
NYSE:MA
This summary was created by AI, based on 16 opinions in the last 12 months.
Experts share a positive outlook on Mastercard Inc. (MA), emphasizing its strong fundamentals and strategic positioning within the digital payment landscape. The company benefits from ongoing trends towards digitization, with credit cards viewed as essential financial tools despite concerns over potential disruptions from stablecoins and cryptocurrencies. While comparisons are made with Visa, analysts suggest that both companies possess durable business models and are well-entrenched in the market. Growth rates remain encouraging, with revenue and earnings projected to increase in the coming years, supporting a favorable investment thesis despite recent stock performance challenges.
He prefers it to Visa, though both are fine. MA boasts more growth. Both dominate payments. Despite new, smart e-payment companies, customers still need a card like MA--cards won't go away soon. For MA, he forecasts 10-12% annual revenue growth for the next 2-3 years and strong free cash flow, growing earnings at 30x 2020's revenues. Chip away at this when you can, because this doesn't pullback much. (Analysts’ price target is $309.22)
You need to be in this space. He also owns a lot of Visa. But have pulled back recently due to momentum ETFs, and the markets shifted from momentum to value last month. The credit cards are in those ETFs. Visa and Mastercard has done very well for him, so now is a buying opportunity.