|Bid||169.46 x 1100|
|Ask||169.81 x 800|
|Day's Range||168.84 - 170.64|
|52 Week Range||121.60 - 172.20|
|Beta (3Y Monthly)||0.86|
|PE Ratio (TTM)||35.05|
|Earnings Date||Jul 23, 2019 - Jul 29, 2019|
|Forward Dividend & Yield||1.00 (0.62%)|
|1y Target Est||181.49|
American Express earns money from users through interest income and annual fees, as well as from merchants through payment processing.
Facebook is riding the cryptocurrency wave as the S&P 500 continues its consolidation and the British pound slides on renewed Brexit fears.
A FB cryptocurrency is on the way and it looks to have quite the wave of support from big backers.Source: Shutterstock Here's what we know so far about the Facebook (NASDAQ:FB) cryptocurrency. * The project to develop a FB cryptocurrency is called Libra. * It has been the works for six months now. * Stripe, Booking.com and MercadoLibre are taking part in the project, but it is unknown what exactly they are doing for it. * Several large companies will reportedly be backing the development of the cryptocurrency. * Some of the big names behind the effort are PayPal (NASDAQ:PYPL), Mastercard (NYSE:MA), Visa (NYSE:V) and Uber (NYSE:UBER). * Each of these companies will be putting $10 million into the development of the FB cryptocurrency. * This will have them acting as a governing consortium for the virtual currency. * It's also worth mentioning that the FB cryptocurrency is going by the name GlobalCoin. * Report claim that the cyrptocurrency will be used by Facebook through its multiple messaging service. * There's also been talk that it will allow users of the social media service to use the virtual currency to purchase goods from retailers via the website. * Other reports are claiming that Facebook is preparing to reveal the new virtual currency sometime next week. * These same rumors also say that the tech company is preparing to release the FB cryptocurrency in early 2020. * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 You can follow these links to learn more about Facebook's plans for its cryptocurrency.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFB stock was up 1% as of Friday morning. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 * 7 Value Stocks That Are Flying Under the Radar * 6 Mouth-Watering Fast Food Stocks for Growth Investors As of this writing, William White did not hold a position in any of the aforementioned securities.Compare Brokers The post FB Cryptocurrency: 12 Things We Know About Facebook's Project Libra appeared first on InvestorPlace.
Investing.com - Cryptocurrencies saw mixed trade on Friday, but were still on track for a weekly gain of 3% led by Litecoin, Bitcoin and Ethereum.
Facebook Inc has enlisted more than a dozen companies including Visa Inc, Mastercard Inc , PayPal Holdings Inc and Uber Technologies Inc to back its new cryptocurrency, the Wall Street Journal reported https://on.wsj.com/2IdYo3a on Thursday. Each company will invest around $10 million in a consortium that will govern the cryptocurrency, the WSJ reported, citing people familiar with the matter.
The good times for Visa and Mastercard shareholders won’t end anytime soon, according to Wedbush Securities.
From cash and personal checks to credit cards and cryptocurrencies, the spending habits of global consumers are changing quickly. Here's how this shift occurred...and why it's a good thing.
