-1.87%
6.32%
9.32%
20.22%
20.59%
39.99%
71.15%
AI Spotlight on MA
Company Description
Mastercard Incorporated, a technology company, provides transaction processing and other payment-related products and services in the United States and internationally.It facilitates the processing of payment transactions, including authorization, clearing, and settlement, as well as delivers other payment-related products and services.The company offers integrated products and value-added services for account holders, merchants, financial institutions, businesses, governments, and other organizations, such as programs that enable issuers to provide consumers with credits to defer payments; prepaid programs and management services; commercial credit and debit payment products and solutions; and payment products and solutions that allow its customers to access funds in deposit and other accounts.
It also provides value-added products and services comprising cyber and intelligence solutions for parties to transact, as well as proprietary insights, drawing on principled use of consumer, and merchant data services.In addition, the company offers analytics, test and learn, consulting, managed services, loyalty, processing, and payment gateway solutions for e-commerce merchants.Further, it provides open banking and digital identity platforms services.
The company offers payment solutions and services under the MasterCard, Maestro, and Cirrus.Mastercard Incorporated was founded in 1966 and is headquartered in Purchase, New York.
Market Data
| Last Price | 555.43 |
| Change Percentage | -1.87% |
| Open | 563.82 |
| Previous Close | 566.01 |
| Market Cap ( Millions) | 505868 |
| Volume | 4504939 |
| Year High | 576.94 |
| Year Low | 428.86 |
| M A 50 | 527.36 |
| M A 200 | 484.8 |
Financial Ratios
| FCF Yield | 2.83% |
| Dividend Yield | 0.49% |
| ROE | 180.13% |
| Debt / Equity | 281.05% |
| Net Debt / EBIDTA | 59.33% |
| Price To Book | 78.54 |
| Price Earnings Ratio | 39.56 |
| Price To FCF | 35.36 |
| Price To sales | 17.96 |
| EV / EBITDA | 31.27 |
News
- Jan -31 - Mastercard Vs. Visa: Buy, Sell Or Hold?
- Jan -30 - Mastercard Incorporated (MA) Q4 2024 Earnings Call Transcript
- Jan -30 - Mastercard Q4 Earnings Beat Estimates on GDV & Transactions Growth
- Jan -30 - Jobless Claims Decreased More Than Expected
- Jan -30 - Jobless Claims, GDP Fall; More Earnings
- Jan -30 - Here's What Key Metrics Tell Us About MasterCard (MA) Q4 Earnings
- Jan -30 - Mastercard earnings set an upbeat tone for fintech stocks. These numbers stand out.
- Jan -30 - MasterCard (MA) Beats Q4 Earnings and Revenue Estimates
- Jan -30 - Mastercard's Net Revenue Exceeds Targets
- Jan -30 - Mastercard Hits Record High On Results, Dow Jones Rival Visa On Deck
- Jan -30 - Mastercard Earnings Rise on Growth From Payments Network. The Stock Trades Higher.
- Jan -30 - Mastercard's profit jumps on resilient consumer spending
- Jan -29 - Mastercard Teams With BMO and Porter Airlines on Travel Rewards
- Jan -28 - Visa & Mastercard Earnings: A Closer Look
- Jan -27 - Is Mastercard Stock a Buy Before Q4 Earnings? Check Key Estimates
- Jan -27 - Mastercard: Expect Solid Q4, But Valuation Concerns May Bite
- Jan -25 - 3 Warren Buffett Dividend Growth Stocks That Just Hit All-Time Highs but Could Have More Room to Run in 2025
- Jan -25 - Mastercard: Don't Miss Out On This Dividend Growth Machine
- Jan -24 - Calls of the Day: Visa, Mastercard, Block, Paypal
- Jan -23 - MasterCard (MA) Earnings Expected to Grow: What to Know Ahead of Next Week's Release
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Payment Network
Expected Growth : 10 %
What the company do ?
Why we expect these perspectives ?
Mastercard's Payment Network growth is driven by increasing adoption of contactless payments, expansion into new markets, and partnerships with fintech companies. Additionally, the shift to cashless transactions, growth in e-commerce, and rising demand for digital payment solutions are contributing to the 10% growth rate.
