Core Viewpoint - Mastercard is currently considered the "Stock of the Day" due to being oversold and at a support level, indicating potential for a price rally [1]. Group 1: Market Dynamics - The market is currently quiet as investors await NVIDIA's earnings, but Mastercard's oversold condition may attract buyers anticipating a price increase [1]. - Stocks typically trade within a defined range, and aggressive selling can push prices below this range, leading to oversold conditions [2]. Group 2: Technical Indicators - The Relative Strength Index (RSI) is a tool used to identify oversold stocks, and Mastercard's current RSI indicates it is in an oversold state [3]. - When the RSI line falls below a certain threshold, it signals oversold conditions, which can lead to increased buying interest and a potential price rise [5]. Group 3: Support Levels - Mastercard is at a support level, which is characterized by significant buying interest that can halt or reverse selloffs [5]. - Historical support for Mastercard was observed in June, and the current situation may replicate that, leading to a potential rally as buyers become more aggressive [6].

​Visa Inc. (NYSE:V) is one of the Most Profitable Stocks to Buy Now. On November 12, Visa Inc. (NYSE:V) announced a breakthrough pilot at Web Summit that allows businesses and platforms to send out payouts directly to recipients’ stable coin wallets. ​The pilot allows creators and gig workers a faster way to access funds by bypassing traditional banking delays. Moreover, businesses using Visa Direct can fund payouts in fiat currency, while recipients can opt to receive funds in stable coins, specifically ...

Key Points Thanks to its durable growth, incredible profits, and network effect, Visa is a fine business. Before making a portfolio decision, investors must consider a stock’s valuation. 10 stocks we like better than Visa › In its fiscal 2025 (ended Sept. 30), Visa (NYSE: V) showed that its business continues to operate from a position of strength. Revenue and adjusted net income both posted double-digit percentage increases. But the financial stock's price has only climbed 3.8% this year (as of Nov ...

Core Insights - The article discusses the importance of enabling Javascript and cookies in browsers to ensure proper functionality and access to content [1] Group 1 - The article emphasizes that users may face access issues if they have an ad-blocker enabled, suggesting the need to disable it for a better experience [1]

Core Insights - Robinhood has significantly transformed the discount brokerage industry by introducing free trading, compelling competitors to follow suit [2] - Visa has established itself as a leading payment processor, benefiting from the ongoing shift from cash to card payments, particularly driven by e-commerce growth [4] Company Overview: Robinhood - Robinhood is a relatively young discount brokerage, having gone public in mid-2021, and has only operated in a bull market, which may affect its resilience during market downturns [3] - The company has expanded its offerings beyond stock trading to include cryptocurrency trading and sports betting, aiming to attract more active investors [2] Company Overview: Visa - Visa has a long-standing presence in the market, having gone public in early 2008 during the Great Recession, and it processes card payments for consumers, earning fees for each transaction [4] - Over the past decade, Visa's revenue has grown at an annualized rate of 11%, with earnings increasing by 14% annually, making it attractive to growth investors [5] Valuation Comparison - Visa's current price-to-sales ratio is approximately 18.5, price-to-earnings ratio is 33, and price-to-book ratio is 17.5, with P/S and P/E ratios below their five-year averages [6] - Robinhood's price-to-sales ratio stands at 26.5, price-to-earnings ratio at 50.5, and price-to-book ratio nearly at 13, indicating that it is expensive relative to its own historical metrics [8] Investment Implications - Robinhood's high valuation suggests that investors are pricing in significant future growth, despite the company's lack of experience in bear markets [9] - Visa, while appearing expensive on an absolute basis, is reasonably priced relative to its historical valuation, making it a more stable investment choice compared to Robinhood [12]

