02. Mastercard Incorporated (NYSE:MA)
Number of Hedge Fund Holders: 142
Mastercard Incorporated (NYSE:MA), the world’s second-largest credit card payment network, reported robust financial performance in its Q2 2024 earnings, surpassing expectations with an EPS of $3.59 against the forecasted $3.51. The company’s strong fundamentals and strategic initiatives underpin its bullish outlook. Mastercard’s revenue surged by 13% year-over-year, driven by broad-based momentum across its business segments. The growth was fueled by healthy consumer spending, particularly in cross-border volumes, which saw a 17% increase.
Mastercard Incorporated (NYSE:MA)s expansion into emerging markets and its focus on digital transformation further solidify its growth trajectory. The company continues to capitalize on the secular shift towards digital payments, with significant investments in technology and partnerships. For instance, Mastercard’s collaboration with Varo Bank and the extension of agreements with Wells Fargo and National Bank of Canada exemplify its ability to secure and retain key deals. Additionally, Mastercard Incorporated (NYSE:MA) strategic realignment to enhance core payments and services positions it well for sustained long-term growth. The company’s focus on innovations, such as one-click payments and biometric checkout, demonstrates its commitment to staying ahead in the competitive payments landscape. Mastercard Incorporated (NYSE:MA) robust pipeline of deals in sectors like travel and healthcare, coupled with its strong presence in high-growth markets like Africa, reinforces its potential for continued success. Given these factors, Mastercard Incorporated (NYSE:MA) diversified business model and strategic initiatives make it a compelling investment, poised for significant growth in the evolving global payments industry.
The number of hedge funds in Insider Monkey’s database owning stakes in Mastercard Incorporated (NYSE:MA) fell to 142 in Q2 2024, as compared to 148 in the preceding quarter. The consolidated value of these stakes is nearly $15.34 billion. Among these hedge funds, Charles Akre’s Akre Capital Management was the company’s leading stakeholder in Q2.
L1 Capital International Fund stated the following regarding Mastercard Incorporated (NYSE:MA) in its Q2 2024 investor letter:
“The share prices of Mastercard Incorporated (NYSE:MA) and Visa, both long term Fund investments, have both drifted down over recent months. There have been no dramatic developments, but there has been a general slight softening in the rate of growth of consumer spending in the U.S. and globally, a court decision rejecting Mastercard and Visa’s proposed settlement of a long-lasting dispute with U.S. merchants as well as other modest adverse regulatory developments. We continue to view Mastercard and Visa as two of the highest quality businesses in the world, and both are well placed to continue to deliver attractive, risk adjusted returns to shareholders over time.”