Segment n°2 -> Value-added Services and Solutions
Expected Growth : 12 %
What the company do ?
Why we expect these perspectives ?
Mastercard's Value-added Services and Solutions growth is driven by increasing adoption of digital payments, rising demand for fraud detection and prevention, growing need for data analytics and insights, expansion into new markets, and strategic partnerships and acquisitions, resulting in a 12% growth rate.
Mastercard Incorporated Products
| Product Range | What is it ? |
|---|---|
| Payment Processing | Mastercard provides payment processing services that enable merchants to accept various payment methods, including credit, debit, and prepaid cards, as well as digital payments. |
| Digital Payments | Mastercard offers digital payment solutions, such as Masterpass, that allow consumers to make online and in-app purchases using their mobile devices. |
| Cross-Border Payments | Mastercard facilitates cross-border payments, enabling individuals and businesses to send and receive payments across different countries and currencies. |
| Card Services | Mastercard provides card services, including card issuance, card processing, and card management, to financial institutions and merchants. |
| Data Analytics | Mastercard offers data analytics services that provide insights and intelligence to businesses, helping them to optimize their operations and improve customer experiences. |
| Security Solutions | Mastercard provides security solutions, such as fraud detection and prevention, to protect transactions and prevent fraudulent activities. |
| Loyalty and Rewards | Mastercard offers loyalty and rewards programs that enable businesses to incentivize customers and drive loyalty. |
| Consulting Services | Mastercard provides consulting services to businesses, helping them to optimize their payment strategies and improve operational efficiency. |
Mastercard Incorporated's Porter Forces
Threat Of Substitutes
Mastercard's business model is highly dependent on its network effects, making it difficult for substitutes to emerge. Additionally, the company's strong brand recognition and partnerships with financial institutions further reduce the threat of substitutes.
Bargaining Power Of Customers
Mastercard's customers, primarily financial institutions, have some bargaining power due to their large transaction volumes. However, the company's diversified customer base and strong relationships mitigate this power.
Bargaining Power Of Suppliers
Mastercard's suppliers, primarily financial institutions and merchants, have limited bargaining power due to the company's dominant market position and the lack of alternative payment processing networks.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry in the payment processing industry, including significant capital requirements, regulatory hurdles, and the need for a large network of merchants and financial institutions.
Intensity Of Rivalry
The payment processing industry is highly competitive, with Mastercard facing intense rivalry from Visa, American Express, and other players. The company must continually innovate and invest in its products and services to maintain its market share.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 69.35% |
| Debt Cost | 4.47% |
| Equity Weight | 30.65% |
| Equity Cost | 9.47% |
| WACC | 6.00% |
| Leverage | 226.31% |
Mastercard Incorporated : Quality Control
Mastercard Incorporated passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| COF | Capital One Financial Corporation operates as the financial services holding company for the Capital One Bank (USA), National Association; and Capital One, National Association, which provides various financial products and … |
| V | Visa Inc. operates as a payments technology company worldwide. The company facilitates digital payments among consumers, merchants, financial institutions, businesses, strategic partners, and government entities. It operates VisaNet, a transaction … |
| AXP | American Express Company, together with its subsidiaries, provides charge and credit payment card products, and travel-related services worldwide. The company operates through three segments: Global Consumer Services Group, Global Commercial … |
| DFS | Discover Financial Services, through its subsidiaries, provides digital banking products and services, and payment services in the United States. It operates in two segments, Digital Banking and Payment Services. The … |
| PYPL | PayPal Holdings, Inc. operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It provides payment solutions under the PayPal, PayPal Credit, Braintree, Venmo, Xoom, … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
🥇
Capital One
A-Score
1-Year Total Return ->
🥈
Amex
A-Score
1-Year Total Return ->
🥉
Discover
A-Score
1-Year Total Return ->
4
Visa
A-Score
1-Year Total Return ->
5
Mastercard
A-Score
1-Year Total Return ->
6
