Mastercard (NYSE:MA – Free Report) had its price target upped by Royal Bank Of Canada from $696.00 to $742.00 in a research note published on Friday,Benzinga reports. They currently have an outperform rating on the credit services provider’s stock.
Several other equities research analysts have also recently issued reports on the company. Barclays raised their target price on Mastercard from $660.00 to $700.00 and gave the stock an “overweight” rating in a research note on Friday. KeyCorp boosted their price target on shares of Mastercard from $722.00 to $735.00 and gave the company an “overweight” rating in a research note on Friday. The Goldman Sachs Group reaffirmed a “buy” rating and set a $701.00 price objective (up from $674.00) on shares of Mastercard in a research report on Thursday, July 30th. Wolfe Research raised their price target on Mastercard from $680.00 to $740.00 and gave the stock an “outperform” rating in a research report on Tuesday, August 25th. Finally, Rothschild & Co Redburn decreased their target price on Mastercard from $710.00 to $688.00 and set a “buy” rating on the stock in a research note on Wednesday, September 2nd. Two 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 given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $698.36.
Read Our Latest Stock Analysis on MA
Mastercard Stock Up 0.4%
NYSE MA opened at $638.50 on Friday. The business’s fifty day simple moving average is $586.79 and its 200-day simple moving average is $536.21. The company has a quick ratio of 1.06, a current ratio of 1.01 and a debt-to-equity ratio of 3.29. The firm has a market cap of $559.33 billion, a PE ratio of 33.39, a P/E/G ratio of 1.81 and a beta of 0.76. Mastercard has a 52 week low of $464.52 and a 52 week high of $644.24.
Mastercard (NYSE:MA – Get Free Report) last announced its quarterly earnings data on Thursday, October 29th. The credit services provider reported $5.31 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $5.17 by $0.14. Mastercard had a net margin of 46.73% and a return on equity of 260.86%. The firm had revenue of $9.81 billion during the quarter, compared to analyst estimates of $9.66 billion. During the same quarter in the prior year, the firm posted $4.38 earnings per share. Mastercard’s quarterly revenue was up 14.0% on a year-over-year basis. As a group, equities analysts anticipate that Mastercard will post 19.91 earnings per share for the current year.
Mastercard Announces Dividend
The business also recently declared a quarterly dividend, which will be paid on Monday, November 9th. Shareholders of record on Friday, October 9th will be issued a dividend of $0.87 per share. The ex-dividend date is Friday, October 9th. This represents a $3.48 annualized dividend and a yield of 0.5%. Mastercard’s dividend payout ratio is 18.20%.
Insider Activity
In related news, CEO Michael Miebach sold 15,372 shares of the firm’s stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $575.00, for a total value of $8,838,900.00. Following the sale, the chief executive officer owned 93,693 shares of the company’s stock, valued at $53,873,475. This trade represents a 14.09% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Sachin Mehra sold 3,266 shares of Mastercard stock in a transaction that occurred on Wednesday, September 2nd. The stock was sold at an average price of $584.00, for a total transaction of $1,907,344.00. Following the completion of the transaction, the insider owned 36,650 shares of the company’s stock, valued at $21,403,600. This represents a 8.18% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 56,048 shares of company stock valued at $32,527,203. 0.09% of the stock is owned by corporate insiders.
Institutional Trading of Mastercard
A number of institutional investors have recently bought and sold shares of MA. Covestor Ltd lifted its position in shares of Mastercard by 3.1% during the 3rd quarter. Covestor Ltd now owns 978 shares of the credit services provider’s stock worth $539,000 after buying an additional 29 shares during the last quarter. Richardson Financial Services Inc. boosted its stake in Mastercard by 1.9% in the third quarter. Richardson Financial Services Inc. now owns 1,164 shares of the credit services provider’s stock valued at $642,000 after acquiring an additional 22 shares in the last quarter. Ascent Group LLC grew its holdings in shares of Mastercard by 9.8% during the third quarter. Ascent Group LLC now owns 28,093 shares of the credit services provider’s stock worth $15,493,000 after purchasing an additional 2,499 shares during the last quarter. Caldwell Trust Co increased its position in shares of Mastercard by 0.7% during the third quarter. Caldwell Trust Co now owns 24,108 shares of the credit services provider’s stock worth $13,295,000 after purchasing an additional 160 shares in the last quarter. Finally, 3Chopt Investment Partners LLC lifted its holdings in shares of Mastercard by 5.1% in the 3rd quarter. 3Chopt Investment Partners LLC now owns 6,510 shares of the credit services provider’s stock valued at $3,590,000 after purchasing an additional 318 shares during the last quarter. 97.28% of the stock is owned by hedge funds and other institutional investors.
Key Headlines Impacting Mastercard
Here are the key news stories impacting Mastercard this week:
- Positive Sentiment: Q3 results exceeded expectations: Mastercard reported adjusted earnings of $5.31 per share versus the $5.17 consensus, while revenue rose 14% year over year to $9.81 billion, ahead of the $9.66 billion estimate. Net income increased 18% to approximately $4.6 billion. Reuters earnings article
- Positive Sentiment: Payment activity and services remained strong: Purchase volume rose 9%, cross-border volume increased 11%, and switched transactions grew 9% on a local-currency basis. Value-added services revenue advanced 19%, supported by fraud prevention, data and marketing offerings, while the adjusted operating margin reached 60.5%.
- Positive Sentiment: Analyst sentiment improved materially: TD Cowen, Wells Fargo, RBC, Barclays, Keefe, Bruyette & Woods and Susquehanna all raised their price targets, with targets ranging from $700 to $750 and ratings including “buy,” “overweight” and “outperform.” Analysts also highlighted Mastercard’s potential in AI commerce, tokenized payments and stablecoins. Zacks earnings call article
- Neutral Sentiment: Mastercard continues expanding its payments ecosystem through partnerships involving Google Pay, pay-by-bank services, co-branded cards and agentic commerce. These initiatives could support long-term transaction growth, although their near-term financial contribution is uncertain.
- Negative Sentiment: Investors face legal and financial risks. A proposed £5 billion UK collective lawsuit alleges Mastercard’s interchange fees harmed merchants. Separately, nine-month operating cash flow declined 6%, while buybacks and dividends exceeded operating cash flow and debt increased by roughly $4.9 billion. UK lawsuit article
About Mastercard
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.
Read More
- Five stocks we like better than Mastercard
- Amazon’s Record Margins Couldn’t Stop the Sell-Off—Here’s Why
- DoorDash’s $17 Billion Bet on Instacart Faces a Long Regulatory Road Ahead
- FTC Puts A Wrinkle In the Cintas and UniFirst Merger
- Breaching the Valuation: The Real Reason Fortinet Dropped
Receive News & Ratings for Mastercard Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mastercard and related companies with MarketBeat.com's FREE daily email newsletter.
