Troy Asset Management Ltd Increases Its Investment in Mastercard

Troy Asset Management Ltd has reported a notable increase in its investment in Mastercard Incorporated (NYSE:MA - Free Report), boosting its holdings by 11.7% during the third quarter of the year. This information comes from the firm’s latest filing with the Securities and Exchange Commission (SEC). Following this increase, Troy Asset Management now owns a total of 138,770 shares of Mastercard's stock, having acquired an additional 14,556 shares during this period.

Mastercard accounts for 2.2% of Troy Asset Management's overall investment portfolio, which makes it the firm’s 14th largest holding. As of the most recent filing, the total value of their Mastercard shares is approximately $68,525,000.

Other Hedge Fund Activities

Other hedge funds have also made adjustments to their investments in Mastercard. For instance, Highline Wealth Partners LLC initiated a new position in Mastercard during the third quarter, investing about $25,000. Additionally, Strategic Investment Solutions Inc., located in Illinois, acquired new shares valued at approximately $34,000 in the second quarter. Fairway Wealth LLC and First Personal Financial Services bought new stakes worth around $35,000 and $39,000 respectively in the same time frame.

Lowe Wealth Advisors LLC significantly increased its holdings in Mastercard by 74.0% during the third quarter, bringing their total to 87 shares valued at $43,000 after buying an extra 37 shares. Overall, hedge funds and other institutional investors control 97.28% of Mastercard's stock.

Insider Trading Activities

In terms of insider trading, Foundation Mastercard, a major shareholder, sold 109,000 shares of the company on August 19th at an average price of $467.45, culminating in a transaction valued at $50,952,050. After this transaction, the Foundation still holds 91,924,308 shares of Mastercard, representing a market value of approximately $42.97 billion. This sale reflected no change in their percentage ownership of the stock.

Additionally, Venkata R. Madabhushi, the Chief Marketing Officer, sold 4,685 shares on September 20th at an average price of $489.86, amounting to about $2,294,994.10. After this sale, the CMO retains ownership of 15,031 shares, worth around $7.36 million. In total, company insiders sold 327,370 shares valued at $153,495,958 over the past three months. Corporate insiders hold a mere 0.10% of the company's stock.

Market Performance of Mastercard

On Friday, Mastercard's stock opened at $524.76. Over the past year, the shares have fluctuated between a low of $386.74 and a high of $528.84. As a leading company in the payment processing industry, Mastercard boasts a market capitalization of approximately $481.64 billion, a price-to-earnings (PE) ratio of 39.69, and a price-to-earnings-growth (PEG) ratio of 2.28. The company also maintains a debt-to-equity ratio of 2.36 with a current ratio of 1.29.

Financial Reports and Dividend Announcements

Mastercard released its latest financial results on October 31st, reporting earnings of $3.89 per share, which surpassed analysts' expectations of $3.73 by $0.16. The firm achieved revenues of $7.37 billion, exceeding forecasts of $7.27 billion. Mastercard exhibited a net margin of 45.26% and an impressive return on equity of 178.27%. The revenue increased by 12.8% compared to the same quarter last year, where the earnings were $3.39 per share.

In terms of dividends, the company recently announced a quarterly dividend that was paid out on November 8th. Investors recorded on October 9th were compensated with a dividend of $0.66 per share. This translates to an annualized dividend of $2.64 and results in a dividend yield of 0.50%. Currently, Mastercard's dividend payout ratio stands at 19.97%.

Analysts' Perspectives

Recent evaluations by financial analysts have shown a generally positive outlook for Mastercard. Mizuho raised their price target from $496.00 to $532.00, assigning an 'outperform' rating. Argus upgraded Mastercard to a 'strong-buy' rating, while Susquehanna increased their target from $540.00 to $605.00. Oppenheimer also initiated coverage, issuing an 'outperform' rating with a target price of $591.00. Macquarie raised its price target from $505.00 to $565.00, indicating strong confidence in the stock.

Overall, market data indicates four analysts categorizing the stock as a hold, twenty suggesting a buy, and three favoring a strong buy. The average consensus rating is a 'Moderate Buy' with a target price of approximately $540.17.

About Mastercard

Mastercard Incorporated is a global technology company that specializes in transaction processing and other payment-related services. They provide an array of integrated products and services tailored to assist account holders, merchants, financial institutions, digital partners, and various organizations. Their offerings include solutions that enable faster, safer payment transactions for consumers and institutions alike.

Investment, Finance, Growth