MASTERCARD INC - A (MA) Fundamental Analysis & Valuation

NYSE:MA • US57636Q1040

Current stock price

501.5 USD
+8.06 (+1.63%)
At close:
501 USD
-0.5 (-0.1%)
After Hours:

This MA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. MA Profitability Analysis

1.1 Basic Checks

  • MA had positive earnings in the past year.
  • In the past year MA had a positive cash flow from operations.
  • Each year in the past 5 years MA has been profitable.
  • Each year in the past 5 years MA had a positive operating cash flow.
MA Yearly Net Income VS EBIT VS OCF VS FCFMA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

1.2 Ratios

  • The Return On Assets of MA (27.64%) is better than 98.00% of its industry peers.
  • The Return On Equity of MA (193.46%) is better than 99.00% of its industry peers.
  • The Return On Invested Capital of MA (51.15%) is better than 100.00% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for MA is significantly above the industry average of 8.10%.
  • The 3 year average ROIC (48.09%) for MA is below the current ROIC(51.15%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 27.64%
ROE 193.46%
ROIC 51.15%
ROA(3y)26.93%
ROA(5y)25.9%
ROE(3y)184.52%
ROE(5y)166%
ROIC(3y)48.09%
ROIC(5y)44.33%
MA Yearly ROA, ROE, ROICMA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50 100 150

1.3 Margins

  • MA has a Profit Margin of 45.65%. This is amongst the best in the industry. MA outperforms 89.00% of its industry peers.
  • MA's Profit Margin has improved in the last couple of years.
  • MA has a Operating Margin of 59.37%. This is amongst the best in the industry. MA outperforms 88.00% of its industry peers.
  • In the last couple of years the Operating Margin of MA has grown nicely.
Industry RankSector Rank
OM 59.37%
PM (TTM) 45.65%
GM N/A
OM growth 3Y0.95%
OM growth 5Y2.09%
PM growth 3Y0.73%
PM growth 5Y1.73%
GM growth 3YN/A
GM growth 5YN/A
MA Yearly Profit, Operating, Gross MarginsMA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

8

2. MA Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MA is creating value.
  • Compared to 1 year ago, MA has less shares outstanding
  • Compared to 5 years ago, MA has less shares outstanding
  • The debt/assets ratio for MA has been reduced compared to a year ago.
MA Yearly Shares OutstandingMA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
MA Yearly Total Debt VS Total AssetsMA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B 50B

2.2 Solvency

  • MA has an Altman-Z score of 9.70. This indicates that MA is financially healthy and has little risk of bankruptcy at the moment.
  • MA's Altman-Z score of 9.70 is amongst the best of the industry. MA outperforms 95.00% of its industry peers.
  • MA has a debt to FCF ratio of 1.16. This is a very positive value and a sign of high solvency as it would only need 1.16 years to pay back of all of its debts.
  • MA has a Debt to FCF ratio of 1.16. This is in the better half of the industry: MA outperforms 79.00% of its industry peers.
  • A Debt/Equity ratio of 2.36 is on the high side and indicates that MA has dependencies on debt financing.
  • MA's Debt to Equity ratio of 2.36 is on the low side compared to the rest of the industry. MA is outperformed by 69.00% of its industry peers.
  • Even though the debt/equity ratio score it not favorable for MA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 2.36
Debt/FCF 1.16
Altman-Z 9.7
ROIC/WACC5.81
WACC8.8%
MA Yearly LT Debt VS Equity VS FCFMA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.3 Liquidity

  • MA has a Current Ratio of 1.03. This is a normal value and indicates that MA is financially healthy and should not expect problems in meeting its short term obligations.
  • MA has a Current ratio of 1.03. This is comparable to the rest of the industry: MA outperforms 53.00% of its industry peers.
  • A Quick Ratio of 1.03 indicates that MA should not have too much problems paying its short term obligations.
  • The Quick ratio of MA (1.03) is comparable to the rest of the industry.
  • MA does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.03
Quick Ratio 1.03
MA Yearly Current Assets VS Current LiabilitesMA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

7

3. MA Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an nice 16.50% over the past year.
  • The Earnings Per Share has been growing by 21.49% on average over the past years. This is a very strong growth
  • MA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.42%.
  • MA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.47% yearly.
EPS 1Y (TTM)16.5%
EPS 3Y16.91%
EPS 5Y21.49%
EPS Q2Q%24.61%
Revenue 1Y (TTM)16.42%
Revenue growth 3Y13.82%
Revenue growth 5Y16.47%
Sales Q2Q%17.59%

