Top Stock Reports for Mastercard, T-Mobile & Petroleo Brasileiro

Thursday, March 13, 2025

The Zacks Research Daily presents the best research output of our analyst team. Today’s Research Daily features new research reports on 12 major stocks, including Mastercard Inc. (MA), T-Mobile US, Inc. (TMUS) and Petróleo Brasileiro S.A. – Petrobras (PBR), as well as a micro-cap stock Where Food Comes From, Inc. (WFCF). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.

These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.

You can see all of today’s research reports here >>>

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Today’s Featured Research Reports

Shares of Mastercard have gained +11% over the past year against the Zacks Financial Transaction Services industry’s gain of +13.9%. The company’s acquisitions are helping it to grow addressable markets and drive new revenue streams. It expects low-double-digit net revenue growth in 1Q25. 

The accelerated adoption of digital and contactless solutions is providing an opportunity for its business to expedite its shift to the digital mode. Strong cash flow supports its growth initiatives and enables shareholder value-boosting efforts through repurchases and dividends. But, its dividend yield is lower than the industry average. 

Growing operations will likely support a future rebound of MA’s shares. Steep operating expenses might stress its margins in the future. The Zacks analyst expect adjusted operating costs to jump 13% in 2025. High rebates and incentives may weigh on net revenues. Also, the stock is overvalued than the industry.

(You can read the full research report on Mastercard here >>>)

T-Mobile’s shares have outperformed the Zacks Wireless National industry over the past year (+58.0% vs. +41.5%). The company is benefiting from industry-leading postpaid customer growth with a record-low churn rate. Its acquisition strategy has significantly strengthened its position in the wireless industry over the past few years. 

TMUS’ 2.5 GHz 5G spectrum delivers superfast speeds and extensive coverage with signals that go through walls and trees. This boosts its competitive edge against companies that provide 5G networks controlled by the mmWave spectrum. Solid growth in free cash flow accentuates efficient capital management. 

However, owing to the stock’s premium valuation, we believe investors should remain cautious as macroeconomic factors, market saturation, or economic downturns can significantly impact overvalued stocks like TMUS. Fierce competition is straining profitability. The high debt burden remains a major concern.

(You can read the full research report on T-Mobile here >>>)

Petroleo Brasileiro’s shares have underperformed the Zacks Oil and Gas – Integrated – International industry over the past year (-3.1% vs. +1.9%). The company is exposed to significant exposure to the volatile Brazilian real, and currency risk. Having said all of this, Petrobras is still reeling under huge debt burden cannot be overlooked. 

Being a state-controlled entity, Petrobras also faces political and regulatory uncertainties. As such, Petrobras warrants a cautious stance at the moment. Nevertheless, Brazil’s state-run oil and natural gas giant Petrobras is riding high on the back of its impressive portfolio, particularly in the country’s pre-salt reservoirs. 

It is the operator in most of these areas and holds interests in them ranging from 20% to 100%. This puts Petrobras in an enviable position to maintain an impressive production growth profile for years to come. Meanwhile, Petrobras is investing in renewable diesel and low-carbon projects, though its energy transition lags behind peers.

(You can read the full research report on Petroleo Brasileiro here >>>)

Shares of Where Food Comes From have underperformed the Zacks Consumer Services – Miscellaneous industry over the past year (-5.8% vs. -0.5%). This microcap company with market capitalization of $59.41million is facing risks which include cattle industry contraction, stagnant core revenue growth, rising SG&A expenses, reliance on Bitcoin-related gains and increasing competition in verification markets. Regulatory shifts and industry cyclicality add uncertainty to long-term growth.

Nevertheless, Where Food Comes From maintains a strong gross margin (41.9% in 2024 versus 43.4% in 2023) despite inflationary pressures, supported by bundled verification services and expansion into high-margin sustainability audits. 

The company’s recurring revenue model (79.8% of 2024 sales) ensures stability, with high customer retention among more than 17,500 producers. A strong cash flow and a debt-free balance sheet enable strategic reinvestment and share buybacks (273,057 shares repurchased in 2024). Regulatory tailwinds, ESG demand and industry-leading accreditation provide competitive advantages.

(You can read the full research report on Where Food Comes From here >>>)

Other noteworthy reports we are featuring today include Monster Beverage Corp. (MNST), Fidelity National Information Services, Inc. (FIS) and RBC Bearings Inc. (RBC).

Mark Vickery
Senior Editor

Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>