Parnassus Investments LLC Trims Holdings in Mastercard Incorporated (NYSE:MA)

Parnassus Investments LLC decreased its position in shares of Mastercard Incorporated (NYSE:MA) by 6.4% during the 4th quarter, Holdings Channel reports. The fund owned 2,639,185 shares of the credit services provider’s stock after selling 180,449 shares during the quarter. Mastercard accounts for about 3.1% of Parnassus Investments LLC’s investment portfolio, making the stock its 6th biggest holding. Parnassus Investments LLC’s holdings in Mastercard were worth $1,389,716,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also bought and sold shares of MA. NewSquare Capital LLC bought a new position in Mastercard during the 4th quarter worth approximately $26,000. Marshall Investment Management LLC bought a new position in Mastercard during the 4th quarter worth approximately $30,000. Halbert Hargrove Global Advisors LLC bought a new position in Mastercard in the fourth quarter valued at approximately $32,000. Truvestments Capital LLC lifted its stake in Mastercard by 62.5% in the fourth quarter. Truvestments Capital LLC now owns 65 shares of the credit services provider’s stock valued at $34,000 after buying an additional 25 shares in the last quarter. Finally, FPC Investment Advisory Inc. lifted its stake in Mastercard by 483.3% in the fourth quarter. FPC Investment Advisory Inc. now owns 70 shares of the credit services provider’s stock valued at $39,000 after buying an additional 58 shares in the last quarter. Institutional investors own 97.28% of the company’s stock.

Mastercard Price Performance

NYSE:MA opened at $519.38 on Friday. Mastercard Incorporated has a one year low of $428.86 and a one year high of $582.23. The company has a market cap of $473.52 billion, a P/E ratio of 37.39, a P/E/G ratio of 2.37 and a beta of 1.10. The firm’s fifty day moving average price is $545.25 and its two-hundred day moving average price is $522.03. The company has a debt-to-equity ratio of 2.68, a current ratio of 1.03 and a quick ratio of 1.03.

Mastercard (NYSE:MA) last released its quarterly earnings data on Thursday, January 30th. The credit services provider reported $3.82 EPS for the quarter, beating the consensus estimate of $3.71 by $0.11. Mastercard had a net margin of 45.71% and a return on equity of 188.47%. Equities analysts expect that Mastercard Incorporated will post 15.91 earnings per share for the current year.

Mastercard declared that its board has approved a stock buyback plan on Tuesday, December 17th that authorizes the company to repurchase $12.00 billion in outstanding shares. This repurchase authorization authorizes the credit services provider to purchase up to 2.5% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s board of directors believes its shares are undervalued.

Mastercard Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, May 9th. Shareholders of record on Wednesday, April 9th will be issued a $0.76 dividend. The ex-dividend date is Wednesday, April 9th. This represents a $3.04 annualized dividend and a dividend yield of 0.59%. Mastercard’s dividend payout ratio is currently 21.89%.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on the stock. UBS Group lifted their price target on shares of Mastercard from $600.00 to $660.00 and gave the company a “buy” rating in a research note on Friday, January 31st. DZ Bank raised shares of Mastercard from a “hold” rating to a “buy” rating and set a $620.00 price target on the stock in a research note on Tuesday, February 4th. Barclays lifted their price target on shares of Mastercard from $595.00 to $650.00 and gave the company an “overweight” rating in a research note on Monday, February 3rd. Citigroup lifted their price target on shares of Mastercard from $584.00 to $650.00 and gave the company a “buy” rating in a research note on Friday, January 31st. Finally, Macquarie lifted their price target on shares of Mastercard from $565.00 to $645.00 and gave the company an “outperform” rating in a research note on Friday, January 31st. Four analysts have rated the stock with a hold rating, twenty-four have assigned a buy rating and two have assigned a strong buy rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $606.11.

Mastercard 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.