Mastercard Incorporated (NYSE:MA) Plans $0.87 Quarterly Dividend

Mastercard Incorporated (NYSE:MA) announced a quarterly dividend on Tuesday, June 16th. Stockholders of record on Thursday, July 9th will be paid a dividend of 0.87 per share by the credit services provider on Friday, August 7th. This represents a c) dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend is Thursday, July 9th.

Mastercard has raised its dividend by an average of 0.1%annually over the last three years and has increased its dividend annually for the last 13 consecutive years. Mastercard has a payout ratio of 18.7% meaning its dividend is sufficiently covered by earnings. Analysts expect Mastercard to earn $22.65 per share next year, which means the company should continue to be able to cover its $3.48 annual dividend with an expected future payout ratio of 15.4%.

Mastercard Price Performance

Shares of NYSE MA opened at $501.00 on Wednesday. The firm has a 50-day simple moving average of $499.39 and a 200-day simple moving average of $522.78. The stock has a market capitalization of $442.67 billion, a price-to-earnings ratio of 28.99, a price-to-earnings-growth ratio of 1.53 and a beta of 0.74. The company has a quick ratio of 0.98, a current ratio of 0.98 and a debt-to-equity ratio of 2.56. Mastercard has a 52 week low of $464.52 and a 52 week high of $601.77.

Mastercard (NYSE:MA) last issued its earnings results on Thursday, April 30th. The credit services provider reported $4.60 EPS for the quarter, beating analysts’ consensus estimates of $4.41 by $0.19. The business had revenue of $8.40 billion during the quarter, compared to analysts’ expectations of $8.26 billion. Mastercard had a net margin of 45.88% and a return on equity of 212.96%. The company’s quarterly revenue was up 15.8% compared to the same quarter last year. During the same period in the prior year, the business earned $3.73 earnings per share. On average, equities analysts predict that Mastercard will post 19.6 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently commented on the stock. Bank of America assumed coverage on shares of Mastercard in a research report on Thursday, March 5th. They issued a “buy” rating and a $700.00 target price for the company. BNP Paribas Exane upgraded shares of Mastercard from a “neutral” rating to an “outperform” rating and set a $600.00 target price for the company in a research report on Thursday, March 19th. Citigroup reduced their target price on shares of Mastercard from $735.00 to $675.00 and set a “buy” rating for the company in a research report on Tuesday, April 14th. Wolfe Research restated an “outperform” rating on shares of Mastercard in a research report on Tuesday, March 17th. Finally, Evercore restated a “negative” rating on shares of Mastercard in a research report on Tuesday, March 17th. Six investment analysts have rated the stock with a Strong Buy rating, twenty have given a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of “Buy” and a consensus target price of $656.04.

Mastercard Company Profile

Mastercard Incorporated is a global payments technology company that operates a network connecting consumers, financial institutions, merchants, governments and businesses in more than 200 countries and territories. The company facilitates electronic payments and transaction processing for credit, debit and prepaid card products carrying the Mastercard brand, while also providing a range of payment-related services to issuers, acquirers and merchants. Its technology and network enable authorization, clearing and settlement of payments and support a broad set of use cases including point-of-sale, e-commerce and mobile payments.

Beyond core transaction processing, Mastercard offers a suite of value-added services such as fraud and risk management, identity and authentication tools, tokenization and digital wallet support, cross-border and commercial payment solutions, and data analytics and consulting services for merchants and financial partners.