NEW YORK (TheStreet) -- Shares of MasterCard Inc (MA) are climbing, higher by 0.61% to $93.65 in mid-morning trading Tuesday, after the company was upgraded by analysts at Pacific Crest to "overweight" from "sector perform" this morning.
TheStreet's Jim Cramer, Portfolio Manager of the Action Alerts PLUS Charitable Trust Portfolio says, "People love these kinds of stocks, and who can blame them? They have no credit risk, and are all about the world wide adoption of plastic over paper."
"We remain committed to MasterCard for ActionAlertsPlus.com," he added.
Pacific Crest issued a price target of $110, and said the credit card company is in a position to benefit from its growing European business.
Analysts added the regulatory changes in Europe would favor MasterCard.
Purchase, N.Y.-based MasterCard is a technology company in the global payments industry.
The company enables customers to use electronic forms of payment instead of cash and checks. It provides transaction processing and a range of payment-related products and services to enable the design, packaging and implementation of its products and programs.
Insight from TheStreet's Research Team:
MasterCard is a core holding of Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. During the most recent weekly roundup, this is what Jim Cramer, Portfolio Manager and Jack Mohr, Director of Research - Action Alerts PLUS had to say about the stock:
MasterCard ( MA:NYSE, $93.22; 950 shares; 3.40%; Sector: Financials): The shares took a breather this week on little news. Jefferies did host MasterCard's President of Europe at its Global TMT Conference earlier in the week. MasterCard was bullish not only on the pace of gradual macro improvements in Europe, but on the company's competitive position as well.
In addition, the company sees market share opportunities arising from legislation recently passed by the European Commission. Ultimately, we await MasterCard's updated long-term guidance (likely at the September analyst meeting) but note the stock is set up quite attractively for 2016, as multiple headwinds (rebates, FX, gas, Chase) anniversary, improved European macro may help, and new volumes from recent Citi and Itau contract renewals could ramp.
With the shares trading near all-time highs, we are downgrading our rating to Two from One, yet maintaining our $100 target.
- Jim Cramer and Jack Mohr, ' Weekly Roundup' originally published 5/15/2015 on ActionAlertsPLUS.com.
Want more information like this from Jim Cramer and Jack Mohr BEFORE your stock moves? Learn more about ActionAlertsPLUS.com now.
Separately, TheStreet Ratings team rates MASTERCARD INC as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate MASTERCARD INC (MA) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. We feel its 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."
You can view the full analysis from the report here: MA Ratings Report