Hunter Associates Investment Management LLC Buys New Shares in Mastercard Incorporated (NYSE:MA)

Hunter Associates Investment Management LLC bought a new stake in Mastercard Incorporated (NYSE:MA) in the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm bought 507 shares of the credit services provider’s stock, valued at approximately $268,000.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Highline Wealth Partners LLC bought a new position in Mastercard during the third quarter worth $25,000. First Personal Financial Services bought a new stake in shares of Mastercard in the third quarter valued at about $39,000. Legacy Investment Solutions LLC bought a new stake in shares of Mastercard in the third quarter valued at about $55,000. Lowe Wealth Advisors LLC boosted its position in shares of Mastercard by 24.1% in the fourth quarter. Lowe Wealth Advisors LLC now owns 108 shares of the credit services provider’s stock valued at $57,000 after acquiring an additional 21 shares during the period. Finally, FSA Wealth Management LLC bought a new stake in shares of Mastercard in the third quarter valued at about $54,000. 97.28% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on MA shares. Morgan Stanley reduced their target price on shares of Mastercard from $654.00 to $644.00 and set an “overweight” rating for the company in a research report on Friday. KeyCorp boosted their target price on shares of Mastercard from $600.00 to $630.00 and gave the company an “overweight” rating in a research report on Friday. Jefferies Financial Group boosted their target price on shares of Mastercard from $590.00 to $610.00 and gave the company a “buy” rating in a research report on Monday, December 9th. Citigroup boosted their target price on shares of Mastercard from $584.00 to $650.00 and gave the company a “buy” rating in a research report on Friday. Finally, Monness Crespi & Hardt raised Mastercard from a “neutral” rating to a “buy” rating and set a $640.00 price target for the company in a research note on Friday. Four equities research analysts have rated the stock with a hold rating, twenty-three have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, Mastercard has a consensus rating of “Moderate Buy” and a consensus price target of $595.64.

Mastercard Stock Performance

NYSE:MA opened at $555.63 on Friday. The stock has a market cap of $509.97 billion, a P/E ratio of 42.03, a price-to-earnings-growth ratio of 2.17 and a beta of 1.10. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 2.36. The stock’s 50-day moving average is $527.58 and its 200-day moving average is $500.25. Mastercard Incorporated has a 1-year low of $428.86 and a 1-year high of $576.94.

Mastercard (NYSE:MA) last released its quarterly earnings results on Thursday, January 30th. The credit services provider reported $3.82 earnings per share for the quarter, topping the consensus estimate of $3.71 by $0.11. Mastercard had a return on equity of 178.27% and a net margin of 45.26%. Equities research analysts anticipate that Mastercard Incorporated will post 14.47 earnings per share for the current year.

Mastercard announced that its board has authorized a stock buyback program on Tuesday, December 17th that permits the company to buyback $12.00 billion in outstanding shares. This buyback authorization permits the credit services provider to repurchase up to 2.5% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s management believes its stock is undervalued.

Mastercard Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, February 7th. Stockholders of record on Thursday, January 9th will be issued a dividend of $0.76 per share. This is a boost from Mastercard’s previous quarterly dividend of $0.66. This represents a $3.04 annualized dividend and a dividend yield of 0.55%. The ex-dividend date of this dividend is Friday, January 10th. Mastercard’s payout ratio is 23.00%.

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.