3.2 Future

  • MA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.18% yearly.
  • MA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.48% yearly.
EPS Next Y18.58%
EPS Next 2Y17.08%
EPS Next 3Y16.95%
EPS Next 5Y15.18%
Revenue Next Year12.93%
Revenue Next 2Y12.63%
Revenue Next 3Y12.52%
Revenue Next 5Y11.48%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
MA Yearly Revenue VS EstimatesMA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10B 20B 30B 40B 50B
MA Yearly EPS VS EstimatesMA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10 20 30

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Find the best growth stocksShow best growing peers

3

4. MA Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 29.47 indicates a quite expensive valuation of MA.
  • Based on the Price/Earnings ratio, MA is valued a bit more expensive than 67.00% of the companies in the same industry.
  • MA's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.21.
  • Based on the Price/Forward Earnings ratio of 24.85, the valuation of MA can be described as rather expensive.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of MA indicates a slightly more expensive valuation: MA is more expensive than 67.00% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, MA is valued at the same level.
Industry RankSector Rank
PE 29.47
Fwd PE 24.85
MA Price Earnings VS Forward Price EarningsMA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as MA.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as MA.
Industry RankSector Rank
P/FCF 27.22
EV/EBITDA 21.73
MA Per share dataMA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • MA has an outstanding profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as MA's earnings are expected to grow with 16.95% in the coming years.
PEG (NY)1.59
PEG (5Y)1.37
EPS Next 2Y17.08%
EPS Next 3Y16.95%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. MA Dividend Analysis

5.1 Amount

  • MA has a yearly dividend return of 0.72%, which is pretty low.
  • MA's Dividend Yield is comparable with the industry average which is at 2.20.
  • Compared to an average S&P500 Dividend Yield of 1.89, MA's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.72%

5.2 History

  • On average, the dividend of MA grows each year by 13.71%, which is quite nice.
  • MA has paid a dividend for at least 10 years, which is a reliable track record.
  • MA has decreased its dividend recently.
Dividend Growth(5Y)13.71%
Div Incr Years1
Div Non Decr Years1
MA Yearly Dividends per shareMA Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3

5.3 Sustainability

  • MA pays out 18.41% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of MA is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP18.41%
EPS Next 2Y17.08%
EPS Next 3Y16.95%
MA Yearly Income VS Free CF VS DividendMA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B
MA Dividend Payout.MA Dividend Payout, showing the Payout Ratio.MA Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

MA Fundamentals: All Metrics, Ratios and Statistics

MASTERCARD INC - A

NYSE:MA (4/6/2026, 8:04:00 PM)

After market: 501 -0.5 (-0.1%)

