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Stock: MA
Book Value Per Share: $7.33
EPS: $16.895
Diluted EPS TTM: $14.25
Dividend Per Share: 2.84
Dividend Yield: 0.51 %
Dividend Payout Ratio: 17%
Price To Sales Ratio TTM: 17.19
Price To Book Ratio: 74.89
PEG Ratio: 2.207
EV To EBITDA: 29.41
P/E Ratio: 38.61
Forward P/E Ratio: 34.48
Ex Dividend Date: 2025-07-09
Dividend Date: 2025-08-08
Current Price: $553.02
Previous Close: $550.18
52 Week Low: $426.39
52 Week High: $593.91
Earning Date (within 30 days): 2025-08-06
50 Day MA: $568.25
200 Day MA: $537.69
Link to Yahoo (Financial): MA

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* Note: Prices are in Million (M) USD.
Description:
Mastercard Inc (MA) ↓
Mastercard Incorporated is an American multinational financial services corporation headquartered in the Mastercard International Global Headquarters in Purchase, New York. The Global Operations Headquarters is located in O'Fallon, Missouri, a municipality of St. Charles County, Missouri. Throughout the world, its principal business is to process payments between the banks of merchants and the card-issuing banks or credit unions of the purchasers who use the Mastercard brand debit, credit and prepaid cards to make purchases. Mastercard Worldwide has been a publicly traded company since 2006.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $8,442 M
Debt : $17,476 M
EBITDA : $17,978 M
Net Debt (Debt - Cash): $9,034 M

Since Net Debt is covered by EBITDA within 1 year, 3 points assigned.
This criteria used industry in which company operates:
Sector: Financial Services
Industry: Credit Services

Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 32.73

Since Forward PE Ratio is between 25 - 35, 1 point assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $9,772 M
Average Revenue: $11,614 M
Revenue Converted To Free Cash FLow(%): 84%
Avg Free Cash Flow Growth Per Year (Last 5 Years): 15.02%

Since Free Cash Flow (FCF) to Revenue percentage is greater than 25, 5 points assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $28,167 M
Revenue 4 Years Ago (2020-12-31): $15,301 M
Last 5 Years Average Revenue Growth: 17%

Since Revenue Growth is between 15 - 20, 4 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $927 M
Share Count 5 Years Ago (2020-12-31): $1,006 M

Company is buying back its own shares, 3 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $18.14
Trailing 12-Month Earnings Per Share (EPS): $15.65
Average Earnings Per Share (EPS): $16.90
Dividend Per Share (DPS): $3
Payout Ratio: 17%
Dividend Yield: 1%

Since company Payout Ratio is less than 50, 2 points assigned.

Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: 74%

Since Average ROE is greater than 20, 5 points assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $553
52-Week Low: $426
Threshold Price (15% Above 52-Week Low): $490

Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $499,609 M

Since Market Cap is between 100B - 500B, 3 points assigned.
% Exposure to Total Portfolio
Based on the calculated score, we recommend do not exceed 4% exposure of Total Portfolio.
Value-Trade has assigned 29 points to above Mastercard Inc (MA) stock.
Last 19 Years Avg PE (Limited to last 19 years of EPS data) 40, Fair Value PE 15, Industry Based PE is 20 and Growth based PE is 15. Based on these all values average assigned is 22.50.
Value-Trades has assined P/E value 22.50. Since an average (Current Year EPS + Next Year EPS) earning per share is $16.895.
The fair value of Mastercard Inc (MA) stock should be (22.50 x $16.895) = $380.14

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