Core Insights - American Express Company (AXP) has outperformed the market with a year-to-date increase of 20.4%, significantly surpassing the S&P 500's 16% rise and the broader industry decline of 6.5% [1][3] - The company's premium brand and steady earnings have allowed it to navigate macroeconomic volatility effectively, maintaining a strong reputation as a reliable investment [3][18] Performance Metrics - AXP's stock trades at a forward P/E of 20.67X, below the industry average of 24.19X, while Visa and Mastercard have higher forward P/E ratios of 25.32X and 29.12X, respectively [4] - The company reported an 11% revenue growth, with third-quarter revenues reaching $18.4 billion, and network volumes rose 9% to $479.2 billion [6][10] Business Model and Competitive Advantage - American Express operates a closed-loop system, earning revenue from both transaction fees and interest on cardholder balances, which provides flexibility in varying rate environments [8][9] - The company's affluent customer base continues to spend on discretionary categories, contributing to its stability amid economic pressures [10][11] Analyst Outlook - Analysts project a 15.1% earnings growth for 2025 and a 14.1% increase for 2026, with revenue estimates indicating expansions of 9.3% and 8.3%, respectively [12] - Recent analyst activity has shown upward revisions in estimates, with no downward changes noted in the past month [13] Financial Strength - American Express ended the third quarter with $54.7 billion in cash and cash equivalents and a net debt-to-capital ratio of 4.9%, significantly lower than the industry average of 15.3% [14][15] - The company returned $7.9 billion to shareholders in 2024 through dividends and buybacks, with $2.9 billion distributed in the third quarter of 2025 alone [15] Conclusion - American Express has demonstrated strong performance driven by its premium customer base, solid financial discipline, and unique business model [18] - The company's appealing valuation relative to peers and robust balance sheet position it well to navigate credit cycles while rewarding shareholders [18]

Core Insights - DLocal Limited (DLO) reported strong Q3 results on November 12, showcasing impressive financial performance driven by a surge in payment volume on its platform, which remains underappreciated by the market [1] Financial Performance - The payment processor demonstrated significant growth in payment volume, indicating robust demand for its services [1] Investment Philosophy - The investment approach focuses on identifying mispriced securities by analyzing the underlying drivers of a company's financials, often revealed through a DCF model valuation, allowing for a comprehensive assessment of risk-to-reward [1]

Core Insights - U.S. stocks experienced a rally in Q3, supported by the Federal Reserve's interest rate cut and steady economic data, with the Russell Midcap® Growth Index increasing by 2.78% [3][17] - The Wasatch U.S. Select Fund underperformed, declining by -1.93%, primarily due to concentrated holdings in stocks that faced slower revenue growth [3][4][17] Fund Performance Analysis - The Fund's performance was negatively impacted by a few concentrated stock holdings that reported slower revenue growth, leading to significant declines in their stock prices [4][6] - The investment strategy focuses on high-quality, long-duration growth companies, which faced headwinds as low-quality stocks gained favor in the market [7] Key Detractors - BellRing Brands, Inc. (BRBR) was the largest detractor, with concerns over competition in the protein shake category; however, the long-term outlook remains positive due to category growth potential [8] - Shift4 Payments, Inc. (FOUR) faced stock price declines despite solid organic revenue growth, attributed to macroeconomic concerns and investor sentiment following its acquisition of Global Blue [9] - Inspire Medical Systems, Inc. (INSP) was sold during the quarter after management downgraded guidance due to delays in product rollout, raising execution concerns [10] Top Contributors - Medpace Holdings, Inc. (MEDP) was the top contributor, with strong revenue and earnings growth, raising full-year guidance despite a slowdown in biotech funding [11] - Fabrinet (FN) benefited from strong product adoption, particularly in data centers linked to AI, although the investment is not solely based on AI themes [12] - Nova Ltd. (NVMI) also contributed positively, with a strong track record in semiconductor manufacturing, benefiting from increasing complexity in the industry [13] Future Outlook - The Fund remains committed to its investment philosophy, focusing on high-quality growth companies despite recent underperformance [14] - The fundamentals of the companies within the Fund are encouraging, with strong earnings growth expected to drive return potential over a three- to five-year horizon [15]

