1248 Management LLC Makes New Investment in Mastercard Incorporated $MA

Key Points

• 1248 Management LLC has made a new investment in Mastercard by purchasing 515 shares valued at approximately $282,000 during the first quarter.
• Institutional investors heavily own Mastercard, with an impressive 97.28% of the stock held by hedge funds and institutional investors.
• Mastercard reported a strong quarterly earnings performance, with revenue of $8.13 billion and earnings per share of $4.15, surpassing analysts' expectations.

1248 Management LLC purchased a new position in shares of Mastercard Incorporated (NYSE:MA - Free Report) during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm purchased 515 shares of the credit services provider's stock, valued at approximately $282,000.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in MA. GAMMA Investing LLC grew its position in Mastercard by 65,631.5% during the 1st quarter. GAMMA Investing LLC now owns 8,225,637 shares of the credit services provider's stock worth $4,508,636,000 after purchasing an additional 8,213,123 shares during the period. Nuveen LLC acquired a new stake in Mastercard during the 1st quarter worth about $4,238,764,000. Wellington Management Group LLP grew its position in Mastercard by 38.6% during the 1st quarter. Wellington Management Group LLP now owns 13,526,118 shares of the credit services provider's stock worth $7,413,936,000 after purchasing an additional 3,765,378 shares during the period. Universal Beteiligungs und Servicegesellschaft mbH acquired a new stake in Mastercard during the 4th quarter worth about $561,313,000. Finally, Price T Rowe Associates Inc. MD increased its stake in shares of Mastercard by 4.7% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 20,096,979 shares of the credit services provider's stock valued at $11,015,557,000 after purchasing an additional 907,184 shares in the last quarter. 97.28% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities analysts recently weighed in on MA shares. Wells Fargo & Company lifted their price target on Mastercard from $625.00 to $650.00 and gave the company an "overweight" rating in a research note on Friday, August 1st. KeyCorp lifted their price target on Mastercard from $635.00 to $660.00 and gave the company an "overweight" rating in a research note on Friday, August 1st. Truist Financial cut their price target on Mastercard from $640.00 to $612.00 and set a "buy" rating for the company in a research note on Thursday, July 17th. Jefferies Financial Group restated a "buy" rating on shares of Mastercard in a research note on Friday, June 6th. Finally, Seaport Res Ptn upgraded Mastercard from a "hold" rating to a "strong-buy" rating in a research note on Monday, July 14th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-four have given a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, Mastercard has a consensus rating of "Moderate Buy" and an average price target of $626.54.

Insider Buying and Selling

In other news, CFO J. Mehra Sachin sold 17,263 shares of the business's stock in a transaction that occurred on Tuesday, September 2nd. The stock was sold at an average price of $591.00, for a total transaction of $10,202,433.00. Following the transaction, the chief financial officer directly owned 31,234 shares in the company, valued at $18,459,294. The trade was a 35.60% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Julius Genachowski sold 312 shares of the business's stock in a transaction that occurred on Monday, July 7th. The stock was sold at an average price of $570.67, for a total value of $178,049.04. Following the transaction, the director owned 8,469 shares in the company, valued at approximately $4,833,004.23. This represents a 3.55% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 49,094 shares of company stock worth $26,521,861 in the last quarter. 0.09% of the stock is owned by insiders.

Mastercard Trading Up 1.7%

MA stock opened at $589.12 on Friday. The company has a current ratio of 1.16, a quick ratio of 1.16 and a debt-to-equity ratio of 2.41. Mastercard Incorporated has a 12-month low of $465.59 and a 12-month high of $601.77. The stock has a market cap of $532.57 billion, a price-to-earnings ratio of 39.72, a PEG ratio of 2.37 and a beta of 0.99. The business's 50-day moving average is $574.32 and its 200 day moving average is $558.24.

Mastercard (NYSE:MA - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The credit services provider reported $4.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.05 by $0.10. Mastercard had a return on equity of 200.01% and a net margin of 44.93%.The company had revenue of $8.13 billion for the quarter, compared to analysts' expectations of $7.95 billion. During the same period in the previous year, the firm posted $3.50 EPS. Mastercard's revenue was up 16.8% compared to the same quarter last year. On average, sell-side analysts anticipate that Mastercard Incorporated will post 15.91 EPS for the current fiscal year.

Mastercard Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 8th. Investors of record on Wednesday, July 9th were issued a $0.76 dividend. This represents a $3.04 annualized dividend and a yield of 0.5%. The ex-dividend date was Wednesday, July 9th. Mastercard's payout ratio is presently 20.50%.

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.

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