SCS Capital Management LLC Buys New Shares in Mastercard Incorporated $MA

Key Points

• SCS Capital Management LLC has taken a new stake in Mastercard, purchasing 5,728 shares valued at approximately $3.14 million.
• Institutional ownership of Mastercard is significant, with 97.28% of the stock held by hedge funds and other investors.
• Mastercard recently reported a quarterly EPS of $4.15, surpassing analysts' expectations, along with a 16.8% year-over-year revenue increase.

SCS Capital Management LLC bought a new position in shares of Mastercard Incorporated (NYSE:MA - Free Report) during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund bought 5,728 shares of the credit services provider's stock, valued at approximately $3,140,000.

A number of other institutional investors also recently modified their holdings of MA. Accredited Investors Inc. boosted its stake in Mastercard by 2.6% during the first quarter. Accredited Investors Inc. now owns 718 shares of the credit services provider's stock worth $394,000 after acquiring an additional 18 shares in the last quarter. Wealthstream Advisors Inc. boosted its stake in Mastercard by 2.9% during the first quarter. Wealthstream Advisors Inc. now owns 632 shares of the credit services provider's stock worth $347,000 after acquiring an additional 18 shares in the last quarter. Phillips Wealth Planners LLC boosted its stake in Mastercard by 1.8% during the first quarter. Phillips Wealth Planners LLC now owns 1,055 shares of the credit services provider's stock worth $538,000 after acquiring an additional 19 shares in the last quarter. Alta Wealth Advisors LLC raised its stake in Mastercard by 3.6% during the first quarter. Alta Wealth Advisors LLC now owns 540 shares of the credit services provider's stock valued at $296,000 after buying an additional 19 shares during the last quarter. Finally, May Hill Capital LLC raised its stake in Mastercard by 2.0% during the first quarter. May Hill Capital LLC now owns 986 shares of the credit services provider's stock valued at $540,000 after buying an additional 19 shares during the last quarter. 97.28% of the stock is owned by institutional investors.

Insiders Place Their Bets

In other Mastercard news, insider Raj Seshadri sold 1,100 shares of the stock in a transaction on Friday, June 27th. The stock was sold at an average price of $546.77, for a total value of $601,447.00. Following the sale, the insider owned 12,921 shares in the company, valued at $7,064,815.17. This trade represents a 7.85% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO J. Mehra Sachin sold 17,263 shares of the stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $591.00, for a total value of $10,202,433.00. Following the transaction, the chief financial officer directly owned 31,234 shares in the company, valued at $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 a total of 49,094 shares of company stock worth $26,521,861 in the last three months. 0.09% of the stock is owned by company insiders.

Mastercard Stock Performance

Shares of NYSE:MA traded down $7.98 during midday trading on Friday, hitting $580.75. The company had a trading volume of 2,242,737 shares, compared to its average volume of 2,763,323. Mastercard Incorporated has a 12-month low of $465.59 and a 12-month high of $601.77. The company has a fifty day moving average of $574.32 and a two-hundred day moving average of $558.24. The company has a market cap of $525.00 billion, a price-to-earnings ratio of 39.16, a PEG ratio of 2.37 and a beta of 0.99. The company has a debt-to-equity ratio of 2.41, a current ratio of 1.16 and a quick ratio of 1.16.

Mastercard (NYSE:MA - Get Free Report) last released its earnings results on Thursday, July 31st. The credit services provider reported $4.15 earnings per share (EPS) for the quarter, topping the consensus estimate 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 firm's quarterly revenue was up 16.8% compared to the same quarter last year. During the same period in the prior year, the firm posted $3.50 EPS. On average, equities research analysts expect that Mastercard Incorporated will post 15.91 EPS for the current fiscal year.

Mastercard Announces Dividend

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

Wall Street Analyst Weigh In

A number of brokerages have issued reports on MA. Wolfe Research set a $655.00 price objective on Mastercard in a research note on Monday, June 23rd. TD Cowen reiterated a "buy" rating and set a $645.00 price objective on shares of Mastercard in a research note on Monday, August 11th. KeyCorp lifted their price objective on Mastercard from $635.00 to $660.00 and gave the company an "overweight" rating in a research note on Friday, August 1st. The Goldman Sachs Group reiterated a "buy" rating on shares of Mastercard in a research note on Friday, August 1st. Finally, Deutsche Bank Aktiengesellschaft started coverage on Mastercard in a research note on Thursday, July 17th. They set a "buy" rating and a $650.00 price objective for the company. Two investment analysts have rated the stock with a Strong Buy rating, twenty-four have given a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $626.54.

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.