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

Shares of Mastercard Incorporated (NYSE:MA) have received an average rating of “Moderate Buy” from the thirty analysts that are covering the stock, Marketbeat Ratings reports. Four analysts have rated the stock with a hold recommendation, twenty-four have assigned a buy recommendation and two have assigned a strong buy recommendation to the company. The average 1-year price objective among analysts that have updated their coverage on the stock in the last year is $606.11.

MA has been the subject of a number of recent analyst reports. Piper Sandler restated an “overweight” rating and set a $635.00 price target (up from $591.00) on shares of Mastercard in a report on Friday, January 31st. Royal Bank of Canada increased their price objective on shares of Mastercard from $572.00 to $650.00 and gave the company an “outperform” rating in a research note on Friday, January 31st. Oppenheimer cut their target price on Mastercard from $591.00 to $588.00 and set an “outperform” rating for the company in a research report on Thursday, December 19th. TD Cowen boosted their price target on shares of Mastercard from $533.00 to $567.00 and gave the company a “buy” rating in a research report on Friday, November 15th. Finally, Monness Crespi & Hardt raised Mastercard from a “neutral” rating to a “buy” rating and set a $640.00 price objective on the stock in a research note on Friday, January 31st.

Mastercard Trading Down 1.0 %

Mastercard stock opened at $557.44 on Monday. The firm has a 50 day simple moving average of $538.98 and a 200-day simple moving average of $514.23. Mastercard has a 12-month low of $428.86 and a 12-month high of $576.94. The stock has a market capitalization of $508.22 billion, a PE ratio of 40.13, a price-to-earnings-growth ratio of 2.37 and a beta of 1.10. The company has a debt-to-equity ratio of 2.68, a current ratio of 1.03 and a quick ratio of 1.03.

Mastercard (NYSE:MA) last released its quarterly earnings results on Thursday, January 30th. The credit services provider reported $3.82 earnings per share for the quarter, beating analysts’ consensus estimates of $3.71 by $0.11. Mastercard had a return on equity of 188.47% and a net margin of 45.71%. As a group, equities research analysts expect that Mastercard will post 15.91 EPS for the current fiscal year.

Mastercard announced that its Board of Directors has initiated a stock repurchase plan 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 stock through open market purchases. Stock repurchase plans are often a sign that the company’s management believes its shares are undervalued.

Mastercard Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, May 9th. Investors of record on Wednesday, April 9th will be issued a dividend of $0.76 per share. This represents a $3.04 annualized dividend and a yield of 0.55%. The ex-dividend date of this dividend is Wednesday, April 9th. Mastercard’s payout ratio is 21.89%.

Institutional Trading of Mastercard

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Highline Wealth Partners LLC bought a new stake in shares of Mastercard during the 3rd quarter worth approximately $25,000. NewSquare Capital LLC acquired a new position in Mastercard during the fourth quarter worth $26,000. Marshall Investment Management LLC bought a new stake in Mastercard during the fourth quarter worth $30,000. Measured Risk Portfolios Inc. acquired a new stake in Mastercard in the fourth quarter valued at $31,000. Finally, Halbert Hargrove Global Advisors LLC bought a new position in shares of Mastercard in the 4th quarter valued at about $32,000. Institutional investors and hedge funds own 97.28% of the company’s stock.

Mastercard Company Profile

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.