgan Chase scheduled to report later this week for the financial sector, but market mavens are mixed on what to expect, warranting caution for investors.
Mastercard (MA) stock rose ~3% in premarket trading on October 30 following its announcement of its impressive third-quarter results.
The decreased cost of digital payment acceptance is another factor that has led to its rapid adoption, fueling Visa’s growth. A massive increase in digital transactions along with the company’s strategy of investing in technology has paid off well in the form of increased processed transactions and payment volumes. Visa’s total payment volumes grew to $8.22 trillion in fiscal 2018 from $3.94 trillion in fiscal 2012, signifying a CAGR (compound annual growth rate) of 13%.
Visa’s (V) fourth-quarter fiscal 2018 revenues of $5.43 billion were almost in line with the Wall Street analyst estimate of $5.44 billion. On a YoY basis, quarterly revenues grew 12% mainly driven by double-digit growth in payment volume, cross-border volume, and transactions processed. However, unfavorable currency exchange rates had a negative impact of 0.5% on the company’s top-line performance.
Yesterday Visa (V) reported a stellar financial performance for the fourth quarter of 2018. The payment processing company’s adjusted EPS jumped 34% year-over-year to $1.21 and surpassed Wall Street analysts’ estimates by a penny.
Some tech-heavy U.S. fund managers have turned to the once-stodgy payments sector as an alternative to so-called FANG stocks as high-flyers like Facebook Inc (FB.O) and Google parent Alphabet Inc (GOOGL.O) falter. Companies underpinning online shopping and mobile payments, such as Visa Inc (V.N), Mastercard Inc (MA.N) and PayPal Holdings Inc (PYPL.O), offer above-average growth at a more reasonable valuation than FANGs and held onto more gains during recent market volatility, fund managers said.
Analysts expect Mastercard’s (MA) third-quarter 2018 revenues to grow 13.7% YoY and reach $3.86 billion. Analysts believe higher switched transactions, increased cross-border and gross dollar volumes, and gains from acquisitions will boost the company’s top-line results.
Mastercard (MA) is scheduled to report its third-quarter 2018 results on October 30. Analysts project a substantial YoY (year-over-year) increase in the company’s top-line and bottom-line results. Its improved expectations are primarily driven by the strong economy, higher payments volume, and elevated spending. The improvement could be partially offset by a strong dollar and ongoing trade war concerns.
At current market prices, Visa (V) trades at a premium valuation to most of its peers (IPAY), with the exception of Mastercard (MA) and PayPal (PYPL).
On October 24, Visa (V) is scheduled to report its earnings for the fourth quarter of fiscal 2018, which ended on September 30. Analysts project a substantial YoY (year-over-year) increase in the company’s top-line and bottom-line results.
The PE (price-to-earnings) ratio is considered the best multiple to value financial technology companies like Mastercard (MA). At current market prices, the stock trades at a premium valuation to most of its peers, with the exception of PayPal Holdings (PYPL).
Mastercard Near Its 52-Week High: Is Upside Potential Still Left? Over the last year, Mastercard (MA) has focused on a more lucrative and larger payment opportunity—business-to-business (or B2B) payments. The company’s CFO, Martina Hund-Mejean, believes that the financial industry has mostly neglected the B2B payment space.
Mastercard (MA) has registered double-digit revenue growth for the last six consecutive quarters. Its revenues for fiscal 2016 and 2017 also grew in double digits.
The price-to-earnings (or PE) ratio is considered to be the best multiple to value financial technology companies like Visa (V). At current market prices, the stock trades at a premium valuation to most of its peers except Mastercard (MA) and PayPal (PYPL).
Visa (V) is making efforts to stay ahead in the payment industry, which is experiencing tremendous growth. The sector is witnessing a rapid shift in the mode of payments. It is anticipated that with continuously evolving technology and increasing mobile and Internet penetration, the industry will see further changes in payment modes.