Maryland State Retirement & Pension System Lowers Stake in Mastercard Incorporated (NYSE:MA)

Key Points

• Maryland State Retirement & Pension System has reduced its holdings in Mastercard by 13.1% in the first quarter, leaving them with 38,235 shares worth approximately $20.96 million.
• Mastercard's recent quarterly earnings beat analysts' expectations, reporting $4.15 EPS and revenue of $8.13 billion, which represents a 16.8% year-over-year growth.
• The company announced a quarterly dividend of $0.76 per share, which will be paid on August 8th, reflecting a dividend yield of 0.5%.

Maryland State Retirement & Pension System decreased its holdings in Mastercard Incorporated (NYSE:MA - Free Report) by 13.1% in the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 38,235 shares of the credit services provider's stock after selling 5,774 shares during the quarter. Maryland State Retirement & Pension System's holdings in Mastercard were worth $20,957,000 at the end of the most recent reporting period.

Other institutional investors have also recently made changes to their positions in the company. Measured Risk Portfolios Inc. purchased a new stake in Mastercard during the 4th quarter worth about $31,000. Navigoe LLC acquired a new stake in shares of Mastercard during the 4th quarter worth about $33,000. 10Elms LLP purchased a new stake in Mastercard during the fourth quarter worth approximately $33,000. Hughes Financial Services LLC purchased a new stake in Mastercard during the first quarter worth approximately $34,000. Finally, Mpwm Advisory Solutions LLC acquired a new position in Mastercard in the fourth quarter valued at approximately $36,000. Institutional investors and hedge funds own 97.28% of the company's stock.

Mastercard Price Performance

MA traded up $13.20 on Friday, hitting $574.42. 2,907,568 shares of the company were exchanged, compared to its average volume of 2,618,541. Mastercard Incorporated has a fifty-two week low of $453.46 and a fifty-two week high of $594.71. 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 firm has a market capitalization of $523.70 billion, a P/E ratio of 38.73, a price-to-earnings-growth ratio of 2.30 and a beta of 1.03. The business's fifty day moving average is $563.90 and its 200 day moving average is $553.24.

Mastercard (NYSE:MA - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The credit services provider reported $4.15 earnings per share for the quarter, topping analysts' consensus estimates of $4.05 by $0.10. The business had revenue of $8.13 billion for the quarter, compared to analysts' expectations of $7.95 billion. Mastercard had a return on equity of 200.01% and a net margin of 44.93%. The company's revenue was up 16.8% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $3.50 EPS. As a group, sell-side analysts anticipate that Mastercard Incorporated will post 15.91 EPS for the current year.

Mastercard Announces Dividend

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

Insider Buying and Selling at Mastercard

In other news, insider Raj Seshadri sold 1,100 shares of the firm's stock in a transaction that occurred on Friday, June 27th. The shares were sold at an average price of $546.77, for a total transaction of $601,447.00. Following the completion of the transaction, the insider directly owned 12,921 shares of the company's stock, valued at $7,064,815.17. This trade represents a 7.85% 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 company'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 value of $178,049.04. Following the completion of the sale, the director directly owned 8,469 shares in the company, valued at approximately $4,833,004.23. The trade was a 3.55% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 38,603 shares of company stock valued at $20,265,667 in the last quarter. Insiders own 0.09% of the company's stock.

Wall Street Analyst Weigh In

A number of analysts have weighed in on MA shares. The Goldman Sachs Group reissued a "buy" rating on shares of Mastercard in a report on Friday, August 1st. Wolfe Research set a $655.00 target price on shares of Mastercard in a research report on Monday, June 23rd. Morgan Stanley lifted 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. Macquarie decreased their price objective on shares of Mastercard from $645.00 to $610.00 and set an "outperform" rating for the company in a research note on Friday, May 2nd. Finally, Truist Financial cut their target price on Mastercard from $640.00 to $612.00 and set a "buy" rating on the stock in a research report on Thursday, July 17th. Five analysts have rated the stock with a hold rating, twenty-five have given a buy rating and two have given a strong buy rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $615.33.

Mastercard 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.