Mastercard Incorporated $MA Stock: Hohimer Wealth Management LLC Reduces Position

Hohimer Wealth Management LLC lessened its position in shares of Mastercard Incorporated (NYSE:MA) by 10.8% during the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 8,400 shares of the credit services provider’s stock after selling 1,022 shares during the quarter. Hohimer Wealth Management LLC’s holdings in Mastercard were worth $4,632,000 at the end of the most recent reporting period.

A number of other hedge funds have also modified their holdings of MA. Fundsmith LLP acquired a new stake in shares of Mastercard during the second quarter worth about $639,458,000. Corient Private Wealth LP boosted its position in Mastercard by 147.2% in the second quarter. Corient Private Wealth LP now owns 1,682,183 shares of the credit services provider’s stock valued at $863,969,000 after buying an additional 1,001,671 shares during the last quarter. Assenagon Asset Management S.A. boosted its position in Mastercard by 295.8% in the second quarter. Assenagon Asset Management S.A. now owns 860,011 shares of the credit services provider’s stock valued at $441,702,000 after buying an additional 642,724 shares during the last quarter. Sanders Capital LLC increased its holdings in Mastercard by 26.2% in the 3rd quarter. Sanders Capital LLC now owns 2,941,951 shares of the credit services provider’s stock worth $1,622,398,000 after buying an additional 611,592 shares during the period. Finally, SEB Asset Management AB acquired a new position in Mastercard in the 1st quarter worth approximately $293,574,000. 97.28% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

MA has been the subject of a number of recent research reports. BMO Capital Markets reissued an “outperform” rating and set a $665.00 price target on shares of Mastercard in a research report on Thursday, October 15th. The Goldman Sachs Group restated a “buy” rating and set a $701.00 price objective (up from $674.00) on shares of Mastercard in a research note on Thursday, July 30th. Wells Fargo & Company upped their price objective on shares of Mastercard from $668.00 to $731.00 and gave the company an “overweight” rating in a report on Friday, October 30th. Morgan Stanley increased their price objective on shares of Mastercard from $679.00 to $681.00 and gave the stock an “overweight” rating in a research note on Friday, July 31st. Finally, Royal Bank Of Canada raised their target price on shares of Mastercard from $696.00 to $742.00 and gave the stock an “outperform” rating in a report on Friday, October 30th. Two investment analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $704.62.

Mastercard Stock Performance

Shares of MA stock opened at $653.45 on Monday. Mastercard Incorporated has a 52-week low of $464.52 and a 52-week high of $681.99. The company has a quick ratio of 1.01, a current ratio of 1.01 and a debt-to-equity ratio of 3.29. The stock has a market cap of $572.43 billion, a PE ratio of 34.18, a price-to-earnings-growth ratio of 1.84 and a beta of 0.78. The business has a 50-day simple moving average of $593.15 and a 200-day simple moving average of $539.12.

Mastercard (NYSE:MA) last posted its earnings results on Thursday, October 29th. The credit services provider reported $5.31 EPS for the quarter, topping the consensus estimate of $5.17 by $0.14. The firm had revenue of $9.81 billion for the quarter, compared to analyst estimates of $9.66 billion. Mastercard had a return on equity of 260.86% and a net margin of 46.73%. Mastercard’s revenue for the quarter was up 14.0% compared to the same quarter last year. During the same period last year, the company earned $4.38 earnings per share. On average, equities analysts expect that Mastercard Incorporated will post 20.00 EPS for the current year.

Mastercard Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, November 9th. Shareholders of record on Friday, October 9th will be issued a $0.87 dividend. The ex-dividend date of this dividend is Friday, October 9th. This represents a $3.48 dividend on an annualized basis and a yield of 0.5%. Mastercard’s payout ratio is presently 18.20%.

Key Headlines Impacting Mastercard

Here are the key news stories impacting Mastercard this week:

• Positive Sentiment: Q3 results beat expectations: revenue rose 14% year over year to $9.81 billion and adjusted EPS increased 21.2%. Services revenue grew 19%, although higher incentives were flagged as a concern. Mastercard’s 19% Services Growth Steals the Q3 Show: Buy or Hold MA?
• Positive Sentiment: Truist raised its price target to $735 and maintained a Buy rating, signaling potential upside in its view. Truist Financial rating information
• Negative Sentiment: Freedom Broker downgraded MA from Buy to Hold, despite lifting its target to $725. The mixed call may temper enthusiasm after the stock’s recent rally. Freedom Broker rating information
• Negative Sentiment: Valuation is a key risk: coverage notes the recent rally has outpaced changes in earnings estimates, leaving less room for disappointment. Rising incentives could also weigh on margins. Mastercard Stock Rose 22% in a Month. Here’s What Its Price Now Assumes
• Negative Sentiment: Visa and Mastercard face additional collective claims in the UK over card fees, adding potential legal and financial uncertainty. Visa and Mastercard face additional £5bn collective claims over card fees
• Neutral Sentiment: The CFO sold about $2.77 million of MA shares. The sale may attract attention, but the report provides no context on its purpose. Mastercard CFO stock sale

Insiders Place Their Bets

In other Mastercard news, Director Julius Genachowski sold 370 shares of the company’s stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $590.21, for a total value of $218,377.70. Following the sale, the director owned 8,237 shares in the company, valued at approximately $4,861,559.77. This represents a 4.30% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Ling Hai sold 4,317 shares of the firm’s stock in a transaction that occurred on Monday, November 2nd. The stock was sold at an average price of $641.00, for a total transaction of $2,767,197.00. Following the sale, the chief financial officer directly owned 35,750 shares in the company, valued at $22,915,750. The trade was a 10.77% 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. In the last 90 days, insiders have sold 25,403 shares of company stock worth $15,428,736. Corporate insiders own 0.09% of the company’s stock.

Mastercard Company Profile

Mastercard Incorporated is a global payments technology company that operates a network connecting consumers, merchants, financial institutions, businesses and governments. Its network supports electronic payments, including transactions made with Mastercard-branded credit, debit and prepaid cards, as well as digital payment methods.

The company provides technology for authorizing, clearing and settling transactions. It also offers services related to cybersecurity, identity verification, data analytics, fraud prevention and payment consulting.