Acropolis Investment Management LLC Cuts Position in Mastercard Incorporated (NYSE:MA)

Acropolis Investment Management LLC trimmed its holdings in shares of Mastercard Incorporated (NYSE:MA) by 2.2% in the 4th quarter, according to its most recent disclosure with the SEC. The fund owned 2,965 shares of the credit services provider’s stock after selling 68 shares during the period. Acropolis Investment Management LLC’s holdings in Mastercard were worth $1,561,000 as of its most recent SEC filing.

A number of other hedge funds have also recently made changes to their positions in MA. Highline Wealth Partners LLC purchased a new position in Mastercard in the third quarter worth about $25,000. Strategic Investment Solutions Inc. IL purchased a new position in Mastercard in the 2nd quarter worth approximately $34,000. Fairway Wealth LLC purchased a new position in Mastercard in the 2nd quarter worth approximately $35,000. First Personal Financial Services bought a new position in Mastercard in the 3rd quarter valued at approximately $39,000. Finally, Lowe Wealth Advisors LLC boosted its stake in Mastercard by 74.0% during the 3rd quarter. Lowe Wealth Advisors LLC now owns 87 shares of the credit services provider’s stock valued at $43,000 after purchasing an additional 37 shares during the last quarter. 97.28% of the stock is owned by institutional investors.

Mastercard Stock Performance

Mastercard stock opened at $508.49 on Wednesday. The company’s 50-day moving average price is $524.14 and its 200-day moving average price is $493.23. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 2.36. The company has a market cap of $466.71 billion, a PE ratio of 38.46, a price-to-earnings-growth ratio of 2.36 and a beta of 1.10. Mastercard Incorporated has a twelve month low of $425.48 and a twelve month high of $537.70.

Mastercard (NYSE:MA) last issued its quarterly earnings data on Thursday, October 31st. The credit services provider reported $3.89 earnings per share for the quarter, topping the consensus estimate of $3.73 by $0.16. The company had revenue of $7.37 billion for the quarter, compared to analysts’ expectations of $7.27 billion. Mastercard had a return on equity of 178.27% and a net margin of 45.26%. The firm’s revenue for the quarter was up 12.8% on a year-over-year basis. During the same period in the previous year, the firm posted $3.39 earnings per share. On average, equities research analysts forecast that Mastercard Incorporated will post 14.47 EPS for the current fiscal year.

Mastercard announced that its Board of Directors has initiated a share buyback program on Tuesday, December 17th that allows the company to buyback $12.00 billion in shares. This buyback authorization allows the credit services provider to repurchase up to 2.5% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its shares are undervalued.

Mastercard Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, February 7th. Shareholders of record on Thursday, January 9th will be paid a $0.76 dividend. The ex-dividend date of this dividend is Friday, January 10th. This represents a $3.04 annualized dividend and a yield of 0.60%. This is an increase from Mastercard’s previous quarterly dividend of $0.66. Mastercard’s dividend payout ratio (DPR) is presently 23.00%.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on MA shares. Mizuho upped their price target on Mastercard from $496.00 to $532.00 and gave the company an “outperform” rating in a report on Friday, November 1st. Royal Bank of Canada reaffirmed an “outperform” rating and set a $572.00 price target on shares of Mastercard in a report on Thursday, November 14th. UBS Group boosted their price objective on shares of Mastercard from $590.00 to $610.00 and gave the company a “buy” rating in a report on Thursday, November 14th. Bank of America increased their price objective on shares of Mastercard from $480.00 to $509.00 and gave the company a “neutral” rating in a research report on Tuesday, September 17th. Finally, Robert W. Baird lifted their target price on shares of Mastercard from $545.00 to $575.00 and gave the stock an “outperform” rating in a research report on Wednesday, October 16th. Four analysts have rated the stock with a hold rating, twenty-two have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat, the company currently has an average 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.