While Square (NYSE:SQ) stock has gained a respectable 12.6% in the past year, that performance pales in comparison to the previous 12-month periods, when SQ stock nearly doubled each year.Source: Via SquareNot only that, the shares have also been disappointing when looking at other companies in the space. Consider that the annual return for Shopify (NYSE:SHOP) is a sizzling 91% while PayPal (NASDAQ:PYPL) stock has risen 37% and Visa (NYSE:V) is up 28%.Now the payments industry holds tremendous opportunity. One estimate is that the size is a whopping $110 trillion on a global basis. No doubt, technologies like cloud computing, mobile and AI (artificial intelligence) will continue to be disruptive forces.InvestorPlace - Stock Market News, Stock Advice & Trading TipsYet despite all this, I still think there are some nagging risks with Square stock. Let's take a look: SQ Stock: GrowthSQ continues to grow at a fast pace. In the latest quarter, net revenues jumped by 43% and adjusted revenues spiked by 59%. The company also increased its full-year guidance.Yet there are some potential issues with the growth story. For example, gross payment volume increased by only about 27% to $22.6 billion. The Street, on the other hand, was looking for $22.8 billion.As well, the U.S. economy is showing some signs of weakness, as seen with a drop-off in job gains and sluggishness with retail sales. Businesses also appear to be pulling back on making investments because of the uncertainty regarding trade, especially with China. * 7 Stocks to Buy As They Hit 52-Week Lows If there is a recession or a serious slowdown, SQ could take big heat. The reason is that a big chunk of the company's revenue come from small businesses. And yes, they generally are disproportionately effected during economic hard times.According to Square's 10-K filing: "Small businesses frequently have limited budgets and limited access to capital, and they may choose to allocate their spending to items other than our financial or marketing services, especially in times of economic uncertainty or in recessions. In addition, if more of our sellers cease to operate, this may have an adverse impact not only on the growth of our payments services but also on our transaction and advance loss rates, and the success of our other services." Square Stock: ValuationEven though SQ stock is 30% off its 52-week high -- which was tipped in September -- the valuation is still far from cheap. Note that the forward price-to-earnings ratio is roughly 63x and the shares trade at about 8.3x sales. * 7 Dark Horse Stocks Winning the Race in 2019 Now a premium is deserved for a company with Square's strong platform, brand and customer base. But then again, if the growth rate starts to falter, there could easily be more downside. We already saw evidence of this in the latest earnings report. SQ Stock: Managerial BandwidthA key part of Square's strategy has been to add more and more services on its platform. This has not only provided more convenience for customers but has expanded the market opportunity. Note that this strategy has been critical in keeping up the overall growth rate as payments volumes have been trailing off.But there is a risk to this strategy -- that is, it increases the complexity of the organization. The services span diverse categories like invoices, deposits, inventory, appointments, website hosting, marketing, employee management, business loans and so on. All of these are in highly competitive markets.Besides, CEO Jack Dorsey is essentially a part-time CEO, as he also heads up Twitter (NYSE:TWTR). So it will certainly get more challenging for him to manage SQ as the business scales.Tom Taulli is the author of the upcoming book, Artificial Intelligence Basics: A Non-Technical Introduction. Follow him on Twitter at @ttaulli. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy for the Coming Recession * 10 Smart Dividend Stocks for the Rest of the Year * 5 Tech Stocks That Are Far Too Risky Right Now Compare Brokers The post The 3 Scariest Risks With The Square Stock Growth Story appeared first on InvestorPlace.
Riding high on its increasing revenues and growth strategies, Synchrony Financial (SYF) holds potential to generate benefits for investors.
Today Visa Inc. (NYSE:V) announced that Graham Macmillan has been appointed President of the Visa Foundation, effective June 24. In this role, Graham will develop and execute the Foundation’s impact investing and grantmaking strategy in support of its mission to help low-income and financially-underserved micro and small businesses around the world thrive and prosper. Mr. Macmillan will also oversee all of the Foundation’s activities addressing broader community needs and humanitarian crisis response.
