Mastercard Incorporated (NYSE:MA) Position Trimmed by Retirement Systems of Alabama

Retirement Systems of Alabama reduced its stake in shares of Mastercard Incorporated (NYSE:MA) by 0.7% in the 4th quarter, HoldingsChannel.com reports. The firm owned 358,154 shares of the credit services provider’s stock after selling 2,359 shares during the quarter. Mastercard comprises approximately 0.7% of Retirement Systems of Alabama’s portfolio, making the stock its 16th largest holding. Retirement Systems of Alabama’s holdings in Mastercard were worth $188,593,000 as of its most recent SEC filing.

A number of other hedge funds have also modified their holdings of MA. Highline Wealth Partners LLC bought a new position in shares of Mastercard in the 3rd quarter valued at approximately $25,000. First Personal Financial Services bought a new stake in Mastercard in the 3rd quarter valued at $39,000. FSA Wealth Management LLC bought a new position in Mastercard during the third quarter valued at about $54,000. Raelipskie Partnership grew its holdings in shares of Mastercard by 120.0% during the 3rd quarter. Raelipskie Partnership now owns 110 shares of the credit services provider’s stock worth $54,000 after purchasing an additional 60 shares in the last quarter. Finally, Legacy Investment Solutions LLC bought a new stake in Mastercard in the 3rd quarter valued at $55,000. 97.28% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on MA. BMO Capital Markets increased their target price on Mastercard from $550.00 to $565.00 and gave the stock an “outperform” rating in a report on Thursday, November 14th. Macquarie upped their target price on shares of Mastercard from $565.00 to $645.00 and gave the stock an “outperform” rating in a research report on Friday, January 31st. Robert W. Baird lifted their target price on Mastercard from $545.00 to $575.00 and gave the company an “outperform” rating in a research note on Wednesday, October 16th. Citigroup raised their price target on Mastercard from $584.00 to $650.00 and gave the company a “buy” rating in a report on Friday, January 31st. Finally, Jefferies Financial Group upped 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. Four research analysts have rated the stock with a hold rating, twenty-four have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $603.08.

Mastercard Trading Down 0.8 %

NYSE MA opened at $559.21 on Wednesday. The company has a market cap of $513.26 billion, a PE ratio of 40.26, a PEG ratio of 2.23 and a beta of 1.10. Mastercard Incorporated has a 12 month low of $428.86 and a 12 month high of $576.94. The stock has a 50 day moving average of $529.03 and a 200-day moving average of $502.60. The company has a current ratio of 1.03, a quick ratio of 1.29 and a debt-to-equity ratio of 2.68.

Mastercard (NYSE:MA) last released its quarterly earnings data 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 net margin of 45.71% and a return on equity of 188.47%. On average, equities research analysts anticipate that Mastercard Incorporated will post 16.04 EPS for the current fiscal year.

Mastercard Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, February 7th. Stockholders of record on Thursday, January 9th will be given a $0.76 dividend. The ex-dividend date of this dividend is Friday, January 10th. This is a positive change from Mastercard’s previous quarterly dividend of $0.66. This represents a $3.04 annualized dividend and a dividend yield of 0.54%. Mastercard’s dividend payout ratio is presently 21.89%.

Mastercard declared that its Board of Directors has authorized a share 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 buy up to 2.5% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its shares are undervalued.

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.