Mastercard (NYSE:MA) Price Target Raised to $625.00

Mastercard (NYSE:MA) had its price target boosted by Wells Fargo & Company from $585.00 to $625.00 in a research note released on Tuesday,Benzinga reports. Wells Fargo & Company currently has an overweight rating on the credit services provider’s stock.

A number of other brokerages have also commented on MA. Royal Bank of Canada boosted their price objective on shares of Mastercard from $572.00 to $650.00 and gave the stock an “outperform” rating in a research report on Friday, January 31st. Raymond James restated an “outperform” rating and set a $640.00 price objective (up from $614.00) on shares of Mastercard in a research note on Friday, January 31st. BMO Capital Markets lifted their target price on Mastercard from $550.00 to $565.00 and gave the company an “outperform” rating in a research report on Thursday, November 14th. Deutsche Bank Aktiengesellschaft raised their price target on Mastercard from $510.00 to $580.00 and gave the company a “buy” rating in a research note on Friday, November 1st. Finally, TD Cowen upped their price objective on Mastercard from $533.00 to $567.00 and gave the stock a “buy” rating in a research note on Friday, November 15th. Four research analysts have rated the stock with a hold rating, twenty-four have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $603.08.

Mastercard Stock Performance

Shares of MA stock opened at $567.12 on Tuesday. The company has a market capitalization of $520.52 billion, a P/E ratio of 40.83, a price-to-earnings-growth ratio of 2.23 and a beta of 1.10. Mastercard has a 52 week low of $428.86 and a 52 week high of $576.94. The company has a debt-to-equity ratio of 2.68, a quick ratio of 1.29 and a current ratio of 1.03. The company’s 50 day moving average price is $530.33 and its two-hundred day moving average price is $503.85.

Mastercard (NYSE:MA) last posted its quarterly earnings data on Thursday, January 30th. The credit services provider reported $3.82 EPS for the quarter, beating the consensus estimate of $3.71 by $0.11. Mastercard had a net margin of 45.71% and a return on equity of 188.47%. On average, analysts expect that Mastercard will post 16.04 earnings per share for the current fiscal year.

Mastercard Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, February 7th. Shareholders of record on Thursday, January 9th will be issued a $0.76 dividend. The ex-dividend date is Friday, January 10th. This represents a $3.04 dividend on an annualized basis and a yield of 0.54%. This is an increase from Mastercard’s previous quarterly dividend of $0.66. Mastercard’s payout ratio is currently 21.89%.

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

Institutional Investors Weigh In On Mastercard

A number of large investors have recently added to or reduced their stakes in MA. Highline Wealth Partners LLC acquired a new position in Mastercard in the third quarter valued at about $25,000. NewSquare Capital LLC acquired a new position in shares of Mastercard in the 4th quarter valued at approximately $26,000. Marshall Investment Management LLC bought a new stake in shares of Mastercard during the 4th quarter worth approximately $30,000. Halbert Hargrove Global Advisors LLC acquired a new stake in shares of Mastercard during the 4th quarter worth approximately $32,000. Finally, First Personal Financial Services bought a new position in Mastercard in the third quarter valued at approximately $39,000. 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.