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Mastercard Incorporated (MA), headquartered in Purchase, New York, is a global leader in payment technology and financial services. With a market cap of $466.91 billion, Mastercard provides innovative payment solutions that connect consumers, businesses, and financial institutions worldwide. The company is set to announce its Q3 earnings on Thursday, Oct. 24.
Ahead of the event, analysts expect MA to report a profit of $3.69 per share, up 8.9% from $3.39 in the year-ago quarter. The company has surpassed Wall Street’s EPS estimates in its last four quarterly reports.
Its adjusted earnings of $3.59 per share for the last quarter surpassed the consensus estimate by 2.3%. Strong consumer spending, higher cross-border volumes, and growth in value-added services fueled Mastercard's Q2 performance.
For fiscal 2024, analysts expect MA to report EPS of $14.30, up 16.6% from $12.26 in fiscal 2023.
MA stock is up 17.8% on a YTD basis, underperforming the broader S&P 500 Index's ($SPX) 21.9% gains and the iShares U.S. Financial Services ETF (IYG) 22.5% returns over the same time frame.
On Jul. 31, MA shares closed up more than 3% after reporting its Q2 results. The company’s revenue was $7 billion, topping Wall Street forecasts of $6.9 billion. Its payment network net revenue increased by 7% (or 9% on a currency-neutral basis).
The consensus opinion on MA stock is bullish, with an overall “Strong Buy” rating. Of the 38 analysts covering the stock, 31 advise a “Strong Buy” rating, two suggest a “Moderate Buy,” and five indicate a “Hold.”
MA's average analyst price target is $526.03, indicating a potential upside of 4.7% from the current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
