Mastercard (NYSE:MA) Posts Earnings Results, Beats Estimates By $0.16 EPS

Mastercard (NYSE:MA) announced its earnings results on Thursday. The credit services provider reported $3.89 earnings per share for the quarter, beating the consensus estimate of $3.73 by $0.16, Briefing.com reports. Mastercard had a net margin of 46.45% and a return on equity of 179.78%. The business had revenue of $7.37 billion during the quarter, compared to the consensus estimate of $7.27 billion. During the same period in the prior year, the firm earned $3.39 earnings per share. The business’s quarterly revenue was up 12.8% compared to the same quarter last year.

Mastercard Price Performance

Shares of NYSE MA traded up $8.64 during midday trading on Friday, reaching $508.23. The company’s stock had a trading volume of 3,753,679 shares, compared to its average volume of 2,450,197. The company has a market cap of $469.52 billion, a price-to-earnings ratio of 38.95, a price-to-earnings-growth ratio of 2.27 and a beta of 1.10. Mastercard has a one year low of $378.48 and a one year high of $527.90. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 1.95. The company has a 50 day moving average price of $494.93 and a 200 day moving average price of $466.50.

Mastercard Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 8th. Shareholders of record on Wednesday, October 9th will be given a $0.66 dividend. This represents a $2.64 annualized dividend and a yield of 0.52%. The ex-dividend date of this dividend is Wednesday, October 9th. Mastercard’s dividend payout ratio (DPR) is presently 20.18%.

Insiders Place Their Bets

In other news, CMO Venkata R. Madabhushi sold 4,685 shares of the firm’s stock in a transaction on Friday, September 20th. The stock was sold at an average price of $489.86, for a total transaction of $2,294,994.10. Following the completion of the sale, the chief marketing officer now directly owns 15,031 shares of the company’s stock, valued at $7,363,085.66. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. In related news, CFO J. Mehra Sachin sold 13,439 shares of the company’s stock in a transaction that occurred on Monday, August 5th. The shares were sold at an average price of $455.00, for a total value of $6,114,745.00. Following the completion of the sale, the chief financial officer now owns 27,304 shares in the company, valued at approximately $12,423,320. This represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CMO Venkata R. Madabhushi sold 4,685 shares of Mastercard stock in a transaction that occurred on Friday, September 20th. The stock was sold at an average price of $489.86, for a total transaction of $2,294,994.10. Following the transaction, the chief marketing officer now owns 15,031 shares in the company, valued at approximately $7,363,085.66. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 340,809 shares of company stock worth $159,610,703. 0.10% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

MA has been the subject of several recent analyst reports. BMO Capital Markets restated an “outperform” rating and set a $520.00 target price on shares of Mastercard in a research note on Wednesday, August 14th. Barclays upped their target price on Mastercard from $536.00 to $576.00 and gave the company an “overweight” rating in a research report on Thursday, October 10th. William Blair raised shares of Mastercard to a “strong-buy” rating in a research report on Wednesday, July 31st. Argus upgraded shares of Mastercard to a “strong-buy” rating in a research note on Thursday, August 1st. Finally, Compass Point assumed coverage on shares of Mastercard in a research note on Wednesday, September 4th. They set a “neutral” rating and a $525.00 price objective on the stock. Four investment analysts have rated the stock with a hold rating, twenty have issued a buy rating and three have issued a strong buy rating to the company’s stock. According to data from MarketBeat, Mastercard has an average rating of “Moderate Buy” and an average price target of $537.92.

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.