Fifth Third Bancorp Trims Stock Position in Mastercard Incorporated (NYSE:MA)

Fifth Third Bancorp trimmed its holdings in Mastercard Incorporated (NYSE:MA) by 0.2% during the 4th quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 709,327 shares of the credit services provider’s stock after selling 1,738 shares during the quarter. Mastercard accounts for approximately 1.4% of Fifth Third Bancorp’s investment portfolio, making the stock its 12th biggest holding. Fifth Third Bancorp’s holdings in Mastercard were worth $373,510,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. Highline Wealth Partners LLC purchased a new stake in shares of Mastercard during the 3rd quarter worth about $25,000. Strategic Investment Solutions Inc. IL acquired a new position in Mastercard in the 2nd quarter worth about $34,000. First Personal Financial Services purchased a new position in Mastercard during the third quarter worth approximately $39,000. Lowe Wealth Advisors LLC grew its holdings in Mastercard by 74.0% in the third quarter. Lowe Wealth Advisors LLC now owns 87 shares of the credit services provider’s stock valued at $43,000 after purchasing an additional 37 shares during the period. Finally, FSA Wealth Management LLC acquired a new position in shares of Mastercard during the 3rd quarter worth approximately $54,000. 97.28% of the stock is owned by institutional investors and hedge funds.

Mastercard Trading Down 0.1 %

Shares of Mastercard stock opened at $533.50 on Friday. The company has a fifty day simple moving average of $524.54 and a 200-day simple moving average of $496.49. Mastercard Incorporated has a 12-month low of $428.86 and a 12-month high of $537.70. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 2.36. The stock has a market cap of $489.66 billion, a price-to-earnings ratio of 40.36, a PEG ratio of 2.10 and a beta of 1.10.

Mastercard (NYSE:MA) last posted its earnings results on Thursday, October 31st. The credit services provider reported $3.89 EPS for the quarter, topping analysts’ consensus estimates of $3.73 by $0.16. The business had revenue of $7.37 billion for the quarter, compared to analysts’ expectations of $7.27 billion. Mastercard had a return on equity of 178.27% and a net margin of 45.26%. The business’s revenue was up 12.8% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $3.39 earnings per share. On average, equities analysts forecast that Mastercard Incorporated will post 14.47 EPS for the current fiscal year.

Mastercard announced that its Board of Directors has approved a share repurchase plan on Tuesday, December 17th that allows the company to repurchase $12.00 billion in shares. This repurchase authorization allows the credit services provider to repurchase up to 2.5% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s board believes its shares are undervalued.

Mastercard Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, February 7th. Investors of record on Thursday, January 9th will be paid a dividend of $0.76 per share. The ex-dividend date is Friday, January 10th. This represents a $3.04 dividend on an annualized basis and a yield of 0.57%. This is a boost from Mastercard’s previous quarterly dividend of $0.66. Mastercard’s dividend payout ratio is currently 23.00%.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the company. Barclays raised their price objective on Mastercard from $536.00 to $576.00 and gave the company an “overweight” rating in a report on Thursday, October 10th. BMO Capital Markets increased their price objective on shares of Mastercard from $550.00 to $565.00 and gave the company an “outperform” rating in a report on Thursday, November 14th. William Blair reiterated an “outperform” rating on shares of Mastercard in a research report on Monday, November 25th. Seaport Res Ptn cut Mastercard from a “strong-buy” rating to a “hold” rating in a report on Tuesday, January 14th. Finally, Mizuho upped their price objective on shares of Mastercard from $496.00 to $532.00 and gave the company an “outperform” rating in a report on Friday, November 1st. Four analysts have rated the stock with a hold rating, twenty-two have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $567.29.

Mastercard 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.