BNP Paribas Sells 3,921 Shares of Mastercard Incorporated $MA

Key Points

• BNP Paribas reduced its Mastercard stake by 13.7% in the second quarter, selling 3,921 shares and retaining 24,645 shares valued at approximately $12.6 million. Institutional investors collectively own 97.28% of the company.
• Mastercard reported quarterly adjusted earnings of $5.04 per share, surpassing estimates of $4.77, while revenue rose 14.1% year over year to $9.28 billion. The company also declared a quarterly dividend of $0.87 per share, representing a 0.6% yield.
• Despite recent insider selling, analysts remain broadly positive, with a consensus “Buy” rating and an average price target of $664.71, compared with the reported share price of $595.51.

BNP Paribas decreased its stake in shares of Mastercard Incorporated (NYSE:MA - Free Report) by 13.7% in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 24,645 shares of the credit services provider's stock after selling 3,921 shares during the quarter. BNP Paribas' holdings in Mastercard were worth $12,619,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently bought and sold shares of the stock. Riggs Asset Managment Co. Inc. increased its stake in Mastercard by 20.0% in the second quarter. Riggs Asset Managment Co. Inc. now owns 108 shares of the credit services provider's stock worth $61,000 after purchasing an additional 18 shares during the period. Castle Rock Wealth Management LLC boosted its stake in shares of Mastercard by 2.8% during the fourth quarter. Castle Rock Wealth Management LLC now owns 695 shares of the credit services provider's stock valued at $387,000 after purchasing an additional 19 shares in the last quarter. Athena Wealth Management LLC raised its position in shares of Mastercard by 3.8% in the 2nd quarter. Athena Wealth Management LLC now owns 514 shares of the credit services provider's stock worth $264,000 after acquiring an additional 19 shares in the last quarter. Novem Group boosted its position in Mastercard by 0.4% during the second quarter. Novem Group now owns 4,680 shares of the credit services provider's stock valued at $2,404,000 after purchasing an additional 19 shares in the last quarter. Finally, Vista Capital Partners Inc. grew its stake in Mastercard by 4.5% in the second quarter. Vista Capital Partners Inc. now owns 444 shares of the credit services provider's stock valued at $228,000 after purchasing an additional 19 shares during the last quarter. 97.28% of the stock is currently owned by institutional investors.

Mastercard Stock Performance

NYSE:MA opened at $595.51 on Friday. The business's fifty day moving average price is $549.15 and its 200 day moving average price is $519.62. The firm has a market capitalization of $521.67 billion, a PE ratio of 32.76, a price-to-earnings-growth ratio of 1.78 and a beta of 0.72. Mastercard Incorporated has a 12 month low of $464.52 and a 12 month high of $601.62. The company has a debt-to-equity ratio of 3.96, a current ratio of 1.06 and a quick ratio of 1.06.

Mastercard (NYSE:MA - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The credit services provider reported $5.04 earnings per share for the quarter, beating analysts' consensus estimates of $4.77 by $0.27. Mastercard had a net margin of 46.34% and a return on equity of 239.99%. The firm had revenue of $9.28 billion during the quarter, compared to analysts' expectations of $9.08 billion. During the same period in the previous year, the company earned $4.15 earnings per share. Mastercard's quarterly revenue was up 14.1% compared to the same quarter last year. On average, sell-side analysts anticipate that Mastercard Incorporated will post 19.86 earnings per share for the current fiscal year.

Mastercard Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, August 7th. Stockholders of record on Thursday, July 9th were paid a dividend of $0.87 per share. The ex-dividend date of this dividend was Thursday, July 9th. This represents a $3.48 annualized dividend and a dividend yield of 0.6%. Mastercard's payout ratio is 19.14%.

Insiders Place Their Bets

In related news, insider Sandra A. Arkell sold 200 shares of the firm's stock in a transaction that occurred on Monday, July 6th. The stock was sold at an average price of $540.00, for a total value of $108,000.00. Following the completion of the transaction, the insider directly owned 3,322 shares of the company's stock, valued at $1,793,880. This trade represents a 5.68% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Michael Miebach sold 15,372 shares of the firm's stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $575.00, for a total transaction of $8,838,900.00. Following the transaction, the chief executive officer owned 93,693 shares of the company's stock, valued at $53,873,475. This trade represents a 14.09% 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. Over the last quarter, insiders have sold 71,357 shares of company stock worth $40,637,262. 0.09% of the stock is owned by insiders.

Trending Headlines about Mastercard

Here are the key news stories impacting Mastercard this week:

• Positive Sentiment: Mastercard and QNB Group processed Syria’s first international card transaction in more than 15 years. The milestone marks the reopening and modernization of Syria’s international payments infrastructure following the lifting of certain U.S. restrictions. Although the near-term financial contribution is likely to be small, the development creates a potential new market and demonstrates Mastercard’s ability to support payments expansion. Syria marks first international card transaction in more than 15 years with Mastercard and QNB Group
• Positive Sentiment: Analysts have given Mastercard a consensus “Buy” rating. Continued Wall Street support adds to the bullish backdrop, though the rating itself may already be reflected in the share price. Mastercard Incorporated Given Consensus Rating of Buy by Analysts
• Positive Sentiment: Pershing Square founder Bill Ackman added Mastercard to the hedge fund’s portfolio. The purchase may improve investor sentiment by signaling confidence from a prominent long-term investor, although it does not change Mastercard’s operating outlook. Bill Ackman Just Made His Biggest Portfolio Overhaul in Years
• Positive Sentiment: A partnership with Klook targets growing travel and experiences spending across Asia Pacific. Mastercard cardholder benefits and additional travel-related payment touchpoints could support transaction volume in a high-growth region. Klook and Mastercard collaborate to enhance travelers’ experiences across Asia Pacific
• Neutral Sentiment: Mastercard will participate in the Goldman Sachs Communacopia + Technology Conference on September 10, where CFO Ling Hai is scheduled to speak. Investors may look for updates on growth, margins and capital allocation, but no new financial information was provided. Mastercard to Participate in Upcoming Investor Conference
• Neutral Sentiment: Mastercard’s name appears as a supporter of an XRPL/Ripple hackathon, but reports caution that the sponsorship does not represent a new cryptocurrency partnership or major product launch. Mastercard’s Name Is on the Ripple Hackathon, But Don’t Get Ahead of Yourself

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on the company. Royal Bank Of Canada boosted their price target on Mastercard from $629.00 to $642.00 and gave the stock an "outperform" rating in a research note on Friday, July 31st. The Goldman Sachs Group reiterated a "buy" rating and issued a $701.00 target price on shares of Mastercard in a research note on Thursday, July 30th. KeyCorp lifted their price target on shares of Mastercard from $670.00 to $680.00 and gave the company an "overweight" rating in a research note on Friday, July 31st. Barclays lifted their price target on Mastercard from $640.00 to $660.00 and gave the stock an "overweight" rating in a research note on Friday, July 31st. Finally, Raymond James Financial restated an "outperform" rating and issued a $632.00 price target on shares of Mastercard in a research report on Friday, July 31st. Five investment analysts have rated the stock with a Strong Buy rating, twenty-five have issued a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Buy" and a consensus price target of $664.71.

Mastercard Company Profile

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.

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