Deep Dive MA (Mastercard) Runway Analysis Deep Value
NYQ Β· Financial Services Β· Credit Services
$574.42
+5.23 (+0.92%)
MA Interactive Price Chart & Trading Signals
MA Stock Snapshot β Valuation, Risk & Technical Signals
MA Key Fundamentals, Analyst Targets & Company Profile
Key Financial Ratios
Market Cap
$503.20B
P/E Ratio
31.65
Forward P/E
24.95
PEG Ratio
1.49
P/B Ratio
89.81
EPS
$18.15
Dividend Yield
0.61%
52W Range
$464.52 β $601.62
Beta
0.73
Volume
2.5M
ROE
241.2%
Profit Margin
46.3%
Revenue Growth
14.1%
Gross Margin
100.0%
EV/EBITDA
23.25
Analyst Target
$666.71
The trailing price-to-earnings ratio stands at 31.6x. Forward P/E of 24.9x implies earnings expansion expected. Price-to-book is 89.81x. EV/EBITDA sits at 23.25x. Market capitalization is $503.20B. Revenue is growing at 14.1% on a trailing basis. Earnings are expanding at 22.1%. Profit margins are 46.3%. Return on equity is 241.2%. Beta of 0.73 indicates defensive profile.
Analyst Consensus
Recommendation
Strong Buy
Low Target
$550.00
Mean Target
$666.71
High Target
$740.00
Based on 37 analysts
About Mastercard
Mastercard Incorporated, a technology company, provides transaction processing and other payment-related products and services in the United States and internationally. The company offers products and 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; consumer bill payment services; and commercial credit, debit, and prepaid payment products and solutions. It also provides solutions that enable businesses or governments to make payments to businesses, including Virtual Card Number, which is generated dynamically from an existing account and leverages the credit limit of the funding account; and a platform to optimize supplier payment enablement campaigns for financial institutions. In addition, the company offers Mastercard Move, which partners with digital messaging and payment platforms to enable consumers to send money directly within applications to other consumers; and partners with central banks, fintechs, and financial institutions, as well as enables various cross-border payment flows. Further, it provides security solutions; marketing, personalization, and issuer and merchant loyalty services; business and operational intelligence, advanced analytics and AI, consulting and agentic solutions, and payments and portfolio optimization; digital and authentication; processing and gateway solutions; and other solutions. The company offers payment solutions and services under the MasterCard, Maestro, and Cirrus names. Mastercard Incorporated was founded in 1966 and is headquartered in Purchase, New York.
MA Deep Dive Analysis
Bottom Line
Verdict
OvervaluedBest for
Quality-focused portfoliosWatch out for
Premium valuationData confidence
HighMastercard Incorporated (MA) trades above our multi-model fair value estimate of $329.83 by approximately 42.6%. Trailing P/E: 31.6x. Profitability signals include profit margin of 46.3% and return on equity of 241.2%. Recent growth metrics show revenue growth of 14.1% and earnings growth of 22.1%. Risk profile: defensive beta of 0.73. Consensus: strong_buy.
MA Deep Dive Analysis
Valuation
Overvalued
P/E 31.6x
Price is above what fundamentals suggest.
Growth
Expanding
Rev 14.1%
Revenue is outpacing the market.
Risk
Low
Beta 0.73
Movement is likely to track the broader market.
Valuation Snapshot
Mastercard Incorporated (MA) trades above our multi-model fair value estimate of $329.83 by approximately 42.6%. The trailing price-to-earnings ratio stands at 31.6x. Forward P/E of 24.9x suggests earnings compression ahead. Price-to-sales is 14.3x. Price-to-book is 89.8x. EV/EBITDA sits at 23.3x. Market capitalization is $503.20B.
Why it matters: Paying a premium works only if the company keeps growing faster than expected.
Growth & Profitability
Revenue is growing at 14.1% on a trailing basis. Earnings are expanding at 22.1%. Profit margins are 46.3%. Return on equity is 241.2%. Return on assets is 24.1%.
Why it matters: Growing revenue with healthy margins usually means the business is gaining market share or pricing power.
Risk Profile
Beta of 0.73 indicates defensive profile. Net debt position is $13.03B.
Why it matters: Lower risk means steadier returns, but often with less upside in bull markets.
Analyst Context
Analyst consensus target of $666.71 implies 16.1% upside. Target range spans $550.00 to $740.00. 37 analysts cover the stock. Consensus recommendation: strong_buy.
Why it matters: Analyst targets reflect what professionals expect over 12 months. A wide gap between price and target can mean the market disagrees with the consensus.
Investor Fit
Strong profitability metrics may appeal to quality-focused portfolios.
Takeaway: Match the stock's risk-reward profile with your own goals and time horizon. No single metric tells the whole story.
Data Methodology & Sources
Market Data (Facts)
- Price, volume, market cap: Yahoo Finance (delayed ~5 min)
- P/E, EPS, revenue, debt: Yahoo Finance fundamentals
- Analyst targets: Yahoo Finance consensus (may lag)
- Insider trades: SEC EDGAR Form 4 filings
QuantSoar Model (Derived)
- Fair Value: 7-model consensus (DCF, Graham, P/E, P/S, DDM, EV/EBITDA, Div Yield) β trimmed inverse-variance weighted
- Margin of Safety = (Fair Value β Live Price) / Live Price Γ 100
- Composite Score: 40% Value + 30% Momentum + 30% Risk
- Verdict Gauge: Base 50 + Valuation(Β±25) + Whale(Β±10) + Macro(Β±10) + Technical(Β±10). Analyst consensus shown separately.
Model outputs are estimates based on available data and are not investment advice. Cross-check with primary sources before making investment decisions.
MA Overvalued
Mastercard Incorporated (MA) trades above our multi-model fair value estimate of $329.83 by approximately 42.6%.
Frequently Asked Questions
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About the Author
Phasakorn Traklang (Peach) β Founder
Phasakorn Traklang (Peach) is the founder of QuantSoar, bringing expertise in SEO, web development, and technical analytics to build an AI-powered investment platform accessible to retail investors worldwide.
Connect on LinkedInInvestment Disclaimer: QuantSoar is for informational purposes only. We do not provide personalized investment advice. Always conduct your own research or consult a financial advisor. SEC
Data: Yahoo Finance / SEC EDGAR / Alpha Vantage / Finnhub. AI outputs verified against source data.