Equities analysts expect Mastercard Inc (NYSE:MA) to announce $3.79 billion in sales for the current fiscal quarter, according to Zacks. Eleven analysts have issued estimates for Mastercard’s earnings, with estimates ranging from $3.74 billion to $3.85 billion. Mastercard posted sales of $3.31 billion during the same quarter last year, which would indicate a positive year-over-year growth rate of 14.5%. The business is scheduled to issue its next earnings results on Thursday, February 7th.
On average, analysts expect that Mastercard will report full year sales of $14.93 billion for the current financial year, with estimates ranging from $14.89 billion to $14.99 billion. For the next fiscal year, analysts forecast that the firm will post sales of $16.85 billion, with estimates ranging from $16.60 billion to $17.05 billion. Zacks Investment Research’s sales calculations are an average based on a survey of sell-side analysts that cover Mastercard.
Mastercard (NYSE:MA) last issued its earnings results on Tuesday, October 30th. The credit services provider reported $1.78 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $1.68 by $0.10. Mastercard had a return on equity of 114.58% and a net margin of 35.88%. The business had revenue of $3.90 billion during the quarter, compared to analysts’ expectations of $3.86 billion. During the same period in the prior year, the firm posted $1.34 EPS. Mastercard’s quarterly revenue was up 14.7% compared to the same quarter last year.
A number of equities analysts have recently issued reports on the company. Wells Fargo & Co increased their target price on Mastercard from $230.00 to $250.00 and gave the stock an “outperform” rating in a report on Monday, October 1st. BMO Capital Markets assumed coverage on Mastercard in a report on Wednesday, September 26th. They issued an “outperform” rating and a $238.00 target price for the company. Goldman Sachs Group raised Mastercard from a “buy” rating to a “conviction-buy” rating in a report on Monday, September 17th. Royal Bank of Canada increased their target price on Mastercard from $223.00 to $232.00 and gave the stock an “outperform” rating in a report on Tuesday, September 11th. They noted that the move was a valuation call. Finally, Credit Suisse Group increased their target price on Mastercard from $210.00 to $224.00 and gave the stock an “outperform” rating in a report on Monday, October 8th. Two analysts have rated the stock with a hold rating, twenty-seven have issued a buy rating and two have assigned a strong buy rating to the company. The stock currently has an average rating of “Buy” and an average target price of $221.28.
Shares of MA opened at $202.99 on Friday. Mastercard has a 1 year low of $147.51 and a 1 year high of $225.35. The company has a quick ratio of 1.55, a current ratio of 1.55 and a debt-to-equity ratio of 1.01. The company has a market capitalization of $207.06 billion, a PE ratio of 44.32, a P/E/G ratio of 1.72 and a beta of 1.21.
The firm also recently declared a quarterly dividend, which will be paid on Friday, February 8th. Investors of record on Wednesday, January 9th will be given a dividend of $0.33 per share. The ex-dividend date is Tuesday, January 8th. This is a positive change from Mastercard’s previous quarterly dividend of $0.25. This represents a $1.32 dividend on an annualized basis and a yield of 0.65%. Mastercard’s dividend payout ratio is 21.83%.
Mastercard announced that its board has approved a share buyback program on Tuesday, December 4th that allows the company to buyback $6.50 million in outstanding shares. This buyback authorization allows the credit services provider to repurchase shares of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board of directors believes its shares are undervalued.
In other Mastercard news, Director Richard K. Davis purchased 2,475 shares of the firm’s stock in a transaction that occurred on Friday, November 2nd. The shares were acquired at an average cost of $196.37 per share, for a total transaction of $486,015.75. Following the transaction, the director now directly owns 3,468 shares in the company, valued at $681,011.16. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 0.32% of the stock is owned by corporate insiders.
A number of institutional investors and hedge funds have recently made changes to their positions in MA. Wedge Capital Management L L P NC bought a new position in Mastercard in the 2nd quarter valued at $224,000. Dana Investment Advisors Inc. boosted its position in Mastercard by 9.6% in the 2nd quarter. Dana Investment Advisors Inc. now owns 201,161 shares of the credit services provider’s stock valued at $39,532,000 after buying an additional 17,600 shares during the last quarter. Synovus Financial Corp boosted its position in Mastercard by 208.5% in the 2nd quarter. Synovus Financial Corp now owns 29,217 shares of the credit services provider’s stock valued at $5,742,000 after buying an additional 19,746 shares during the last quarter. Canal Capital Management LLC bought a new position in Mastercard in the 2nd quarter valued at $283,000. Finally, Smith Asset Management Group LP boosted its position in Mastercard by 4.3% in the 2nd quarter. Smith Asset Management Group LP now owns 75,071 shares of the credit services provider’s stock valued at $14,753,000 after buying an additional 3,070 shares during the last quarter. Hedge funds and other institutional investors own 74.84% of the company’s stock.
Mastercard Incorporated, a technology company, provides transaction processing and other payment-related products and services in the United States and internationally. It facilitates the processing of payment transactions, including authorization, clearing, and settlement, as well as delivers related products and services.
See Also: Cost of Equity For A Business, Investors
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