Mastercard remains a buy due to its dominant duopoly position, high margins, and consistent compounding returns above the S&P 500. The company's network scale creates a formidable moat, making new competition nearly impossible and ensuring long-term client loyalty. Value-added services, especially in security and analytics, are driving faster growth and deepening Mastercard's client relationships.
MA rides on strong global spending and 15% cross-border volume growth, but rising costs may test its momentum.
Income-focused investors can tend to focus primarily on those that come with relatively higher yields at the time. However, income investors focusing on a portion of their portfolio that contains reliable dividend growers can help to grow their cash flow over time passively. We are looking at two names today that have delivered remarkable dividend growth and are expected to be in a position to continue to do so going forward.
In the latest trading session, MasterCard (MA) closed at $585.44, marking a +0.22% move from the previous day.
MA's costs are climbing fast, but rising margins and strong revenues show its growth push may be paying off.
MA rolls out Touch Card in Canada with tactile notches, boosting payment access for sight loss users and advancing its inclusive fintech mission.
Mastercard Incorporated (NYSE:MA ) Bernstein 41st Annual Strategic Decisions Conference May 28, 2025 2:30 PM ET Company Participants Michael Miebach - CEO Conference Call Participants Harshita Rawat - Bernstein Harshita Rawat Great. I think you're live.
MA partners with Banque Populaire to unveil the Mastercard Platinum card in Morocco, offering elite perks, cashback and VIP access.
Mastercard and Visa form a rare, powerful duopoly, with Mastercard excelling as a free cash flow generator led by elite management. Mastercard is not a credit card lender but a transaction processor, benefiting from global cashless trends and offering unmatched convenience for consumers and merchants. Recent earnings highlight robust growth, digital transformation, and expansion into AI and crypto payments, positioning Mastercard for future opportunities.
Mastercard continues to deliver mid-teens growth and strong margins, defying concerns about competition and market saturation. Both Mastercard and Visa are essential long-term holdings, with underestimated dominance and significant growth potential, especially in value-added services. Visa is closing the growth gap with Mastercard, but both trade at reasonable valuations given their superior quality and growth outlook.
The U.K.'s Competition Appeal Tribunal announced its judgment Tuesday (May 20) in a long-running class action lawsuit that was brought against Mastercard over its swipe fees. The judgment determines the distribution of the settlement of 200 million pounds that was announced in February, the Competition Appeal Tribunal said in a summary of the judgment.
Both Mastercard and Affirm beat earnings estimates in each of the past four quarters while enjoying growing transaction volumes.