Mastercard (NYSE:MA) Stock Price Expected to Rise, Truist Financial Analyst Says

Mastercard (NYSE:MA) had its price target boosted by equities research analysts at Truist Financial from $674.00 to $735.00 in a report released on Thursday, Benzinga reports. The firm presently has a “buy” rating on the credit services provider’s stock. Truist Financial‘s target price points to a potential upside of 12.48% from the company’s previous close.

Several other research firms also recently commented on MA. Cantor Fitzgerald boosted their price objective on Mastercard from $695.00 to $765.00 and gave the company an “overweight” rating in a report on Friday, October 30th. Robert W. Baird upped their target price on Mastercard from $660.00 to $710.00 and gave the stock an “outperform” rating in a research report on Friday, October 9th. BMO Capital Markets reiterated an “outperform” rating and issued a $665.00 target price on shares of Mastercard in a report on Thursday, October 15th. Susquehanna lifted their price target on shares of Mastercard from $665.00 to $740.00 and gave the company a “positive” rating in a research report on Friday, October 30th. Finally, Keefe, Bruyette & Woods boosted their price target on shares of Mastercard from $685.00 to $750.00 and gave the company an “outperform” rating in a research note on Friday, October 30th. Two analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $704.62.

Mastercard Stock Down 0.4%

Shares of MA traded down $2.47 during trading hours on Thursday, hitting $653.45. The stock had a trading volume of 3,293,628 shares, compared to its average volume of 3,281,489. Mastercard has a 1-year low of $464.52 and a 1-year high of $681.99. The firm has a market capitalization of $572.43 billion, a P/E ratio of 34.18, a price-to-earnings-growth ratio of 1.86 and a beta of 0.78. The firm has a 50 day simple moving average of $593.15 and a 200-day simple moving average of $539.12. The company has a debt-to-equity ratio of 3.29, a current ratio of 1.01 and a quick ratio of 1.01.

Mastercard (NYSE:MA) last posted its quarterly earnings results on Thursday, October 29th. The credit services provider reported $5.31 earnings per share for the quarter, topping analysts’ consensus estimates of $5.17 by $0.14. The business had revenue of $9.81 billion for the quarter, compared to the consensus estimate of $9.66 billion. Mastercard had a return on equity of 260.86% and a net margin of 46.73%. The firm’s revenue for the quarter was up 14.0% on a year-over-year basis. During the same period in the prior year, the business earned $4.38 EPS. Sell-side analysts predict that Mastercard will post 20.00 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CFO Ling Hai sold 4,317 shares of the stock in a transaction that occurred on Monday, November 2nd. The shares were sold at an average price of $641.00, for a total transaction of $2,767,197.00. Following the completion of the transaction, the chief financial officer directly owned 35,750 shares of the company’s stock, valued at $22,915,750. This represents a 10.77% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Sachin Mehra sold 3,266 shares of the firm’s stock in a transaction on Wednesday, September 2nd. The stock was sold at an average price of $584.00, for a total value of $1,907,344.00. Following the completion of the sale, the insider directly owned 36,650 shares of the company’s stock, valued at $21,403,600. This represents a 8.18% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 25,403 shares of company stock worth $15,428,736. 0.09% of the stock is owned by company insiders.

Institutional Trading of Mastercard

Several hedge funds and other institutional investors have recently modified their holdings of the business. Atlatl Advisers LLC lifted its position in shares of Mastercard by 2.8% during the third quarter. Atlatl Advisers LLC now owns 586 shares of the credit services provider’s stock worth $323,000 after acquiring an additional 16 shares in the last quarter. Foster Group Inc. grew its position in Mastercard by 0.9% during the third quarter. Foster Group Inc. now owns 2,122 shares of the credit services provider’s stock worth $1,170,000 after buying an additional 18 shares in the last quarter. Shakespeare Wealth Management LLC increased its stake in Mastercard by 3.8% in the 3rd quarter. Shakespeare Wealth Management LLC now owns 492 shares of the credit services provider’s stock worth $271,000 after acquiring an additional 18 shares during the last quarter. Bell Investment Advisors Inc raised its holdings in shares of Mastercard by 3.6% in the 3rd quarter. Bell Investment Advisors Inc now owns 513 shares of the credit services provider’s stock valued at $283,000 after acquiring an additional 18 shares in the last quarter. Finally, Athena Wealth Management LLC grew its stake in Mastercard by 3.8% in the 2nd quarter. Athena Wealth Management LLC now owns 514 shares of the credit services provider’s stock worth $264,000 after buying an additional 19 shares in the last quarter. Institutional investors own 97.28% of the company’s stock.

Key Headlines Impacting Mastercard

Here are the key news stories impacting Mastercard this week:

• Positive Sentiment: Q3 results beat expectations: revenue rose 14% year over year to $9.81 billion and adjusted EPS increased 21.2%. Services revenue grew 19%, although higher incentives were flagged as a concern. Mastercard’s 19% Services Growth Steals the Q3 Show: Buy or Hold MA?
• Positive Sentiment: Truist raised its price target to $735 and maintained a Buy rating, signaling potential upside in its view. Truist Financial rating information
• Negative Sentiment: Freedom Broker downgraded MA from Buy to Hold, despite lifting its target to $725. The mixed call may temper enthusiasm after the stock’s recent rally. Freedom Broker rating information
• Negative Sentiment: Valuation is a key risk: coverage notes the recent rally has outpaced changes in earnings estimates, leaving less room for disappointment. Rising incentives could also weigh on margins. Mastercard Stock Rose 22% in a Month. Here’s What Its Price Now Assumes
• Negative Sentiment: Visa and Mastercard face additional collective claims in the UK over card fees, adding potential legal and financial uncertainty. Visa and Mastercard face additional £5bn collective claims over card fees
• Neutral Sentiment: The CFO sold about $2.77 million of MA shares. The sale may attract attention, but the report provides no context on its purpose. Mastercard CFO stock sale

Mastercard Company Profile

Mastercard Incorporated is a global payments technology company that operates a network connecting consumers, merchants, financial institutions, businesses and governments. Its network supports electronic payments, including transactions made with Mastercard-branded credit, debit and prepaid cards, as well as digital payment methods.

The company provides technology for authorizing, clearing and settling transactions. It also offers services related to cybersecurity, identity verification, data analytics, fraud prevention and payment consulting.