Mastercard's Profits Rise; Misses Estimates (MA)

Mastercard’s Profits Rise; Misses Estimates (MA)


Payment services company, Mastercard Inc(MA) saw a surge in profits for the fourth earning, but missed analysts estimates on Thursday.

The Purchase, NY based company reported fourth quarter earnings of $605 million, or $4.86 per share, up 96% from $19 million, or 15 cents per share last year. Excluding special items, earnings came in at $4.03 per share, remaining flat from last year. Analysts expected to see EPS of $4.81 for the quarter.

Revenue increased by 10% for the quarter, coming in at $1.9 billion, from $1.73 billion last year. Analysts expected to see revenue of $1.89 billion.

During the fourth quarter, Mastercard bought back 1.3 million shares of stock, costing the company $613 million.

For 2012, the company reported earnings of $2.76 billion, or $21.94 per share. This was up from $1.91 billion, or $14.85 per share in 2011. Adjusted earnings were $22.04 per share, up from $18.70 per share in 2011. Analysts expected to see $22 per share.

Mastercard shares were mostly flat during Thursday morning trading. The stock has increased 44% in the past year.

The Bottom Line
Shares of Mastercard Inc(MA) have a 0.23% yield, based on Thursday morning’s price of $518.66.

Mastercard Inc(MA) is not recommended at this time, holding a DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Free Updates

Join over 100,000 investors who get the latest news from

Best Dividend Stocks

Looking for stocks that are poised for growth and pay solid dividends? Visit our list of the:

Best Dividend Stocks

14 Day Free Trial

Earn more from your dividend portfolio within the next 14 days.

Sign Up Today