Amazon.com (NASDAQ: AMZN) announced it would offer a credit card to those with bad credit and credit services and electronic payment firms barely noticed. Visa (NYSE: V) shares closed recently at a new high as did MasterCard (NYSE:MA). But Amazon.com's card issuer, Synchrony Financial (NYSE: SYF) fell on the news. Still, both Synchrony and Amazon stock stand to benefit from this initiative and shares for both companies will react positively as customers sign up for this credit card.Source: Shutterstock The rewards card, called Amazon Credit Builder, will target those who want to build their credit history. These include customers who either want to establish new credit or are recovering from a bad credit rating.Amazon.com is no stranger to the credit card business. Two years ago, it offered a Visa card with 5% cash back. With this new card, Prime members get the 5% back on purchases.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Dark Horse Stocks Winning the Race in 2019 Credit Builder also gives the cardholder the ability to track their credit score. The credit details are displayed on a TransUnion CreditView Dashboard at no charge. By showing score changes over time, Amazon is helping the cardholder learn how to improve the credit score. This removes the need to rely on Equifax Inc. (NYSE:EFX) and more importantly, the service has no extra costs. Prime Subscriptions and Amazon StockThe new credit offering gives customers another incentive to have an Amazon Prime subscription. But the online retailer offers bigger reasons to be a member. For the current second quarter, the company is working to turn its Prime free Two-Day Shipping into a free One-Day Shipping program.This feat is possible because of the company's back-end fulfillment and logistics network. Still, Amazon needs to invest in this area to achieve this same-day delivery goal. It plans to spend $800 million in the second quarter.So, if one day Amazon brings One-Day shipping down to one or two-hour shipping, it will have a huge advantage over retailers like Target (NYSE:TGT) or Walmart (NYSE:WMT). In the last holiday season, Target could not offer more than getting online shoppers to drive to the store to physically pick-up the order.But even though Walmart is planning to launch in-home grocery delivery in three cities this fall, the food business something Amazon will build through its Whole Foods division. For now, growing the Whole Foods business depends on developing the physical storefront experience. Prime Subscriptions GrowJust as Costco (NASDAQ:COST) enjoys high profit margins through membership fees, Amazon Prime is of strategic importance. Last year, more people signed up for Prime than any year before. The more time people spend watching videos and listening to music, the more they are likely to renew their membership year after year. Telling friends about the great service encourages more people to sign up.When Amazon Web Services brought in an astonishing $30 billion in annualized revenue, the company's credit card initiative appears insignificant at best.Yet everything counts; the operating margin grew by 320 basis points. It may re-invest the cash to fulfill infrastructure needs while finding further efficiencies. The more profitable the business becomes the better programs like Prime get. And the more incentive there is, the more likely Amazon may win customers who happen to have bad credit and need to rebuild their credit score. Price TargetAnalysts on Wall Street have an average price target that is 20% above the recent $1,860 share price. Per Tipranks, the average price target is $2,242. Supporting this price target is a 10-year DCF Growth Exit Model. If Amazon keeps growing revenue by at least 10% annually, the stock has plenty of upside for investors.Amazon's high valuations do not make much sense to the conservative investor but the market knows better. In every type of business, the online retailer enters, it re-defines the business process and eventually dominates the sector. Your TakeawayShares of Amazon stock are already up nearly 10% in the last week thanks to a rebound in the stock market. Though the growth prospects suggest the stock may run higher, investors may still want to wait for a dip in the stock before buying.Disclosure: As of this writing, the author did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Dark Horse Stocks Winning the Race in 2019 * 6 Chinese Stocks to Sell That Are Suffering From a Digital Ad Slowdown * 4 Technology Stocks Blasting Higher Compare Brokers The post Amazon Stock Is Poised to Offer Another 20% Upside appeared first on InvestorPlace.
Investing.com - Cryptocurrencies climbed on Wednesday as yields on fiat currencies resumed their recent decline, with Litecoin marking fresh 13-month highs.
The dominance of the Visa (NYSE:V) payment network continues to drive volumes and market share to the company. In this increasingly important industry, Visa stock is benefiting from the fact that its payment network processes about 61.2% of U.S. transactions.In a world that's using less cash, the credit-card industry will prosper, enabling Visa stock to remain a winner over the long-term. However, the question about V stock is not if it will go up, but if it remains a better buy than its peers. * 7 Dark Horse Stocks Winning the Race in 2019 Visa Stock Will Rise With Its IndustryIt's steady as she goes for Visa stock. Bolstered by the company's dominant market share and the continuing march towards a cashless society, V stock is continuing its slow, sustained move higher. After flirting with single-digit prices during the 2008 financial