Mastercard Incorporated $MA Stock Position Cut by Eaton Financial Holdings Company LLC

Key Points

• Eaton Financial Holdings Company LLC reduced its stake in Mastercard by 57.9%, selling 515 shares and holding only 374 shares worth $210,000 at the end of the second quarter.
• Insider activity included the sale of 37,449 shares by various company insiders in the last quarter, totaling approximately $21.97 million, indicating potential concern about stock performance.
• Mastercard reported a revenue increase of 16.8% year-over-year in its last quarterly earnings, with a net margin of 44.93% and a return on equity of 200.01%.

Eaton Financial Holdings Company LLC lessened its stake in Mastercard Incorporated (NYSE:MA - Free Report) by 57.9% in the second quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor owned 374 shares of the credit services provider's stock after selling 515 shares during the period. Eaton Financial Holdings Company LLC's holdings in Mastercard were worth $210,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also recently bought and sold shares of the stock. Family Legacy Financial Solutions LLC acquired a new stake in Mastercard in the 2nd quarter valued at about $26,000. Flaharty Asset Management LLC acquired a new stake in Mastercard in the 1st quarter valued at about $27,000. Keystone Global Partners LLC acquired a new stake in Mastercard in the 1st quarter valued at about $31,000. Hughes Financial Services LLC acquired a new stake in Mastercard in the 1st quarter valued at about $34,000. Finally, 1 North Wealth Services LLC acquired a new stake in Mastercard in the 1st quarter valued at about $44,000. Institutional investors own 97.28% of the company's stock.

Insider Activity at Mastercard

In related news, Director Julius Genachowski sold 312 shares of the stock in a transaction on Monday, July 7th. The stock was sold at an average price of $570.67, for a total transaction 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. This trade represents a 3.55% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO J. Mehra Sachin sold 17,263 shares of Mastercard stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $591.00, for a total value of $10,202,433.00. Following the sale, the chief financial officer directly owned 31,234 shares of the company's stock, valued at approximately $18,459,294. The trade was a 35.60% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 37,449 shares of company stock worth $21,974,441 in the last quarter. 0.09% of the stock is owned by corporate insiders.

Mastercard Price Performance

MA stock opened at $584.64 on Tuesday. The company has a current ratio of 1.16, a quick ratio of 1.16 and a debt-to-equity ratio of 2.41. Mastercard Incorporated has a one year low of $465.59 and a one year high of $601.77. The firm has a market capitalization of $528.52 billion, a PE ratio of 39.42, a P/E/G ratio of 2.39 and a beta of 0.99. The firm has a 50-day moving average of $577.86 and a two-hundred day moving average of $559.42.

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

Mastercard Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, November 7th. Shareholders of record on Thursday, October 9th will be given a $0.76 dividend. The ex-dividend date is Thursday, October 9th. This represents a $3.04 dividend on an annualized basis and a yield of 0.5%. Mastercard's dividend payout ratio is presently 20.50%.

Analyst Ratings Changes

A number of brokerages have weighed in on MA. TD Cowen reissued a "buy" rating and issued a $645.00 price target on shares of Mastercard in a report on Monday, August 11th. KeyCorp upped their price target on shares of Mastercard from $635.00 to $660.00 and gave the company an "overweight" rating in a report on Friday, August 1st. Wolfe Research set a $655.00 price target on shares of Mastercard in a report on Monday, June 23rd. Deutsche Bank Aktiengesellschaft started coverage on shares of Mastercard in a research note on Thursday, July 17th. They set a "buy" rating and a $650.00 price objective for the company. Finally, Royal Bank Of Canada upped their price objective on shares of Mastercard from $650.00 to $656.00 and gave the company an "outperform" 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 issued a Buy rating and two have given a Hold rating to the company's stock. Based on data from MarketBeat, Mastercard has an average rating of "Buy" and a consensus target price of $630.89.

About Mastercard

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.

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