Wise Plc - Wise experienced strong growth in transfer volume, new customers, and deposits, with increases ranging from 18% to 37% [1] - Profit before tax and margins declined, while underlying profit increased by 13% with a low take rate of 0.52% [1] - The stock initially reacted strongly but later stabilized, indicating investor understanding of the strategy to gain market share through lower prices [2] Rightmove Plc - Rightmove is a highly profitable company but has seen little share price movement over the past five years [3] - Following a quarterly update, the stock dropped by 28% due to concerns over planned AI investments that may lower operating profit until 2028 [4] - Analysts express skepticism about the scale of AI spending, with expectations that any expenses should be offset by savings [5][6] Eurokai KgAA - Eurokai's 9M trading update indicates strong growth expected in 2025, particularly in the Eurogate segment [7] - The company announced a term sheet to sell 20% of the Eurogate Hamburg Terminal, potentially worth 100 million EUR, with 50% of that benefiting Eurokai [7][8] Bouvet ASA - Bouvet's third quarter was particularly weak, with EPS down approximately 10% year-over-year, attributed to personnel costs growing faster than sales [9] - The stock price reflects limited growth expectations, trading at 15-16x EPS, which is considered cheap [9] Bombardier - Bombardier's Q3 results showed operational improvements, with sales, EBITDA, and EBIT all increasing by over 10% [10] - Significant cash flow improvement in the quarter may enable share buybacks in the future, with the stock price surpassing 200 CAD per share [10]

Financial Data and Key Metrics Changes - Q3 fiscal 2025 saw a record overall transaction volume of $16.2 million, up 8% year over year, leading to a sequential revenue increase of $1.2 million [3] - Adjusted EBITDA for the quarter was $368,000, down from $500,000 in the previous quarter and also down from a year ago [5] - Operating cash flow for the quarter was $1.4 million, with cash increasing to over $7.8 million at quarter end [5][6] Business Line Data and Key Metrics Changes - ACH revenues increased by 30% year over year, marking the eighth consecutive quarter of growth in electronic check transaction volume [16] - Card processing volumes increased, with credit card segment dollars processed up 12% and transactions processed up 75% year over year [8] - Output Solutions generated sequential revenue growth, with electronic-only documents delivered increasing to 20 million pieces, up about 500,000 from a year ago [19] Market Data and Key Metrics Changes - The company is experiencing strong demand in the mortgage servicing and fintech industries, particularly for its PINLESS Debit offering, which saw a 96% increase in transactions processed [16] - The healthcare market is also a focus, with expectations of significant volume increases from key accounts in the upcoming year [18] Company Strategy and Development Direction - The company is focusing on recurring revenue, with most new and total revenue being recurring in nature [4] - Technology upgrades and new product launches are expected to position the company for accelerated growth [7] - The UCO One initiative aims to capture a greater share of customers' electronic payment and printing volume, with a unified platform for customer onboarding [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the strong pipeline of future opportunities and the focus on faster implementations of sold services [25] - The company anticipates a rebound in card issuing performance as comparisons normalize in the upcoming quarters [17] - There is a sense of being on the verge of a potential inflection point, with growing volumes and positive cash flow expected to continue [22][23] Other Important Information - The company has repurchased approximately $750,000 worth of shares year-to-date, with over $3 million remaining on the current repurchase authorization [22][34] - Management is strict about acquisition criteria, focusing on synergy, favorable pricing, and avoiding problematic acquisitions [33] Q&A Session Summary Question: Are there changes in sales cycles affecting future opportunities? - Management noted a strong pipeline and emphasized the focus on implementations rather than sales cycles [25][27] Question: Has the federal government shutdown impacted state or local governments? - Management indicated that they received numerous inquiries from local governments seeking assistance during the shutdown, but some programs may be delayed [30][32] Question: What criteria does the company consider for potential acquisitions? - The company looks for synergy, favorable pricing, and avoids acquisitions with existing issues that could distract from organic growth [33]