Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified MasterCard Incorporated as such a stock due to the following factors:
- MA has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $424.1 million.
- MA has traded 528,371 shares today.
- MA is trading at a new lifetime high.
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More details on MA:
MasterCard Incorporated, together with its subsidiaries, provides transaction processing and other payment-related services in the United States and internationally. The stock currently has a dividend yield of 0.4%. MA has a PE ratio of 28.3. Currently there are 17 analysts that rate MasterCard Incorporated a buy, no analysts rate it a sell, and 11 rate it a hold.
The average volume for MasterCard Incorporated has been 670,100 shares per day over the past 30 days. MasterCard has a market cap of $79.5 billion and is part of the financial sector and financial services industry. The stock has a beta of 0.50 and a short float of 1.5% with 2.62 days to cover. Shares are up 39.5% year to date as of the close of trading on Friday.
rates MasterCard Incorporated as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, compelling growth in net income, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.
Highlights from the ratings report include:
- The revenue growth greatly exceeded the industry average of 15.3%. Since the same quarter one year prior, revenues rose by 15.2%. Growth in the company's revenue appears to have helped boost the earnings per share.
- MASTERCARD INC has improved earnings per share by 25.4% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, MASTERCARD INC increased its bottom line by earning $21.94 versus $14.83 in the prior year. This year, the market expects an improvement in earnings ($26.13 versus $21.94).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the IT Services industry average. The net income increased by 21.1% when compared to the same quarter one year prior, going from $700.00 million to $848.00 million.
- The gross profit margin for MASTERCARD INC is rather high; currently it is at 61.50%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 40.45% significantly outperformed against the industry average.
- Net operating cash flow has increased to $742.00 million or 15.75% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -22.55%.
- You can view the full MasterCard Incorporated Ratings Report.