Flputnam Investment Management Co. Sells 7,339 Shares of Mastercard Incorporated $MA

Key Points

• Flputnam Investment Management reduced its Mastercard stake by 17.2%, selling 7,339 shares and retaining 35,348 shares valued at approximately $18.2 million. Institutional investors and hedge funds still own 97.28% of the company.
• Mastercard reported quarterly EPS of $5.04, exceeding the $4.77 consensus estimate, while revenue rose 14.1% year over year to $9.28 billion. The company posted a 46.34% net margin and a 239.99% return on equity.
• Analysts remain broadly bullish, with a consensus “Buy” rating and an average price target of $664.71 versus the reported share price of $595.51. Mastercard also pays a quarterly dividend of $0.87, equivalent to a 0.6% annualized yield.

Flputnam Investment Management Co. trimmed its stake in Mastercard Incorporated (NYSE:MA - Free Report) by 17.2% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 35,348 shares of the credit services provider's stock after selling 7,339 shares during the period. Flputnam Investment Management Co.'s holdings in Mastercard were worth $18,155,000 as of its most recent SEC filing.

Several other hedge funds have also recently bought and sold shares of MA. Cookson Peirce & Co. Inc. lifted its holdings in shares of Mastercard by 3.0% during the second quarter. Cookson Peirce & Co. Inc. now owns 3,070 shares of the credit services provider's stock valued at $1,577,000 after acquiring an additional 89 shares during the period. Nichols & Pratt Advisers LLP MA lifted its holdings in Mastercard by 1.0% during the 2nd quarter. Nichols & Pratt Advisers LLP MA now owns 147,633 shares of the credit services provider's stock valued at $75,824,000 after purchasing an additional 1,480 shares during the last quarter. Northwestern Mutual Wealth Management Co. boosted its position in Mastercard by 2.9% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 264,679 shares of the credit services provider's stock valued at $135,939,000 after buying an additional 7,403 shares in the last quarter. Denali Advisors LLC boosted its position in Mastercard by 0.3% in the second quarter. Denali Advisors LLC now owns 9,573 shares of the credit services provider's stock valued at $4,917,000 after buying an additional 25 shares in the last quarter. Finally, Rational Advisors Inc. grew its stake in Mastercard by 9.2% during the second quarter. Rational Advisors Inc. now owns 322 shares of the credit services provider's stock worth $165,000 after buying an additional 27 shares during the last quarter. 97.28% of the stock is currently owned by institutional investors and hedge funds.

Mastercard Price Performance

Mastercard stock opened at $595.51 on Friday. The stock has a market cap of $521.67 billion, a price-to-earnings ratio of 32.76, a P/E/G ratio of 1.79 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 quick ratio of 1.06, a current ratio of 1.06 and a debt-to-equity ratio of 3.96. The business's 50-day simple moving average is $549.15 and its 200 day simple moving average is $519.62.

Mastercard (NYSE:MA - Get Free Report) last released its earnings results on Thursday, July 30th. The credit services provider reported $5.04 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.77 by $0.27. The company had revenue of $9.28 billion for the quarter, compared to the consensus estimate of $9.08 billion. Mastercard had a net margin of 46.34% and a return on equity of 239.99%. The company's revenue was up 14.1% compared to the same quarter last year. During the same period in the prior year, the company posted $4.15 EPS. As a group, research analysts anticipate that Mastercard Incorporated will post 19.86 earnings per share for the current year.

Mastercard Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 7th. Investors of record on Thursday, July 9th were issued a $0.87 dividend. This represents a $3.48 annualized dividend and a yield of 0.6%. The ex-dividend date was Thursday, July 9th. Mastercard's dividend payout ratio is currently 19.14%.

Insiders Place Their Bets

In other Mastercard news, insider Raj Seshadri sold 4,828 shares of the company's stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $525.00, for a total transaction of $2,534,700.00. Following the completion of the sale, the insider owned 16,429 shares in the company, valued at approximately $8,625,225. The trade was a 22.71% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Sandra A. Arkell sold 200 shares of the stock in a transaction on Monday, July 6th. The shares were 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 in the company, valued at approximately $1,793,880. This trade represents a 5.68% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 71,357 shares of company stock valued at $40,637,262 over the last three months. 0.09% of the stock is owned by insiders.

Analyst Ratings Changes

Several analysts have recently weighed in on MA shares. UBS Group raised their price objective on shares of Mastercard from $640.00 to $670.00 and gave the stock a "buy" rating in a report on Friday, July 31st. Loop Capital restated a "buy" rating and set a $631.00 target price on shares of Mastercard in a report on Wednesday, June 3rd. Wolfe Research raised their target price on Mastercard from $680.00 to $740.00 and gave the company an "outperform" rating in a research note on Tuesday. Wall Street Zen downgraded shares of Mastercard from a "buy" rating to a "hold" rating in a research report on Saturday, May 2nd. Finally, Robert W. Baird upped their target price on shares of Mastercard from $660.00 to $680.00 and gave the stock an "outperform" rating in a research report on Tuesday, July 7th. 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 presently has a consensus rating of "Buy" and a consensus target price of $664.71.

Key Headlines Impacting 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

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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