Aberdeen Group plc Cuts Holdings in Mastercard Incorporated $MA

Key Points

• Aberdeen Group plc has reduced its holdings in Mastercard by 0.6%, now owning 987,462 shares valued at $532 million, making Mastercard its 13th largest position.
• Mastercard's latest earnings report revealed $4.15 EPS, exceeding estimates, with a 16.8% year-over-year revenue growth of $8.13 billion.
• The company has declared a quarterly dividend of $0.76 per share, providing a yield of 0.5% and reflecting a payout ratio of 20.50%.

Aberdeen Group plc lessened its stake in Mastercard Incorporated (NYSE:MA - Free Report) by 0.6% in the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 987,462 shares of the credit services provider's stock after selling 5,834 shares during the quarter. Mastercard accounts for about 1.0% of Aberdeen Group plc's investment portfolio, making the stock its 13th biggest holding. Aberdeen Group plc owned about 0.11% of Mastercard worth $532,168,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also bought and sold shares of the company. Vanguard Group Inc. boosted its position in Mastercard by 0.5% during the first quarter. Vanguard Group Inc. now owns 77,544,675 shares of the credit services provider's stock valued at $42,503,787,000 after purchasing an additional 365,537 shares during the last quarter. Northern Trust Corp grew its position in shares of Mastercard by 15.2% in the fourth quarter. Northern Trust Corp now owns 9,149,181 shares of the credit services provider's stock valued at $4,817,684,000 after purchasing an additional 1,207,787 shares during the last quarter. GAMMA Investing LLC grew its holdings in Mastercard by 65,631.5% in the 1st quarter. GAMMA Investing LLC now owns 8,225,637 shares of the credit services provider's stock valued at $4,508,636,000 after buying an additional 8,213,123 shares in the last quarter. Nuveen LLC bought a new position in Mastercard during the first quarter worth about $4,238,764,000. Finally, Nuveen Asset Management LLC raised its position in shares of Mastercard by 1.0% in the fourth quarter. Nuveen Asset Management LLC now owns 7,610,333 shares of the credit services provider's stock valued at $4,007,373,000 after buying an additional 71,874 shares in the last quarter. Institutional investors and hedge funds own 97.28% of the company's stock.

Mastercard Stock Performance

Shares of MA traded up $1.6290 during mid-day trading on Tuesday, hitting $585.7690. 2,331,409 shares of the company traded hands, compared to its average volume of 2,802,827. Mastercard Incorporated has a 1 year low of $461.90 and a 1 year high of $594.71. The stock has a market cap of $529.54 billion, a price-to-earnings ratio of 39.50, a P/E/G ratio of 2.39 and a beta of 1.03. The company has a debt-to-equity ratio of 2.41, a quick ratio of 1.16 and a current ratio of 1.16. The stock has a 50-day moving average price of $563.30 and a two-hundred day moving average price of $554.81.

Mastercard (NYSE:MA - Get Free Report) last announced its earnings results on Thursday, July 31st. The credit services provider reported $4.15 EPS for the quarter, topping analysts' consensus estimates 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 last year, the firm earned $3.50 EPS. Mastercard's revenue for the quarter was up 16.8% compared to the same quarter last year. Equities analysts anticipate that Mastercard Incorporated will post 15.91 earnings per share for the current year.

Mastercard Dividend Announcement

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

Insider Transactions at Mastercard

In other Mastercard news, insider Linda Pistecchia Kirkpatrick sold 959 shares of Mastercard stock in a transaction that occurred on Friday, June 13th. The stock was sold at an average price of $572.86, for a total value of $549,372.74. Following the sale, the insider owned 25,540 shares of the company's stock, valued at $14,630,844.40. The trade was a 3.62% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Craig Vosburg sold 14,051 shares of the stock in a transaction on Thursday, June 5th. The shares were sold at an average price of $585.05, for a total transaction of $8,220,537.55. Following the transaction, the insider owned 58,451 shares of the company's stock, valued at $34,196,757.55. This trade represents a 19.38% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 38,453 shares of company stock valued at $20,178,667 in the last ninety days. Corporate insiders own 0.09% of the company's stock.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. Truist Financial reduced their price target on shares of Mastercard from $640.00 to $612.00 and set a "buy" rating on the stock in a research report on Thursday, July 17th. Macquarie decreased their price objective on Mastercard from $645.00 to $610.00 and set an "outperform" rating for the company in a report on Friday, May 2nd. Citigroup lifted their target price on shares of Mastercard from $650.00 to $652.00 and gave the stock a "buy" rating in a research note on Monday, May 5th. Wolfe Research set a $655.00 price target on Mastercard in a report on Monday, June 23rd. Finally, Royal Bank Of Canada raised their price objective on Mastercard from $650.00 to $656.00 and gave the company an "outperform" rating in a research note on Friday, August 1st. Two research analysts have rated the stock with a Strong Buy rating, twenty-four have issued a Buy rating and five have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $617.93.

Mastercard Company Profile

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.