5 Best Reopening Stocks to Buy Now

1. Mastercard Incorporated (NYSE: MA)

Number of Hedge Fund Holders: 156

Mastercard Incorporated (NYSE: MA) is a multinational financial services company mainly specializing in digital payments. The company operates in more than 210 countries through its specialized payments processing networks.

In Q2 2021, Mastercard Incorporated (NYSE: MA) reported strong earnings due to the continued recovery in domestic and international spending. The company generated revenue of $4.5 billion, presenting a 36% year-over-year growth. Mastercard Incorporated (NYSE: MA) reported a 27% growth in its Switched Volume, compared with pre-COVID 2019 levels. Recently, JPMorgan raised its price target on Mastercard Incorporated (NYSE: MA) to $430, with an ‘Overweight’ rating on the shares. The firm expects the company to return to pre-pandemic growth in the second half of 2021 due to the growth in global electronic payments volume. Mastercard Incorporated (NYSE: MA) has gained 9.7% in the past year.

As of Q2 2021, 156 hedge funds tracked by Insider Monkey have positions in Mastercard Incorporated (NYSE: MA), worth over $17 billion.

Bretton Fund released its Q4 2020 investor letter and mentioned Mastercard Incorporated (NYSE: MA) in it. Here is what the firm has to say:

“While consumers resumed much of their spending by summer, what and how they used their Visas and Mastercards changed. For obvious reasons, people shifted to contactless payments—one of the Covid-era changes we think is permanent—and replaced travel purchases with online shopping and food delivery. Consumers spent more on their debit cards and less on their credit cards; Visa and Mastercard make more per transaction on the latter. They also make more on cross-border transactions that come mostly from international travel, which ground to a halt early in the pandemic. Visa’s and Mastercard’s earnings per share fell by 7% and 16%, respectively, compared to their usual mid-teens growth. We’re not too worried, and we think they’ll catch up nicely in the post-vaccine world. Visa’s stock returned 17.1% and Mastercard’s 20.2%.”

You can also take a look at 15 Companies That Benefitted The Most From The Pandemic and Top 10 Restaurant Stocks Under $10. 

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