Analysts on Wall Street project that MasterCard (MA) will announce quarterly earnings of $3.57 per share in its forthcoming report, representing an increase of 7.9% year over year. Revenues are projected to reach $7.13 billion, increasing 12.3% from the same quarter last year.
Over the last 30 days, there has been a downward revision of 0.1% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
That said, let's delve into the average estimates of some MasterCard metrics that Wall Street analysts commonly model and monitor.
It is projected by analysts that the 'Revenue- Transaction processing assessments' will reach $3.39 billion. The estimate points to a change of +9.9% from the year-ago quarter.
The consensus among analysts is that 'Revenue- Domestic assessments' will reach $2.65 billion. The estimate suggests a change of +7.2% year over year.
Analysts' assessment points toward 'Revenue- Cross-border assessments' reaching $2.55 billion. The estimate suggests a change of +14% year over year.
According to the collective judgment of analysts, 'Revenue- Other network assessments' should come in at $234.77 million. The estimate indicates a year-over-year change of +3.9%.
Analysts expect 'Switched transactions' to come in at 40.29 billion. Compared to the current estimate, the company reported 36.65 billion in the same quarter of the previous year.
Analysts predict that the 'Gross dollar volume - All Mastercard Credit, Charge and Debit Programs - APMEA' will reach $591.65 billion. The estimate compares to the year-ago value of $570 billion.
The average prediction of analysts places 'Gross dollar volume - All Mastercard Credit, Charge and Debit Programs - Canada' at $64.95 billion. Compared to the current estimate, the company reported $62 billion in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Gross dollar volume - All Mastercard Credit, Charge and Debit Programs - Europe' will likely reach $840.75 billion. The estimate is in contrast to the year-ago figure of $740 billion.
The collective assessment of analysts points to an estimated 'Gross dollar volume - All Mastercard Credit, Charge and Debit Programs - Latin America' of $224.13 billion. Compared to the current estimate, the company reported $205 billion in the same quarter of the previous year.
The consensus estimate for 'Gross dollar volume - All Mastercard Credit, Charge and Debit Programs - Worldwide less United States' stands at $1,721.48 billion. Compared to the current estimate, the company reported $1,578 billion in the same quarter of the previous year.
Analysts forecast 'Gross dollar volume - All Mastercard Credit, Charge and Debit Programs - Worldwide' to reach $2,481.19 billion. Compared to the current estimate, the company reported $2,290 billion in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Gross dollar volume - All Mastercard Credit, Charge and Debit Programs - United States' should arrive at $759.72 billion. Compared to the present estimate, the company reported $712 billion in the same quarter last year.
View all Key Company Metrics for MasterCard here>>>
MasterCard shares have witnessed a change of -1.3% in the past month, in contrast to the Zacks S&P 500 composite's -4.3% move. With a Zacks Rank #3 (Hold), MA is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Mastercard Incorporated (MA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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