Mastercard Shows Strong Performance Amid Market Fluctuations
Mastercard Incorporated (MA), based in Purchase, New York, offers a wide array of transaction processing and payment-related services. With a market capitalization of $516.3 billion, Mastercard serves millions of customers, including account holders, institutions, businesses, and governments.
Market Performance Overview
The payments giant has outperformed the broader market significantly over the past year. Mastercard’s stock price has risen 24.7% in the past 52 weeks and 7.7% in 2025. In comparison, the S&P 500 Index ($SPX) has achieved gains of 9.2% over the last year but has dipped by 3.7% in 2025.
Comparison with Industry Peers
Taking a closer look, Mastercard has also outperformed the iShares FinTech Active ETF (BPAY), which posted 7.9% gains over the past year and a 1.9% drop on a year-to-date basis.
Recent Earnings Report
Following better-than-expected results, Mastercard’s stock experienced a small dip after its Q1 results released on May 1. The company reported a 14.2% year-over-year increase in revenue, rising to $7.3 billion, which surpassed Wall Street expectations. Additionally, the adjusted EPS grew by 12.7% year-over-year to $3.73, exceeding the consensus estimates by 4.5%. After the initial price drop, Mastercard stock rebounded, gaining 2.3% in the next trading session.
Forecast for Fiscal 2025
Looking ahead, analysts foresee a 9.3% year-over-year growth in adjusted EPS for fiscal 2025, projecting it to reach $15.95. Notably, Mastercard has consistently exceeded analysts’ bottom-line estimates for the past four quarters.
Analyst Ratings and Price Target
The stock holds a consensus “Strong Buy” rating, with 38 analysts covering it. Among them, 28 recommend “Strong Buys,” three suggest “Moderate Buys,” and seven advise “Holds.” This sentiment shows a slight decrease in bullishness compared to the previous month, when 29 analysts recommended “Strong Buy” ratings.
On May 2, Keybanc analyst Jeffrey Hammond reaffirmed an “Overweight” rating for Mastercard while increasing the price target from $630 to $635. The company’s average price target stands at $621.33, indicating a 9.6% premium to current levels. Furthermore, the highest target of $685 suggests a potential upside of 20.8%.
On the date of publication, Aditya Sarawgi did not hold any positions in the mentioned securities. This article is for informational purposes only. For more information, please view the Barchart Disclosure Policy here.
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The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
