Kera Capital Partners Inc. Takes Position in Mastercard Incorporated (NYSE:MA)

Kera Capital Partners Inc. bought a new position in shares of Mastercard Incorporated (NYSE:MA) during the 4th quarter, HoldingsChannel.com reports. The fund bought 408 shares of the credit services provider’s stock, valued at approximately $215,000.

A number of other hedge funds also recently added to or reduced their stakes in the business. Highline Wealth Partners LLC acquired a new stake in shares of Mastercard in the third quarter valued at $25,000. Strategic Investment Solutions Inc. IL acquired a new stake in Mastercard in the 2nd quarter valued at about $34,000. First Personal Financial Services acquired a new stake in Mastercard in the 3rd quarter valued at about $39,000. Lowe Wealth Advisors LLC grew its position in shares of Mastercard by 74.0% during the third quarter. Lowe Wealth Advisors LLC now owns 87 shares of the credit services provider’s stock worth $43,000 after buying an additional 37 shares in the last quarter. Finally, FSA Wealth Management LLC acquired a new position in shares of Mastercard during the third quarter worth about $54,000. 97.28% of the stock is currently owned by institutional investors and hedge funds.

Mastercard Trading Up 0.4 %

NYSE:MA opened at $525.22 on Monday. Mastercard Incorporated has a 1 year low of $427.45 and a 1 year high of $537.70. 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 stock has a fifty day moving average price of $524.28 and a two-hundred day moving average price of $494.59. The stock has a market capitalization of $482.06 billion, a price-to-earnings ratio of 39.73, a PEG ratio of 2.00 and a beta of 1.10.

Mastercard (NYSE:MA) last announced its quarterly earnings results on Thursday, October 31st. The credit services provider reported $3.89 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.73 by $0.16. Mastercard had a net margin of 45.26% and a return on equity of 178.27%. The business had revenue of $7.37 billion during the quarter, compared to the consensus estimate of $7.27 billion. During the same quarter last year, the firm posted $3.39 EPS. The business’s revenue was up 12.8% compared to the same quarter last year. As a group, sell-side analysts anticipate that Mastercard Incorporated will post 14.46 earnings per share for the current fiscal year.

Mastercard Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, February 7th. Investors of record on Thursday, January 9th will be issued a $0.76 dividend. The ex-dividend date of this dividend is Friday, January 10th. This represents a $3.04 dividend on an annualized basis and a dividend yield of 0.58%. This is a boost from Mastercard’s previous quarterly dividend of $0.66. Mastercard’s dividend payout ratio is currently 19.97%.

Mastercard announced that its board has approved 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 purchase up to 2.5% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s board believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the stock. Robert W. Baird lifted their price target on shares of Mastercard from $545.00 to $575.00 and gave the stock an “outperform” rating in a research note on Wednesday, October 16th. BMO Capital Markets boosted their target price on shares of Mastercard from $550.00 to $565.00 and gave the stock an “outperform” rating in a research note on Thursday, November 14th. Royal Bank of Canada restated an “outperform” rating and issued a $572.00 price target on shares of Mastercard in a research note on Thursday, November 14th. Oppenheimer dropped their price objective on Mastercard from $591.00 to $588.00 and set an “outperform” rating on the stock in a report on Thursday, December 19th. Finally, Seaport Res Ptn cut Mastercard from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, January 14th. Four equities research analysts have rated the stock with a hold rating, twenty-two have issued a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $566.63.

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.