crisis, it began to move steadily higher. Today, it has risen more than 15-fold since that time. The Visa stock price has now surged to around $170.InvestorPlace - Stock Market News, Stock Advice & Trading TipsAs both myself and others have pointed out, Visa stock remains pricey. The company's growth and favorable business conditions have taken the forward price-earnings (PE) ratio of V stock above 27.4. However, the average PE ratio of V stock over the last five years is 32.9. Estimated earnings growth of 16.5% this year and its average earnings increase of 20.84% per year over the previous five years has helped to support the high multiples of V stock.Moreover, even market selloffs have resulted in relatively mild pullbacks by V stock. Between late September and the week of Christmas, Visa stock price fell by a little bit less than 20%. However, its PE ratio remained well in the 20s during that time. Also, like most stocks, it quickly recovered. For this reason, I would not expect any significant declines in Visa stock price anytime soon. Given these factors, the long-term owners of V stock should continue to hold onto their shares. Moreover, even at these levels, those buying V stock face few risks. Visa Stock Versus Its PeersThe only reason to not buy Visa stock may involve how well it compares to its key peers. Given the potential growth of cashless payments throughout the world, Mastercard (NYSE:MA), American Express (NYSE:AXP), and Discover Financial (NYSE:DFS) should also generate double-digit profit growth, despite their smaller market shares.However, after looking at card stocks' PE ratios and growth rates, it becomes clear that the market has been willing to support higher price-to-earnings-to growth (PEG) ratios for companies with higher market shares. Visa stock supports a PEG ratio of 1.9 versus only 1.75 for Mastercard. However, for this year, analysts, on average, predict Mastercard will report earnings growth of 17.4% versus only 16.5% for Visa. American Express, long a Warren Buffett favorite, trades at a PEG ratio of 1.57. AXP's expected profit growth comes in at only 10.8%. However, it has a much lower forward PE of around 13.5.Still, it is Discover Financial whose valuation stands out. Its PEG ratio comes in at only 0.7. It also supports a forward PE ratio of only about 8.2. Despite this single-digit multiple, analysts expect its profit to rise 12.4% this year.In some respects, DFS stock is cheap for a reason. It holds only a 2.2% share of card volumes, a decline from 2.3% last year. Visa remains the dominant player in this area, holding steady at 61.2%. However, in the current environment, all payment card companies will prosper.Moreover, since 2005, DFS has partnered with UnionPay, the dominant payment network in China. From a worldwide standpoint, UnionPay comes in second to only Visa on card volumes. The U.S.-China trade war may add a degree of uncertainty. However, with such an ally, DFS should continue to grow. The Bottom Line on Visa StockVisa stock will rise over the long-term, but some of its peers may fare better on a relative basis. V stock will likely remain expensive, but no major challenges have emerged to its dominance in the U.S. or to its double-digit earnings increases.When it comes to PEG ratios, Visa stock holds up well, slightly besting Mastercard and coming in only slightly higher than American Express's ratio. Still, value investors will find Discover Financial stock to be a relative bargain, as it could help a growing, China-based peer enter the U.S. market.As a result, investors who don't want to pay the high multiple carried by V stock have other choices. However,the owners of V stock will continue to benefit from Visa's U.S. dominance and the continuing move to a more cashless society.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Dark Horse Stocks Winning the Race in 2019 * 6 Chinese Stocks to Sell That Are Suffering From a Digital Ad Slowdown * 4 Technology Stocks Blasting Higher Compare Brokers The post Visa Stock May Not Be the Best Credit-Card Name appeared first on InvestorPlace.
Visa Inc. and Mastercard Inc. agreed in April to reduce swipe fees in Europe, a move that threatens banks’ ability to offer credit cards without foreign-exchange fees, said Discover Financial Services Chief Executive Officer Roger Hochschild. Visa and Mastercard are cutting their so-called interchange fees by an average of 40% for transactions in the European Union completed with cards issued outside the bloc.
Visa Inc NYSE:VView full report here! Summary * ETFs holding this stock are seeing positive inflows * Bearish sentiment is moderate and increasing * Economic output for the sector is expanding but at a slower rate Bearish sentimentShort interest | NegativeShort interest is moderately high for V with between 10 and 15% of shares outstanding currently on loan. This represents an increase in short interest as investors who seek to profit from falling equity prices added to their short positions on May 30. Money flowETF/Index ownership | PositiveETF activity is positive. Over the last month, ETFs holding V are favorable, with net inflows of $9.67 billion. Additionally, the rate of inflows is increasing. Economic sentimentPMI by IHS Markit | NegativeAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Financials sector is rising. The rate of growth is weak relative to the trend shown over the past year, however, and is easing. Credit worthinessCredit default swapCDS data is not available for this security.Please send all inquiries related to the report to email@example.com.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.