MA

Mastercard Incorporated

Fundamental data last updated:July 22, 2026

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company profile

SECTOR

Financial Services

industry

Financial - Credit Services

Exchange

NYSE

County of HQ

US

Next Earnings Date

07/30/2026

Business Summary

Mastercard Incorporated is a global technology firm specializing in providing transaction processing and a wide array of payment solutions, operating across the United States and internationally. Its core business centers on enabling the entire payment transaction lifecycle – including authorization, clearing, and settlement – alongside offering a spectrum of complementary payment services. The company provides a comprehensive suite of integrated products and value-added services to a diverse clientele, which includes individual account holders, merchants, financial institutions, businesses, governments, and other organizations. These offerings span programs enabling deferred payment credit, prepaid card management services, commercial credit and debit solutions, and tools for accessing funds in deposit and other accounts. Additionally, Mastercard offers advanced cyber and intelligence solutions designed to secure transactions for all participants, and provides proprietary insights derived from the responsible utilization of consumer and merchant data. For online merchants, its specialized offerings encompass analytics, experimental "test and learn" platforms, consulting, managed services, loyalty programs, payment processing, and secure gateway technologies. The company also operates open banking and digital identity platforms. Its prominent payment solutions are delivered under the MasterCard, Maestro, and Cirrus brands. Established in 1966, Mastercard Incorporated is headquartered in Purchase, New York.

 


VALUATION

P/E

30.51

Market Cap ($M USD)

$471.04B

Forward P/E

15.46

PEG

0.16

PRICE TO SALES

13.88

PRICE TO BOOK

70.66

EV / EBITDA

22.70

5-Year Average P/E

Free Cash Flow Yield

3.76%

DCF Value

$568.92

Graham Number

$54.46

Price to FCF

26.59

EV to FCF

27.21

Earnings Yield

3.28%

FCF Yield

3.76%

DIVIDEND

Yield

0.61%

Annual Payout

$3.26

Payout Ratio

18.23%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$17.47

Next Year EPS Growth Estimate

$34.49

Next Year Revenue Growth Estimate

$5.88T

Return on Equity (ROE)

206.12%

FREE CASH FLOW

Operating Margin

59.40%

Debt-to-Equity

2.46

Piotroski F-Score

7

Altman Z-Score

10.49

Return on Invested Capital (ROIC)

68.30%

Current Ratio

0.98

Quick Ratio

0.89

Net Debt to EBITDA

0.52

Interest Coverage

27.81

Gross Profit margin

82.96%

FCF PER SHARE

$19.88

REVENUE PER SHARE

$38.09

Gainseekers Quantitative Analysis

Summary

Mastercard’s valuation presents a mixed picture. While the stock traded below its DCF value, suggesting potential undervaluation, its Price/Book ratio is sky-high, indicating a premium market perception. The Forward P/E ratio is attractive, hinting at growth expectations, and the robust Altman Z-score underscores financial stability. However, the Earnings Yield is modest, reflecting a market that may be pricing in significant growth. Overall, the financial health is strong, but the valuation demands scrutiny.

AI Exposure / Tech Reliance

In the realm of AI and tech, Mastercard is well-positioned. As a leader in financial services, it can leverage AI to enhance transaction security and customer experience. Its industry demands constant tech adaptation, ensuring resilience against digital disruption.

The Bull Case

For the value-driven investor, Mastercard's appeal lies in its exceptional ROIC of 68.30%, showcasing superior capital efficiency. The Piotroski F-Score of 7 indicates solid financial health, while the operating margin of 59.40% reflects strong pricing power. Despite a modest FCF Yield, the company's ability to generate cash is evident, making it a compelling choice for those seeking growth at a reasonable price.

The Bear Case

Yet, caution is warranted. The Price/Book ratio of 68.08 is alarmingly high, suggesting overvaluation. The Price/Sales ratio further amplifies this concern, indicating a hefty premium. While the company is not over-leveraged, its current ratio below 1 signals potential liquidity constraints. Investors should be wary of these structural risks despite the company's strengths.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$656.20

Institutional Ownership %

1-Year Beta

0.73

Insider Buying % (6 Mo)

Distance to 52-Week High

12.88%

Distance to 52-Week Low

12.86%

EARNINGS SURPRISE %

4.31%

50-DAY SMA

$497.91

200-DAY SMA

$530.87

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.