Dynamic Advisor Solutions LLC Cuts Stock Position in Mastercard Incorporated $MA

Key Points

• Dynamic Advisor Solutions LLC cut its Mastercard position by 40.7% in the second quarter, selling 6,995 shares and retaining 10,207 shares worth approximately $5.24 million. Institutional investors collectively own 97.28% of the company.
• Mastercard reported quarterly EPS of $5.04, beating 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.
• Analyst sentiment remains positive, with a consensus “Buy” rating and a $661.93 price target, although insiders sold approximately $35.8 million of stock over the past three months under pre-arranged trading plans.

Dynamic Advisor Solutions LLC lessened its holdings in shares of Mastercard Incorporated (NYSE:MA - Free Report) by 40.7% during the 2nd quarter, according to its most recent disclosure with the SEC. The institutional investor owned 10,207 shares of the credit services provider's stock after selling 6,995 shares during the quarter. Dynamic Advisor Solutions LLC's holdings in Mastercard were worth $5,242,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors have also made changes to their positions in the business. Robinswood Financial LLC purchased a new position in shares of Mastercard in the 1st quarter valued at about $25,000. E Fund Management Hong Kong Co. Ltd. increased its position in shares of Mastercard by 820.0% in the 4th quarter. E Fund Management Hong Kong Co. Ltd. now owns 46 shares of the credit services provider's stock valued at $26,000 after purchasing an additional 41 shares during the last quarter. Strive Financial Group LLC purchased a new stake in shares of Mastercard in the 4th quarter valued at approximately $27,000. Hyposwiss Advisors SA acquired a new stake in shares of Mastercard in the 4th quarter valued at $29,000. Finally, First Pacific Financial lifted its position in shares of Mastercard by 113.8% during the 1st quarter. First Pacific Financial now owns 62 shares of the credit services provider's stock worth $31,000 after purchasing an additional 33 shares during the last quarter. Hedge funds and other institutional investors own 97.28% of the company's stock.

Insiders Place Their Bets

In other news, insider Sandra A. Arkell sold 200 shares of the firm's stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $540.00, for a total transaction of $108,000.00. Following the transaction, the insider directly owned 3,322 shares in the company, valued at approximately $1,793,880. This trade represents a 5.68% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Raj Seshadri sold 1,977 shares of Mastercard stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $529.73, for a total transaction of $1,047,276.21. Following the completion of the transaction, the insider directly owned 16,429 shares in the company, valued at $8,702,934.17. The trade was a 10.74% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 62,913 shares of company stock valued at $35,769,036. 0.09% of the stock is owned by insiders.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on MA shares. KeyCorp boosted their target price on shares of Mastercard from $670.00 to $680.00 and gave the stock an "overweight" rating in a research note on Friday, July 31st. BMO Capital Markets initiated coverage on Mastercard in a report on Tuesday, April 21st. They set an "outperform" rating and a $605.00 price target for the company. Truist Financial upped their price objective on Mastercard from $554.00 to $633.00 and gave the stock a "buy" rating in a research report on Wednesday. Robert W. Baird increased their price objective on Mastercard from $660.00 to $680.00 and gave the company an "outperform" rating in a report on Tuesday, July 7th. Finally, Weiss Ratings reissued a "hold (c+)" rating on shares of Mastercard in a research report on Tuesday, July 21st. Five equities research analysts have rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Buy" and a consensus price target of $661.93.

More Mastercard News

Here are the key news stories impacting Mastercard this week:

• Positive Sentiment: Stablecoin initiatives strengthen Mastercard’s growth outlook: Mastercard is partnering with Borderless.xyz to test trusted cross-border stablecoin payment flows using Mastercard Crypto Credential. The company is also a founding validator for Circle’s Arc blockchain, scheduled to launch on September 16, alongside BlackRock, Visa and other financial institutions. These initiatives could create future transaction, compliance and infrastructure revenue opportunities. Mastercard and Borderless.xyz stablecoin partnership
• Positive Sentiment: Fiserv deal expands merchant reach: Mastercard’s integration with Fiserv Commerce Hub will give enterprise merchants a single connection to Mastercard services across online, mobile and in-store channels, potentially increasing payment volume and adoption of higher-margin value-added services. Mastercard expands merchant reach through Fiserv
• Positive Sentiment: Analyst sentiment remains favorable: Wall Street analysts continue to rate Mastercard positively, with Cantor Fitzgerald recently raising its price target to $695 and maintaining an overweight rating. The outlook is supported by Mastercard’s latest earnings beat, including revenue growth of 14.1% year over year. Wall Street outlook for Mastercard
• Neutral Sentiment: New Mastercard corporate cards in the UAE and Egypt and expanded premium travel benefits in Asia could support regional engagement, but the near-term earnings impact is likely limited. Mastercard corporate cards in the UAE and Egypt
• Negative Sentiment: Multiple insiders sold shares: CEO Michael Miebach sold 15,372 shares for approximately $8.8 million, while J. Mehra Sachin sold 3,000 shares and Linda Pistecchia Kirkpatrick recently sold 4,280 shares. All transactions were made under pre-arranged Rule 10b5-1 plans, reducing—but not eliminating—the bearish signal. Mastercard insider sale filings

Mastercard Stock Performance

Shares of MA stock opened at $576.16 on Friday. The stock's 50-day moving average is $521.01 and its two-hundred day moving average is $515.08. The company has a debt-to-equity ratio of 3.96, a quick ratio of 1.06 and a current ratio of 1.06. Mastercard Incorporated has a 1 year low of $464.52 and a 1 year high of $601.77. The firm has a market cap of $509.09 billion, a price-to-earnings ratio of 31.69, a PEG ratio of 1.72 and a beta of 0.72.

Mastercard (NYSE:MA - Get Free Report) last posted its earnings results on Thursday, July 30th. The credit services provider reported $5.04 earnings per share for the quarter, beating the consensus estimate of $4.77 by $0.27. The business had revenue of $9.28 billion during the quarter, compared to the consensus estimate of $9.08 billion. Mastercard had a return on equity of 239.99% and a net margin of 46.34%.The business's quarterly revenue was up 14.1% on a year-over-year basis. During the same period in the previous year, the business earned $4.15 EPS. Analysts predict that Mastercard Incorporated will post 19.78 earnings per share for the current year.

Mastercard Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 7th. Shareholders of record on Thursday, July 9th will be paid a $0.87 dividend. The ex-dividend date is Thursday, July 9th. This represents a $3.48 dividend on an annualized basis and a yield of 0.6%. Mastercard's payout ratio is currently 19.14%.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source