RMR Wealth Builders Raises Position in Mastercard Incorporated (NYSE:MA)

RMR Wealth Builders increased its holdings in shares of Mastercard Incorporated (NYSE:MA) by 0.9% during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 4,526 shares of the credit services provider’s stock after buying an additional 40 shares during the quarter. RMR Wealth Builders’ holdings in Mastercard were worth $2,383,000 as of its most recent filing with the Securities and Exchange Commission.

Other large investors have also recently added to or reduced their stakes in the company. AdvisorShares Investments LLC boosted its holdings in Mastercard by 5.3% in the second quarter. AdvisorShares Investments LLC now owns 1,007 shares of the credit services provider’s stock valued at $441,000 after acquiring an additional 51 shares during the last quarter. American Century Companies Inc. lifted its stake in shares of Mastercard by 0.9% in the 2nd quarter. American Century Companies Inc. now owns 4,250,760 shares of the credit services provider’s stock valued at $1,875,266,000 after purchasing an additional 38,380 shares in the last quarter. Qsemble Capital Management LP acquired a new stake in Mastercard during the 2nd quarter worth approximately $1,998,000. Y.D. More Investments Ltd grew its stake in Mastercard by 5.0% during the second quarter. Y.D. More Investments Ltd now owns 14,299 shares of the credit services provider’s stock worth $6,308,000 after buying an additional 675 shares during the period. Finally, Achmea Investment Management B.V. increased its position in shares of Mastercard by 10.3% in the second quarter. Achmea Investment Management B.V. now owns 77,179 shares of the credit services provider’s stock worth $34,048,000 after acquiring an additional 7,222 shares in the last quarter. 97.28% of the stock is currently owned by hedge funds and other institutional investors.

Mastercard Stock Performance

Mastercard stock traded down $10.12 during midday trading on Friday, reaching $505.52. 2,815,460 shares of the stock traded hands, compared to its average volume of 2,472,708. The firm has a fifty day moving average price of $524.15 and a two-hundred day moving average price of $491.44. Mastercard Incorporated has a fifty-two week low of $425.48 and a fifty-two week high of $537.70. The firm has a market cap of $463.98 billion, a price-to-earnings ratio of 38.24, a PEG ratio of 2.36 and a beta of 1.10. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 2.36.

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

Mastercard declared that its Board of Directors has authorized a stock buyback plan on Tuesday, December 17th that permits the company to buyback $12.00 billion in shares. This buyback authorization permits the credit services provider to reacquire up to 2.5% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s leadership believes its stock is undervalued.

Mastercard Increases Dividend

The business also recently disclosed 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. This represents a $3.04 dividend on an annualized basis and a dividend yield of 0.60%. The ex-dividend date is Friday, January 10th. This is a positive change from Mastercard’s previous quarterly dividend of $0.66. Mastercard’s dividend payout ratio (DPR) is currently 23.00%.

Analysts Set New Price Targets

MA has been the subject of several recent research reports. Barclays increased their price target on Mastercard from $536.00 to $576.00 and gave the company an “overweight” rating in a report on Thursday, October 10th. TD Cowen raised their target price on Mastercard from $533.00 to $567.00 and gave the company a “buy” rating in a report on Friday, November 15th. Jefferies Financial Group upped their price target on Mastercard from $590.00 to $610.00 and gave the stock a “buy” rating in a report on Monday, December 9th. Piper Sandler reiterated an “overweight” rating and set a $575.00 price objective (up previously from $565.00) on shares of Mastercard in a research note on Friday, November 15th. Finally, William Blair restated an “outperform” rating on shares of Mastercard in a research note on Monday, November 25th. Three research analysts have rated the stock with a hold rating, twenty-three have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, Mastercard presently has an average rating of “Moderate Buy” and an average target price of $562.76.

About Mastercard

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.