Mastercard Inc (MA) Expected to Announce Earnings of $1.68 Per Share

Wall Street analysts forecast that Mastercard Inc (NYSE:MA) will report earnings per share of $1.68 for the current quarter, Zacks Investment Research reports. Twelve analysts have issued estimates for Mastercard’s earnings, with the highest EPS estimate coming in at $1.75 and the lowest estimate coming in at $1.59. Mastercard posted earnings per share of $1.50 in the same quarter last year, which would indicate a positive year over year growth rate of 12%. The firm is expected to report its next earnings results on Wednesday, May 1st.

On average, analysts expect that Mastercard will report full year earnings of $7.55 per share for the current fiscal year, with EPS estimates ranging from $7.23 to $7.67. For the next fiscal year, analysts anticipate that the company will post earnings of $8.91 per share, with EPS estimates ranging from $8.60 to $9.15. Zacks Investment Research’s EPS calculations are a mean average based on a survey of sell-side research analysts that that provide coverage for Mastercard.

Mastercard (NYSE:MA) last announced its quarterly earnings data on Thursday, January 31st. The credit services provider reported $1.55 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $1.52 by $0.03. Mastercard had a return on equity of 122.25% and a net margin of 39.19%. The business had revenue of $3.81 billion during the quarter, compared to analyst estimates of $3.79 billion.

Several brokerages recently issued reports on MA. Zacks Investment Research lowered Mastercard from a “buy” rating to a “hold” rating in a report on Tuesday, November 20th. Wedbush increased their price objective on Mastercard from $220.00 to $235.00 and gave the stock an “outperform” rating in a report on Thursday. Oppenheimer raised their target price on Mastercard from $221.00 to $242.00 and gave the company an “outperform” rating in a report on Monday, February 4th. Nomura raised their target price on Mastercard to $252.00 and gave the company a “buy” rating in a report on Wednesday, February 20th. Finally, Credit Suisse Group restated a “buy” rating and set a $217.00 target price on shares of Mastercard in a report on Monday, January 7th. Three equities research analysts have rated the stock with a hold rating, twenty-four have given a buy rating and two have issued a strong buy rating to the company’s stock. The stock presently has a consensus rating of “Buy” and a consensus price target of $226.80.

In other news, Director Richard Haythornthwaite sold 5,000 shares of the firm’s stock in a transaction dated Monday, December 17th. The stock was sold at an average price of $192.00, for a total value of $960,000.00. Following the sale, the director now directly owns 40,183 shares of the company’s stock, valued at $7,715,136. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Edward Grunde Mclaughlin sold 20,269 shares of the firm’s stock in a transaction dated Tuesday, January 22nd. The shares were sold at an average price of $199.53, for a total value of $4,044,273.57. Following the completion of the sale, the insider now directly owns 37,374 shares in the company, valued at $7,457,234.22. The disclosure for this sale can be found here. Company insiders own 0.32% of the company’s stock.

Several large investors have recently modified their holdings of MA. Focused Wealth Management Inc acquired a new stake in Mastercard during the fourth quarter worth about $25,000. Ruggie Capital Group acquired a new stake in Mastercard during the fourth quarter worth about $27,000. Valley National Advisers Inc. grew its position in Mastercard by 210.9% during the fourth quarter. Valley National Advisers Inc. now owns 143 shares of the credit services provider’s stock worth $27,000 after buying an additional 97 shares in the last quarter. New Capital Management LP grew its position in Mastercard by 50.0% during the fourth quarter. New Capital Management LP now owns 150 shares of the credit services provider’s stock worth $28,000 after buying an additional 50 shares in the last quarter. Finally, Avondale Wealth Management acquired a new stake in Mastercard during the fourth quarter worth about $28,000. 74.17% of the stock is currently owned by institutional investors.

Shares of NYSE:MA traded up $1.66 during midday trading on Friday, hitting $231.17. 3,894,233 shares of the stock were exchanged, compared to its average volume of 3,630,973. The company has a current ratio of 1.39, a quick ratio of 1.39 and a debt-to-equity ratio of 1.08. Mastercard has a 52-week low of $167.94 and a 52-week high of $232.76. The firm has a market cap of $232.82 billion, a price-to-earnings ratio of 35.62, a P/E/G ratio of 1.81 and a beta of 1.14.

The firm also recently declared a quarterly dividend, which will be paid on Thursday, May 9th. Stockholders of record on Tuesday, April 9th will be given a $0.33 dividend. This represents a $1.32 annualized dividend and a dividend yield of 0.57%. The ex-dividend date of this dividend is Monday, April 8th. Mastercard’s dividend payout ratio is currently 20.34%.

Mastercard announced that its Board of Directors has initiated a stock buyback plan on Tuesday, December 4th that allows the company to repurchase $6.50 billion in outstanding shares. This repurchase authorization allows the credit services provider to purchase shares of its stock through open market purchases. Shares repurchase plans are typically an indication that the company’s board believes its stock is undervalued.

About Mastercard

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.

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Earnings History and Estimates for Mastercard (NYSE:MA)

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