KeyCorp Weighs in on Mastercard’s Q1 Earnings (NYSE:MA)

Mastercard Incorporated (NYSE:MA) – Equities researchers at KeyCorp issued their Q1 2025 earnings per share (EPS) estimates for Mastercard in a note issued to investors on Wednesday, December 18th. KeyCorp analyst A. Markgraff anticipates that the credit services provider will earn $3.68 per share for the quarter. KeyCorp has a “Overweight” rating and a $580.00 price objective on the stock. The consensus estimate for Mastercard’s current full-year earnings is $14.47 per share. KeyCorp also issued estimates for Mastercard’s Q2 2025 earnings at $4.11 EPS, Q3 2025 earnings at $4.40 EPS, Q4 2025 earnings at $4.30 EPS, FY2025 earnings at $16.50 EPS and FY2026 earnings at $19.25 EPS.

Mastercard (NYSE:MA) last issued its earnings results on Thursday, October 31st. The credit services provider reported $3.89 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates 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%. Mastercard’s quarterly revenue was up 12.8% compared to the same quarter last year. During the same period last year, the business earned $3.39 EPS.

MA has been the topic of a number of other research reports. Keefe, Bruyette & Woods upped their target price on shares of Mastercard from $580.00 to $618.00 and gave the stock an “outperform” rating in a report on Monday, December 9th. BMO Capital Markets increased their price objective on Mastercard from $550.00 to $565.00 and gave the stock an “outperform” rating in a research note on Thursday, November 14th. Compass Point assumed coverage on Mastercard in a research report on Wednesday, September 4th. They set a “neutral” rating and a $525.00 target price on the stock. Mizuho upped their price target on Mastercard from $496.00 to $532.00 and gave the stock an “outperform” rating in a report on Friday, November 1st. Finally, Royal Bank of Canada restated an “outperform” rating and set a $572.00 price objective on shares of Mastercard in a research note on Thursday, November 14th. Four equities research analysts have rated the stock with a hold rating, twenty-three have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $562.76.

Mastercard Stock Up 0.6 %

Mastercard stock opened at $523.28 on Thursday. The firm has a market capitalization of $480.28 billion, a price-to-earnings ratio of 39.58, a price-to-earnings-growth ratio of 2.38 and a beta of 1.10. The firm’s fifty day moving average price is $519.60 and its two-hundred day moving average price is $483.43. Mastercard has a 1-year low of $416.53 and a 1-year high of $537.13. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 2.36.

Institutional Investors Weigh In On Mastercard

A number of institutional investors and hedge funds have recently modified their holdings of the company. Goldstein Advisors LLC increased its position in shares of Mastercard by 1.3% during the 3rd quarter. Goldstein Advisors LLC now owns 1,516 shares of the credit services provider’s stock worth $749,000 after purchasing an additional 20 shares during the last quarter. Community Bank N.A. increased its stake in Mastercard by 0.9% during the third quarter. Community Bank N.A. now owns 2,190 shares of the credit services provider’s stock worth $1,081,000 after purchasing an additional 20 shares during the period. Raab & Moskowitz Asset Management LLC lifted its position in shares of Mastercard by 1.5% during the third quarter. Raab & Moskowitz Asset Management LLC now owns 1,398 shares of the credit services provider’s stock worth $690,000 after purchasing an additional 20 shares in the last quarter. McLean Asset Management Corp boosted its stake in shares of Mastercard by 1.3% in the third quarter. McLean Asset Management Corp now owns 1,677 shares of the credit services provider’s stock valued at $834,000 after purchasing an additional 21 shares during the period. Finally, Oldfather Financial Services LLC grew its stake in shares of Mastercard by 2.6% in the third quarter. Oldfather Financial Services LLC now owns 827 shares of the credit services provider’s stock worth $408,000 after acquiring an additional 21 shares in the last quarter. 97.28% of the stock is owned by hedge funds and other institutional investors.

Mastercard announced that its Board of Directors has authorized a stock buyback plan on Tuesday, December 17th that permits the company to repurchase $12.00 billion in outstanding shares. This repurchase authorization permits the credit services provider to reacquire up to 2.5% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.

Mastercard Increases Dividend

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

Mastercard Company Profile

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.