Mastercard Incorporated (NYSE:MA) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

Mastercard Incorporated (NYSE:MA) has been given a consensus rating of “Moderate Buy” by the thirty analysts that are presently covering the company, MarketBeat reports. Four equities research analysts have rated the stock with a hold recommendation, twenty-four have assigned a buy recommendation and two have given a strong buy recommendation to the company. The average 1-year target price among brokerages that have issued ratings on the stock in the last year is $606.11.

MA has been the topic of a number of recent analyst reports. Citigroup raised their price target on shares of Mastercard from $584.00 to $650.00 and gave the company a “buy” rating in a research report on Friday, January 31st. DZ Bank upgraded Mastercard from a “hold” rating to a “buy” rating and set a $620.00 target price on the stock in a research note on Tuesday, February 4th. Oppenheimer reduced their target price on Mastercard from $591.00 to $588.00 and set an “outperform” rating for the company in a report on Thursday, December 19th. Jefferies Financial Group lifted their price target on Mastercard from $590.00 to $610.00 and gave the stock a “buy” rating in a report on Monday, December 9th. Finally, Barclays raised their target price on Mastercard from $595.00 to $650.00 and gave the company an “overweight” rating in a research report on Monday, February 3rd.

Insider Buying and Selling

In related news, insider Edward Grunde Mclaughlin sold 7,132 shares of the firm’s stock in a transaction that occurred on Wednesday, March 19th. The stock was sold at an average price of $534.68, for a total transaction of $3,813,337.76. Following the completion of the transaction, the insider now owns 34,524 shares of the company’s stock, valued at $18,459,292.32. This trade represents a 17.12 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.10% of the stock is owned by company insiders.

Hedge Funds Weigh In On Mastercard

Several institutional investors and hedge funds have recently modified their holdings of MA. NewSquare Capital LLC bought a new stake in Mastercard during the 4th quarter valued at about $26,000. Measured Risk Portfolios Inc. bought a new stake in shares of Mastercard during the fourth quarter valued at approximately $31,000. Halbert Hargrove Global Advisors LLC bought a new stake in shares of Mastercard during the fourth quarter valued at approximately $32,000. Marshall Investment Management LLC purchased a new position in Mastercard in the 4th quarter worth approximately $30,000. Finally, 10Elms LLP bought a new position in Mastercard in the 4th quarter valued at approximately $33,000. 97.28% of the stock is currently owned by institutional investors.

Mastercard Stock Performance

Shares of MA opened at $536.08 on Friday. The firm has a market capitalization of $488.74 billion, a P/E ratio of 38.59, a P/E/G ratio of 2.37 and a beta of 1.10. Mastercard has a 52 week low of $428.86 and a 52 week high of $582.23. The stock has a 50 day moving average price of $546.96 and a two-hundred day moving average price of $524.00. The company has a debt-to-equity ratio of 2.68, a quick ratio of 1.03 and a current ratio of 1.03.

Mastercard (NYSE:MA) last announced its quarterly earnings results on Thursday, January 30th. The credit services provider reported $3.82 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.71 by $0.11. Mastercard had a return on equity of 188.47% and a net margin of 45.71%. Equities analysts forecast that Mastercard will post 15.91 earnings per share for the current fiscal year.

Mastercard Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 9th. Shareholders of record on Wednesday, April 9th will be given a dividend of $0.76 per share. This represents a $3.04 annualized dividend and a yield of 0.57%. The ex-dividend date of this dividend is Wednesday, April 9th. Mastercard’s dividend payout ratio is currently 21.89%.

Mastercard announced that its board has authorized a share buyback program on Tuesday, December 17th that allows the company to repurchase $12.00 billion in outstanding shares. This repurchase authorization allows the credit services provider to repurchase up to 2.5% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company’s board of directors believes its shares are undervalued.

About Mastercard

Mastercard Incorporated, a technology company, provides transaction processing and other payment-related products and services in the United States and internationally. The company offers integrated products and value-added services for account holders, merchants, financial institutions, digital partners, businesses, governments, and other organizations, such as programs that enable issuers to provide consumers with credits to defer payments; payment products and solutions that allow its customers to access funds in deposit and other accounts; prepaid programs services; and commercial credit, debit, and prepaid payment products and solutions.