Mastercard Incorporated $MA Shares Acquired by Arrowstreet Capital Limited Partnership

Arrowstreet Capital Limited Partnership grew its stake in Mastercard Incorporated (NYSE:MA) by 17.8% during the first quarter, Holdings Channel.com reports. The fund owned 3,666,018 shares of the credit services provider’s stock after acquiring an additional 554,366 shares during the period. Mastercard accounts for about 1.0% of Arrowstreet Capital Limited Partnership’s investment portfolio, making the stock its 12th biggest position. Arrowstreet Capital Limited Partnership’s holdings in Mastercard were worth $1,831,763,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also modified their holdings of the company. Vanguard Group Inc. increased its position in shares of Mastercard by 0.6% during the fourth quarter. Vanguard Group Inc. now owns 79,897,854 shares of the credit services provider’s stock worth $45,612,087,000 after acquiring an additional 466,514 shares during the period. J. Stern & Co. LLP boosted its stake in shares of Mastercard by 53,535.0% in the 4th quarter. J. Stern & Co. LLP now owns 72,597,097 shares of the credit services provider’s stock valued at $41,444,231,000 after buying an additional 72,461,743 shares during the period. State Street Corp boosted its stake in shares of Mastercard by 2.8% in the 3rd quarter. State Street Corp now owns 36,580,374 shares of the credit services provider’s stock valued at $20,807,283,000 after buying an additional 997,536 shares during the period. Geode Capital Management LLC grew its position in shares of Mastercard by 1.7% during the fourth quarter. Geode Capital Management LLC now owns 20,686,605 shares of the credit services provider’s stock worth $11,773,153,000 after buying an additional 349,369 shares in the last quarter. Finally, Capital International Investors grew its position in shares of Mastercard by 4.4% during the fourth quarter. Capital International Investors now owns 17,964,658 shares of the credit services provider’s stock worth $10,256,368,000 after buying an additional 759,584 shares in the last quarter. 97.28% of the stock is currently owned by hedge funds and other institutional investors.

Mastercard Price Performance

Shares of NYSE MA opened at $530.52 on Friday. The company has a current ratio of 0.98, a quick ratio of 0.98 and a debt-to-equity ratio of 2.56. Mastercard Incorporated has a twelve month low of $464.52 and a twelve month high of $601.77. The stock has a 50 day moving average of $507.37 and a two-hundred day moving average of $514.85. The stock has a market cap of $468.75 billion, a P/E ratio of 30.70, a P/E/G ratio of 1.66 and a beta of 0.73.

Mastercard (NYSE:MA) last announced its earnings results on Thursday, April 30th. The credit services provider reported $4.60 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.41 by $0.19. Mastercard had a net margin of 45.88% and a return on equity of 212.96%. The business had revenue of $8.40 billion for the quarter, compared to analyst estimates of $8.26 billion. During the same period last year, the firm posted $3.73 earnings per share. The company’s revenue for the quarter was up 15.8% compared to the same quarter last year. On average, research analysts forecast that Mastercard Incorporated will post 19.62 earnings per share for the current year.

Mastercard Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 7th. Stockholders of record on Thursday, July 9th will be issued a $0.87 dividend. This represents a $3.48 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend is Thursday, July 9th. Mastercard’s dividend payout ratio is presently 20.14%.

Mastercard News Roundup

Here are the key news stories impacting Mastercard this week:

• Positive Sentiment: Mastercard announced new enhancements to its virtual card platform, including stronger security controls, embedded payments capabilities, and single-API access. This supports growth in B2B payments and could improve adoption of Mastercard’s commercial payment tools. Mastercard Expands Virtual Card Platform with New Security Controls, Embedded Payments Network and Single API Access
• Positive Sentiment: Mastercard is being highlighted by commentators like Jim Cramer as a “tech company in bank clothing,” reinforcing the market’s view of MA as a high-margin payments compounder with durable growth characteristics. Mastercard (NYSE:MA): Jim Cramer’s “Tech Company in Bank Clothing”
• Positive Sentiment: Wall Street expectations are building for Mastercard’s upcoming earnings report, with analysts looking for another earnings beat and continued profit growth. That can support the stock if results and guidance confirm strong consumer spending and transaction volume trends. MasterCard (MA) Reports Next Week: Wall Street Expects Earnings Growth
• Neutral Sentiment: Mastercard is also expanding into the creator economy through a new debit card partnership, which adds another growth avenue but is not yet large enough to move fundamentals on its own. Mastercard Sees the Next Payments Customer in the Creator Economy
• Neutral Sentiment: Several recent articles and market commentary have focused on Mastercard’s valuation, long-term moat, and competitive positioning versus peers like Affirm. These pieces are more about sentiment than immediate catalysts, though they contribute to the mixed tone around the stock. Mastercard vs. Affirm: Which Fintech Stock Has More Room to Run?
• Negative Sentiment: Some coverage suggests Mastercard may be less attractive than faster-growing fintech names such as Affirm on a valuation and upside basis, which could temper investor enthusiasm. Mastercard vs. Affirm: Which Fintech Stock Has More Room to Run?
• Negative Sentiment: There is also ongoing speculation about a possible sale of a majority stake in Mastercard’s UK payments subsidiary Vocalink, which adds uncertainty around a key infrastructure asset. Is Mastercard (MA) Cheap Or Fully Valued On Vocalink Sale Talk?

Insider Transactions at Mastercard

In related news, insider Sandra A. Arkell sold 200 shares of the firm’s stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $540.00, for a total transaction of $108,000.00. Following the transaction, the insider owned 3,322 shares of the company’s stock, valued at $1,793,880. This trade represents a 5.68% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Raj Seshadri sold 4,828 shares of Mastercard stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $525.00, for a total value of $2,534,700.00. Following the completion of the transaction, the insider owned 16,429 shares in the company, valued at $8,625,225. This trade represents a 22.71% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 7,005 shares of company stock worth $3,689,976. Corporate insiders own 0.09% of the company’s stock.

Wall Street Analysts Forecast Growth

MA has been the subject of several analyst reports. Susquehanna lowered their price target on shares of Mastercard from $670.00 to $665.00 and set a “positive” rating for the company in a report on Friday, May 1st. Wall Street Zen lowered shares of Mastercard from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Loop Capital reaffirmed a “buy” rating and set a $631.00 price objective on shares of Mastercard in a research report on Wednesday, June 3rd. Citigroup lowered their target price on shares of Mastercard from $735.00 to $675.00 and set a “buy” rating for the company in a research note on Tuesday, April 14th. Finally, BMO Capital Markets started coverage on Mastercard in a research report on Tuesday, April 21st. They set an “outperform” rating and a $605.00 price objective for the company. Eight equities research analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Mastercard has an average rating of “Buy” and an average price target of $653.92.

About Mastercard

Mastercard Incorporated is a global payments technology company that operates a network connecting consumers, financial institutions, merchants, governments and businesses in more than 200 countries and territories. The company facilitates electronic payments and transaction processing for credit, debit and prepaid card products carrying the Mastercard brand, while also providing a range of payment-related services to issuers, acquirers and merchants. Its technology and network enable authorization, clearing and settlement of payments and support a broad set of use cases including point-of-sale, e-commerce and mobile payments.

Beyond core transaction processing, Mastercard offers a suite of value-added services such as fraud and risk management, identity and authentication tools, tokenization and digital wallet support, cross-border and commercial payment solutions, and data analytics and consulting services for merchants and financial partners.