Top 5 Stock Picks of Jacob Rothschild’s RIT Capital Partners

3. Mastercard Incorporated (NYSE:MA)

RIT Capital Partners’ Stake Value: $25,081,000

Percentage of RIT Capital Partners’ 13F Portfolio: 8.88%

Number of Hedge Fund Holders: 144

Mastercard Incorporated (NYSE:MA) is an American multinational fintech corporation that offers Mastercard-branded debit, credit, and prepaid cards to customers worldwide. Jacob Rothschild’s fund added Mastercard Incorporated (NYSE:MA) to its fourth quarter portfolio by buying 69,800 shares worth $25 million. 

In its Q1 2022 earnings report, published on April 28, Mastercard Incorporated (NYSE:MA) posted earnings per share of $2.76, beating market consensus by $0.60. The $5.17 billion revenue also outperformed estimates by $267.59 million. Deutsche Bank analyst Bryan Keane on April 29 raised the firm’s price target on Mastercard Incorporated (NYSE:MA) to $440 from $420 and maintained a Buy rating on the shares, citing a “solid” Q1 beat and better than expected guidance. 

According to the database of Insider Monkey, 144 hedge funds were long Mastercard Incorporated (NYSE:MA), compared to 146 funds in the preceding quarter. Charles Akre’s Akre Capital Management held the biggest stake in the company, with 5.8 million shares worth $2.10 billion. 

Here is what Ensemble Capital has to say about Mastercard Incorporated (NYSE:MA) in its Q1 2022 investor letter:

“Mastercard (7.6% weight in the Fund): This company literally earns a percent based fee on dollars spent. When inflation increases the prices of goods across the economy, Mastercard’s revenue increases along with inflation. Thus, the company in some respects is perfectly hedged against inflation with their revenue accelerating automatically when inflation surges.”