Sapient Capital LLC has reduced its position in Mastercard Incorporated (NYSE: MA) by 2.5% during the third quarter of 2023, according to a recent filing with the Securities and Exchange Commission (SEC). The institutional investor now holds 91,684 shares of the credit services provider after selling 2,399 shares in the period. Mastercard represents approximately 0.8% of Sapient Capital’s total holdings, ranking as its 20th largest investment. As of the latest SEC filing, the value of Sapient Capital LLC’s stake in Mastercard stands at approximately $52.1 million.
Institutional interest in Mastercard remains strong, with several other firms also adjusting their stakes. Notably, Kingstone Capital Partners Texas LLC acquired a new position in Mastercard during the second quarter, valued at around $11.4 billion. Laurel Wealth Advisors LLC significantly increased its holdings by an extraordinary 55,868.1%, bringing its total to 13,421,148 shares worth about $7.5 billion. Norges Bank and Massachusetts Financial Services Co. MA also added to their positions, with Massachusetts Financial Services increasing its stake by 25.6%, now owning 6,372,404 shares valued at approximately $3.58 billion.
As of now, institutional investors collectively own 97.28% of Mastercard’s stock, highlighting a strong confidence in the company’s future.
Stock Performance and Dividend Announcement
On Friday, Mastercard’s shares opened at $579.61, reflecting a market capitalization of $520.49 billion. The company currently has a price-to-earnings ratio of 37.06 and a PEG ratio of 2.28. Over the past year, Mastercard’s stock has fluctuated between a low of $465.59 and a high of $601.77. The stock’s 50-day simple moving average is $555.62, while its two-hundred day moving average is $565.67.
Mastercard has also announced an increase in its quarterly dividend. Shareholders of record on January 9, 2024 will receive a dividend of $0.87 per share, payable on February 9, 2024. This marks an increase from the previous dividend of $0.76, resulting in an annualized dividend of $3.48 and a yield of 0.6%. The company’s dividend payout ratio currently stands at 22.25%, indicating a commitment to returning value to shareholders.
Analysts Predict Continued Growth
Research firms continue to express positive sentiments regarding Mastercard’s outlook. On December 8, 2023, HSBC Global Research upgraded the stock from a “hold” rating to a “strong-buy.” Meanwhile, Evercore ISI set a price target of $610.00 for Mastercard, while UBS Group raised their target from $690.00 to $700.00, maintaining a “buy” rating. Royal Bank of Canada also increased its price objective to $654.00, affirming a “buy” rating.
Overall, five research analysts have rated Mastercard with a “Strong Buy,” while twenty-one have assigned it a “Buy” rating, and three have issued a “Hold” rating. The company currently enjoys a consensus rating of “Buy” with an average target price of $657.48, according to MarketBeat.
Mastercard Incorporated operates as a global payments technology company, facilitating electronic payments and transaction processing. The firm connects consumers, financial institutions, merchants, governments, and businesses across more than 200 countries and territories. With a wide range of services, including fraud management and digital wallet support, Mastercard continues to play a crucial role in the evolving landscape of global finance.