501.5

+8.06 (+1.63%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)01-29
Earnings (Next)04-23
Inst Owners90.86%
Inst Owner Change0%
Ins Owners0.05%
Ins Owner Change0.09%
Market Cap447.24B
Revenue(TTM)32.79B
Net Income(TTM)14.97B
Analysts83.33
Price Target674.54 (34.5%)
Short Float %0.72%
Short Ratio1.61
Dividend
Industry RankSector Rank
Dividend Yield 0.72%
Yearly Dividend3.05
Dividend Growth(5Y)13.71%
DP18.41%
Div Incr Years1
Div Non Decr Years1
Ex-Date04-09
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.62%
Min EPS beat(2)-1.55%
Max EPS beat(2)8.79%
EPS beat(4)3
Avg EPS beat(4)2.18%
Min EPS beat(4)-1.55%
Max EPS beat(4)8.79%
EPS beat(8)5
Avg EPS beat(8)1.07%
EPS beat(12)8
Avg EPS beat(12)0.89%
EPS beat(16)11
Avg EPS beat(16)2.57%
Revenue beat(2)0
Avg Revenue beat(2)-2.39%
Min Revenue beat(2)-2.63%
Max Revenue beat(2)-2.14%
Revenue beat(4)0
Avg Revenue beat(4)-1.69%
Min Revenue beat(4)-2.63%
Max Revenue beat(4)-0.87%
Revenue beat(8)0
Avg Revenue beat(8)-1.75%
Revenue beat(12)0
Avg Revenue beat(12)-1.77%
Revenue beat(16)2
Avg Revenue beat(16)-1.32%
PT rev (1m)-0.05%
PT rev (3m)0.99%
EPS NQ rev (1m)-0.09%
EPS NQ rev (3m)2.45%
EPS NY rev (1m)0.38%
EPS NY rev (3m)2.34%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.62%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.28%
Valuation
Industry RankSector Rank
PE 29.47
Fwd PE 24.85
P/S 13.64
P/FCF 27.22
P/OCF 25.34
P/B 57.81
P/tB N/A
EV/EBITDA 21.73
EPS(TTM)17.02
EY3.39%
EPS(NY)20.18
Fwd EY4.02%
FCF(TTM)18.43
FCFY3.67%
OCF(TTM)19.79
OCFY3.95%
SpS36.77
BVpS8.68
TBVpS-8.27
PEG (NY)1.59
PEG (5Y)1.37
Graham Number57.64
Profitability
Industry RankSector Rank
ROA 27.64%
ROE 193.46%
ROCE 62.01%
ROIC 51.15%
ROICexc 78.35%
ROICexgc 298.32%
OM 59.37%
PM (TTM) 45.65%
GM N/A
FCFM 50.11%
ROA(3y)26.93%
ROA(5y)25.9%
ROE(3y)184.52%
ROE(5y)166%
ROIC(3y)48.09%
ROIC(5y)44.33%
ROICexc(3y)72.29%
ROICexc(5y)65.83%
ROICexgc(3y)259.03%
ROICexgc(5y)223.97%
ROCE(3y)58.3%
ROCE(5y)53.74%
ROICexgc growth 3Y17.55%
ROICexgc growth 5Y14.35%
ROICexc growth 3Y8.26%
ROICexc growth 5Y5.25%
OM growth 3Y0.95%
OM growth 5Y2.09%
PM growth 3Y0.73%
PM growth 5Y1.73%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.61
Health
Industry RankSector Rank
Debt/Equity 2.36
Debt/FCF 1.16
Debt/EBITDA 0.89
Cap/Depr 106.3%
Cap/Sales 3.71%
Interest Coverage 250
Cash Conversion 85.62%
Profit Quality 109.79%
Current Ratio 1.03
Quick Ratio 1.03
Altman-Z 9.7
F-Score8
WACC8.8%
ROIC/WACC5.81
Cap/Depr(3y)125.19%
Cap/Depr(5y)126.79%
Cap/Sales(3y)4.09%
Cap/Sales(5y)4.3%
Profit Quality(3y)104.2%
Profit Quality(5y)102.77%
High Growth Momentum
Growth
EPS 1Y (TTM)16.5%
EPS 3Y16.91%
EPS 5Y21.49%
EPS Q2Q%24.61%
EPS Next Y18.58%
EPS Next 2Y17.08%
EPS Next 3Y16.95%
EPS Next 5Y15.18%
Revenue 1Y (TTM)16.42%
Revenue growth 3Y13.82%
Revenue growth 5Y16.47%
Sales Q2Q%17.59%
Revenue Next Year12.93%
Revenue Next 2Y12.63%
Revenue Next 3Y12.52%
Revenue Next 5Y11.48%
EBIT growth 1Y17.87%
EBIT growth 3Y14.9%
EBIT growth 5Y18.9%
EBIT Next Year20%
EBIT Next 3Y15.39%
EBIT Next 5Y12.77%
FCF growth 1Y20.96%
FCF growth 3Y17.62%
FCF growth 5Y20.32%
OCF growth 1Y19.4%
OCF growth 3Y16.38%
OCF growth 5Y19.56%

MASTERCARD INC - A / MA Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for MASTERCARD INC - A?

ChartMill assigns a fundamental rating of 7 / 10 to MA.


Can you provide the valuation status for MASTERCARD INC - A?

ChartMill assigns a valuation rating of 3 / 10 to MASTERCARD INC - A (MA). This can be considered as Overvalued.


Can you provide the profitability details for MASTERCARD INC - A?

MASTERCARD INC - A (MA) has a profitability rating of 8 / 10.


Can you provide the financial health for MA stock?

The financial health rating of MASTERCARD INC - A (MA) is 8 / 10.


Can you provide the expected EPS growth for MA stock?

The Earnings per Share (EPS) of MASTERCARD INC - A (MA) is expected to grow by 18.58% in the next year.