MA-N
MA vs V? He has owned both MA and V and right now he holds Visa -- it simply trades at a cheaper multiple at the moment. It can't go wrong with either. You could buy either, but he slightly favours V.
He owns MA-N, rather than V-N. The chart on V-N looks very supportive as does the chart for MA-N. Don't overthink it, keep holding and buy on any dips.
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)
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.
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.
You can buy this and crawl into a cave for 10 years then become wealthy. They have very high ROE. A tremendous moat around their business. It's really MA and Visa. Europe and developing countries invite a huge runway for growth.
6 month outlook? His work suggests these are at extremely high valuations. MA-N has 60% downside risk according to his models, trading at 40 times book value. He would stay away from both V-N and MA-N.
