MasterCard (MA) Beats Q3 Earnings and Revenue Estimates

Core Insights - MasterCard reported quarterly earnings of $3.89 per share, exceeding the Zacks Consensus Estimate of $3.73 per share, and showing an increase from $3.39 per share a year ago, representing an earnings surprise of 4.29% [1] - The company achieved revenues of $7.37 billion for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 1.60% and up from $6.53 billion year-over-year [2] - MasterCard has consistently surpassed consensus EPS and revenue estimates over the last four quarters [2] Earnings Outlook - The sustainability of MasterCard's stock price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $3.68 on revenues of $7.4 billion, and for the current fiscal year, it is $14.33 on revenues of $27.95 billion [7] Industry Context - The Financial Transaction Services industry, to which MasterCard belongs, is currently ranked in the top 32% of over 250 Zacks industries, indicating a favorable outlook for the sector [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact MasterCard's stock performance [5][6]