Royal Bank of Canada Issues Positive Forecast for Mastercard (NYSE:MA) Stock Price

Mastercard (NYSE:MA) had its price objective increased by Royal Bank of Canada from $572.00 to $650.00 in a research note published on Friday morning,Benzinga reports. Royal Bank of Canada currently has an outperform rating on the credit services provider’s stock.

Several other research analysts also recently weighed in on the company. TD Cowen upped their target price on Mastercard from $533.00 to $567.00 and gave the stock a “buy” rating in a research note on Friday, November 15th. KeyCorp upped their price objective on shares of Mastercard from $600.00 to $630.00 and gave the stock an “overweight” rating in a research report on Friday. Deutsche Bank Aktiengesellschaft lifted their target price on shares of Mastercard from $510.00 to $580.00 and gave the company a “buy” rating in a research report on Friday, November 1st. Citigroup upped their price target on shares of Mastercard from $572.00 to $584.00 and gave the stock a “buy” rating in a research report on Tuesday, January 14th. Finally, BMO Capital Markets lifted their price objective on Mastercard from $550.00 to $565.00 and gave the stock an “outperform” rating in a report on Thursday, November 14th. Four research analysts have rated the stock with a hold rating, twenty-three have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $595.64.

Mastercard Stock Performance

Shares of NYSE MA opened at $555.63 on Friday. The company has a market capitalization of $509.97 billion, a PE ratio of 42.03, a price-to-earnings-growth ratio of 2.17 and a beta of 1.10. The company has a debt-to-equity ratio of 2.36, a quick ratio of 1.29 and a current ratio of 1.29. The company’s fifty day moving average price is $528.28 and its 200 day moving average price is $501.03. Mastercard has a 1 year low of $428.86 and a 1 year high of $576.94.

Mastercard (NYSE:MA) last posted its earnings results on Thursday, January 30th. The credit services provider reported $3.82 EPS for the quarter, beating analysts’ consensus estimates of $3.71 by $0.11. Mastercard had a return on equity of 178.27% and a net margin of 45.26%. On average, research analysts predict that Mastercard will post 14.47 earnings per share for the current year.

Mastercard announced that its board has approved a share buyback plan on Tuesday, December 17th that allows the company to repurchase $12.00 billion in outstanding shares. This repurchase authorization allows the credit services provider to buy up to 2.5% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

Mastercard Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, February 7th. Investors of record on Thursday, January 9th will be given a $0.76 dividend. This represents a $3.04 annualized dividend and a yield of 0.55%. This is a positive change from Mastercard’s previous quarterly dividend of $0.66. The ex-dividend date is Friday, January 10th. Mastercard’s dividend payout ratio is presently 23.00%.

Hedge Funds Weigh In On Mastercard

Large investors have recently modified their holdings of the business. Global Retirement Partners LLC raised its holdings in Mastercard by 2.4% in the 4th quarter. Global Retirement Partners LLC now owns 11,968 shares of the credit services provider’s stock valued at $6,302,000 after buying an additional 285 shares during the period. Semus Wealth Partners LLC increased its position in shares of Mastercard by 5.0% during the fourth quarter. Semus Wealth Partners LLC now owns 3,230 shares of the credit services provider’s stock valued at $1,701,000 after acquiring an additional 155 shares during the last quarter. SilverOak Wealth Management LLC purchased a new stake in shares of Mastercard in the 4th quarter valued at approximately $214,000. Beirne Wealth Consulting Services LLC acquired a new position in shares of Mastercard in the 4th quarter worth approximately $211,000. Finally, Atlas Legacy Advisors LLC purchased a new position in shares of Mastercard during the 4th quarter worth approximately $749,000. Institutional investors and hedge funds own 97.28% of the company’s stock.

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.