Key Points
- CFO Ling Hai sold 4,317 Mastercard shares at an average price of $620, totaling approximately $2.7 million. The transaction was conducted under a pre-arranged Rule 10b5-1 plan and reduced his direct ownership by 10.77%.
- Mastercard recently exceeded earnings and revenue expectations, reporting $5.04 in quarterly EPS and $9.28 billion in revenue, up 14.1% year over year. The stock traded near its 52-week high, with a market capitalization of about $540 billion and a P/E ratio of 33.92.
- Analysts maintain a largely positive view, with a consensus rating of “Moderate Buy” and an average price target of $682.66. Mastercard also declared a quarterly dividend of $0.87 per share, representing a 0.6% annualized yield.
Mastercard Incorporated (NYSE:MA - Get Free Report) CFO Ling Hai sold 4,317 shares of the stock in a transaction on Friday, October 16th. The stock was sold at an average price of $620.00, for a total transaction of $2,676,540.00. Following the sale, the chief financial officer directly owned 35,750 shares in the company, valued at $22,165,000. This trade represents a 10.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Mastercard Trading Down 0.1%
Mastercard stock opened at $616.65 on Tuesday. The company has a market cap of $540.20 billion, a P/E ratio of 33.92, a PEG ratio of 1.76 and a beta of 0.76. Mastercard Incorporated has a 1 year low of $464.52 and a 1 year high of $622.49. The firm's 50-day moving average is $577.08 and its 200-day moving average is $536.11. The company has a debt-to-equity ratio of 3.96, a quick ratio of 1.06 and a current ratio of 1.06.
Mastercard (NYSE:MA - Get Free Report) last issued its earnings results on Thursday, July 30th. The credit services provider reported $5.04 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.77 by $0.27. Mastercard had a net margin of 46.34% and a return on equity of 239.99%. The firm had revenue of $9.28 billion for the quarter, compared to analysts' expectations of $9.08 billion. During the same quarter last year, the company posted $4.15 earnings per share. Mastercard's revenue was up 14.1% on a year-over-year basis. On average, equities analysts expect that Mastercard Incorporated will post 19.91 earnings per share for the current year.
Mastercard Dividend Announcement
The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 9th. Investors of record on Friday, October 9th will be paid a dividend of $0.87 per share. This represents a $3.48 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date is Friday, October 9th. Mastercard's dividend payout ratio is presently 19.14%.
Trending Headlines about Mastercard
Here are the key news stories impacting Mastercard this week:
- Positive Sentiment: Mastercard introduced a Stablecoin Security tool that combines payment and blockchain intelligence to identify fraud, scams and sanctions exposure before stablecoin transactions are completed. The product could support adoption of blockchain-based payments while creating additional risk-management revenue opportunities. Mastercard introduces risk intelligence to enable more secure stablecoin payments
- Positive Sentiment: The company is expanding its crypto team and integrating stablecoin cards and payment capabilities across roughly 130 countries, reinforcing Mastercard’s position as traditional networks connect digital assets with fiat commerce. Stablecoin payments were reported to have grown 45% to $482 billion. Mastercard expands crypto team as stablecoins take center stage
- Positive Sentiment: Mastercard launched an AI-powered Agent Detection Score to estimate whether a transaction was initiated by software rather than a person. The tool may help the network manage fraud and trust risks as autonomous shopping agents become more common. Mastercard unveiled an AI Agent Detection Score
- Positive Sentiment: Partnerships with Extend, Moovn, BankIslami and Powertranz are broadening Mastercard’s business-software, African, Pakistani and restaurant-payment offerings, potentially supporting long-term transaction-volume growth.
- Neutral Sentiment: U.S. officials are pressing China on independent market access for Mastercard’s network. Greater access would be a significant growth opportunity, but the outcome and timing remain uncertain. U.S. officials press China on market access
- Negative Sentiment: CFO Ling Hai sold 4,317 shares worth approximately $2.7 million under a pre-arranged Rule 10b5-1 plan. The sale is a modest negative sentiment signal, although scheduled insider selling does not necessarily indicate a change in business outlook.
- Negative Sentiment: With Mastercard trading near its 52-week high at a valuation of roughly 33 times earnings, expectations are elevated. Investors may demand continued strong growth beyond the most recent quarter’s 14.1% revenue increase and earnings beat.
Analyst Upgrades and Downgrades
Several brokerages have recently issued reports on MA. JPMorgan Chase & Co. boosted their price target on shares of Mastercard from $655.00 to $720.00 and gave the company an "overweight" rating in a report on Friday, July 31st. Weiss Ratings upgraded shares of Mastercard from a "buy (b-)" rating to a "buy (b)" rating in a research report on Friday, October 2nd. Truist Financial boosted their target price on shares of Mastercard from $554.00 to $633.00 and gave the company a "buy" rating in a research note on Wednesday, August 5th. Piper Sandler lifted their price target on Mastercard from $597.00 to $710.00 and gave the company an "overweight" rating in a report on Friday, July 31st. Finally, Evercore increased their price objective on Mastercard from $550.00 to $620.00 in a report on Friday, July 31st. Two equities research analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Mastercard currently has an average rating of "Moderate Buy" and a consensus target price of $682.66.
Read Our Latest Research Report on MA
Institutional Trading of Mastercard
A number of institutional investors have recently made changes to their positions in the stock. Robinswood Financial LLC bought a new position in shares of Mastercard in the first quarter valued at approximately $25,000. Lifetime Wealth Management P.C. acquired a new stake in Mastercard in the fourth quarter worth approximately $33,000. First Pacific Financial lifted its position in Mastercard by 113.8% in the first quarter. First Pacific Financial now owns 62 shares of the credit services provider's stock worth $31,000 after purchasing an additional 33 shares during the period. Allied Private Wealth LLC acquired a new stake in Mastercard in the second quarter worth approximately $34,000. Finally, Premier Financial Group bought a new position in Mastercard during the 2nd quarter valued at $39,000. 97.28% of the stock is owned by institutional investors and hedge funds.
Mastercard Company Profile
(
Get Free Report)
Mastercard Incorporated (NYSE: MA) is a global payments technology company that operates a network connecting consumers, financial institutions, merchants, governments and businesses. The company facilitates electronic payments and provides technology that supports transactions conducted through credit, debit, prepaid and commercial payment products.
In addition to operating its payments network, Mastercard offers services in areas such as payment security, fraud prevention, authentication, cybersecurity, data and analytics, loyalty programs, digital identity and open banking.
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