MoneyGram Extends Tie-Up With CVS For Seamless Transactions

MoneyGram International, Inc. (NASDAQ:MGI) recently announced the expansion of its long-standing collaboration with CVS, the largest retail pharmacy chain in the United States, in terms of locations (around 10,000) and total prescription revenues.

This unique relationship allows customers to send and receive funds in-store from various locations. MoneyGram kiosks are extremely easy to use and also time-saving. This explains the kiosks’ popularity as a self-service option, which in turn, helps simplify and streamline transactions.

The enhancement of the above-mentioned tie-up would aid MoneyGram to continue providing convenient and seamless services to its customers. Its strong network and its relationship with CVS enable it to provide its customers with a unique, high-quality service at the best locations.

MoneyGram, headquartered in Dallas, is the second-largest money transferor in the world. It caters to both individuals and businesses globally. Individuals use the company’s services to transfer money from any country where MoneyGram’s agent location is present. It is a global leader in omnichannel fund transfer and payment services that allow friends and family to smoothly send cash for daily requirements in more than 200 countries and territories.

The company has been constantly taking up initiatives to boost its digital business. Revenues from this business line have been increasing consistently since 2013. MoneyGram has digital partnerships with leading companies around the world, assisting customers to send or receive money in 60 plus countries. Partnerships with Visa (NYSE:V) Direct and Ripple will further ramp up growth of its digital money transfer platform.

Last month, the company expanded its digital capabilities in the Asia Pacific to provide consumers in the region with more options to transfer money. The recent launches of MoneyGram Online in Hong Kong and New Zealand combined with digital partnerships contributed to the company’s solid hold in digital money transfer service. All these initiatives bode well for the long term.

Shares of this Zacks Rank #5 (Strong Sell) company have gained 18.5% in a year's time, outperforming its industry's growth of 12.3%.

Stocks to Consider

Some better-ranked stocks in the same space are AXA Equitable Holdings, Inc. (NYSE:EQH) , PRA Group, Inc. (NASDAQ:PRAA) and On Deck Capital, Inc. (NYSE:ONDK) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

AXA Equitable Holdings works as a diversified financial services company. The company came up with average four-quarter beat of 12.4%.

PRA Group engages in the purchase, collection and management of portfolios of nonperforming loans in the Americas and Europe. It managed to pull off average four-quarter positive surprise of 18.1%.

On Deck Capital operates an online platform for small business lending. It delivered average four-quarter positive surprise of 8.3%.

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