Horizon Investments LLC Raises Stock Position in Mastercard Incorporated $MA

Key Points

• Horizon Investments LLC increased its stake in Mastercard by 12.4% during the first quarter, bringing its holdings to valued at approximately $2.20 million.
• Mastercard received several positive ratings from major brokerages, with TD Cowen setting a $645 price target and a consensus rating of "Moderate Buy" from analysts.
• Insider Raj Seshadri sold 1,100 shares for over $601,000, contributing to a total of 38,453 shares sold by insiders in the last three months.

Horizon Investments LLC lifted its position in shares of Mastercard Incorporated (NYSE:MA - Free Report) by 12.4% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 4,019 shares of the credit services provider's stock after purchasing an additional 443 shares during the period. Horizon Investments LLC's holdings in Mastercard were worth $2,199,000 as of its most recent SEC filing.

A number of other institutional investors also recently modified their holdings of MA. Measured Risk Portfolios Inc. purchased a new stake in shares of Mastercard during the fourth quarter worth about $31,000. Navigoe LLC purchased a new stake in shares of Mastercard during the fourth quarter worth about $33,000. 10Elms LLP purchased a new stake in shares of Mastercard during the fourth quarter worth about $33,000. Hughes Financial Services LLC purchased a new stake in shares of Mastercard during the first quarter worth about $34,000. Finally, Mpwm Advisory Solutions LLC purchased a new stake in shares of Mastercard during the fourth quarter worth about $36,000. 97.28% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of analysts have recently weighed in on the stock. Seaport Res Ptn upgraded shares of Mastercard from a "hold" rating to a "strong-buy" rating in a report on Monday, July 14th. Deutsche Bank Aktiengesellschaft initiated coverage on shares of Mastercard in a report on Thursday, July 17th. They set a "buy" rating and a $650.00 target price for the company. Wells Fargo & Company increased their price target on shares of Mastercard from $625.00 to $650.00 and gave the stock an "overweight" rating in a research note on Friday, August 1st. KeyCorp increased their price target on shares of Mastercard from $635.00 to $660.00 and gave the stock an "overweight" rating in a research note on Friday, August 1st. Finally, Morgan Stanley increased their price target on shares of Mastercard from $639.00 to $661.00 and gave the stock an "overweight" rating in a research note on Friday, August 1st. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $617.93.

Mastercard Stock Up 0.8%

Shares of NYSE MA traded up $4.6930 on Wednesday, reaching $590.2030. 1,409,353 shares of the company's stock traded hands, compared to its average volume of 2,799,250. Mastercard Incorporated has a 12 month low of $461.90 and a 12 month high of $594.71. The business's 50 day simple moving average is $563.22 and its two-hundred day simple moving average is $555.02. The company has a market cap of $533.55 billion, a price-to-earnings ratio of 39.80, a price-to-earnings-growth ratio of 2.40 and a beta of 1.03. The company has a quick ratio of 1.16, a current ratio of 1.16 and a debt-to-equity ratio of 2.41.

Mastercard (NYSE:MA - Get Free Report) last announced its earnings results on Thursday, July 31st. The credit services provider reported $4.15 earnings per share for the quarter, beating analysts' consensus estimates of $4.05 by $0.10. Mastercard had a net margin of 44.93% and a return on equity of 200.01%. The business had revenue of $8.13 billion during the quarter, compared to the consensus estimate of $7.95 billion. During the same quarter last year, the firm earned $3.50 earnings per share. The business's revenue for the quarter was up 16.8% on a year-over-year basis. As a group, equities research analysts forecast that Mastercard Incorporated will post 15.91 EPS for the current fiscal year.

Mastercard Dividend Announcement

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

Insider Activity

In related news, insider Linda Pistecchia Kirkpatrick sold 959 shares of the company's stock in a transaction dated Friday, June 13th. The shares were sold at an average price of $572.86, for a total value of $549,372.74. Following the transaction, the insider owned 25,540 shares in the company, valued at $14,630,844.40. The trade was a 3.62% 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 firm's stock in a transaction that occurred on Monday, July 7th. The shares were sold at an average price of $570.67, for a total transaction of $178,049.04. Following the sale, the director directly owned 8,469 shares of the company's stock, valued at $4,833,004.23. This trade represents a 3.55% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 38,453 shares of company stock worth $20,178,667. 0.09% of the stock is currently owned by company insiders.

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.