MASTERCARD INC - A (1MA.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1MA - US57636Q1040 - Common Stock
483.5 EUR
-2.3 (-0.47%)
Overall 1MA gets a fundamental rating of 6 out of 10. We evaluated 1MA against 56 industry peers in the Financial Services industry. Both the health and profitability get an excellent rating, making 1MA a very profitable company, without any liquidiy or solvency issues. 1MA is valied quite expensively at the moment, while it does show a decent growth rate. These ratings would make 1MA suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year 1MA was profitable.
In the past year 1MA had a positive cash flow from operations.
1MA had positive earnings in each of the past 5 years.
1MA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1MA has a better Return On Assets (26.74%) than 100.00% of its industry peers.
1MA's Return On Equity of 180.29% is amongst the best of the industry. 1MA outperforms 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 47.55%, 1MA belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1MA is significantly above the industry average of 8.78%.
The last Return On Invested Capital (47.55%) for 1MA is above the 3 year average (45.83%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.74% | ||
| ROE | 180.29% | ||
| ROIC | 47.55% |
ROA(3y)26.26%
ROA(5y)24.19%
ROE(3y)172.59%
ROE(5y)147.38%
ROIC(3y)45.83%
ROIC(5y)40.7%
1.3 Margins
1MA has a Profit Margin of 45.28%. This is amongst the best in the industry. 1MA outperforms 93.22% of its industry peers.
1MA's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 59.16%, 1MA belongs to the top of the industry, outperforming 91.53% of the companies in the same industry.
1MA's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 59.16% | ||
| PM (TTM) | 45.28% | ||
| GM | N/A |
OM growth 3Y2.69%
OM growth 5Y0.34%
PM growth 3Y-0.21%
PM growth 5Y-1.01%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1MA is creating value.
Compared to 1 year ago, 1MA has less shares outstanding
Compared to 5 years ago, 1MA has less shares outstanding
Compared to 1 year ago, 1MA has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 10.71 indicates that 1MA is not in any danger for bankruptcy at the moment.
The Altman-Z score of 1MA (10.71) is better than 94.92% of its industry peers.
1MA has a debt to FCF ratio of 1.16. This is a very positive value and a sign of high solvency as it would only need 1.16 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.16, 1MA belongs to the top of the industry, outperforming 88.14% of the companies in the same industry.
1MA has a Debt/Equity ratio of 2.40. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 2.40, 1MA is not doing good in the industry: 72.88% of the companies in the same industry are doing better.
Although 1MA does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.4 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 10.71 |
ROIC/WACC5.55
WACC8.56%
2.3 Liquidity
A Current Ratio of 1.12 indicates that 1MA should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.12, 1MA is in line with its industry, outperforming 47.46% of the companies in the same industry.
A Quick Ratio of 1.12 indicates that 1MA should not have too much problems paying its short term obligations.
1MA has a Quick ratio of 1.12. This is comparable to the rest of the industry: 1MA outperforms 52.54% of its industry peers.
The current and quick ratio evaluation for 1MA is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.10% over the past year.
Measured over the past years, 1MA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.43% on average per year.
1MA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.60%.
Measured over the past years, 1MA shows a quite strong growth in Revenue. The Revenue has been growing by 10.78% on average per year.
EPS 1Y (TTM)15.1%
EPS 3Y20.21%
EPS 5Y13.43%
EPS Q2Q%12.6%
Revenue 1Y (TTM)15.6%
Revenue growth 3Y14.26%
Revenue growth 5Y10.78%
Sales Q2Q%16.73%
3.2 Future
The Earnings Per Share is expected to grow by 15.33% on average over the next years. This is quite good.
1MA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.67% yearly.
EPS Next Y16.34%
EPS Next 2Y16.18%
EPS Next 3Y16.23%
EPS Next 5Y15.33%
Revenue Next Year16.73%
Revenue Next 2Y14.64%
Revenue Next 3Y13.76%
Revenue Next 5Y11.67%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 35.45, the valuation of 1MA can be described as expensive.
The rest of the industry has a similar Price/Earnings ratio as 1MA.
The average S&P500 Price/Earnings ratio is at 26.84. 1MA is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 28.90, 1MA can be considered very expensive at the moment.
1MA's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.40, 1MA is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.45 | ||
| Fwd PE | 28.9 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1MA.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1MA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.39 | ||
| EV/EBITDA | 26.39 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of 1MA may justify a higher PE ratio.
1MA's earnings are expected to grow with 16.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.17
PEG (5Y)2.64
EPS Next 2Y16.18%
EPS Next 3Y16.23%
5. Dividend
5.1 Amount
With a yearly dividend of 0.60%, 1MA is not a good candidate for dividend investing.
1MA's Dividend Yield is comparable with the industry average which is at 2.10.
Compared to an average S&P500 Dividend Yield of 2.00, 1MA's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
5.2 History
The dividend of 1MA is nicely growing with an annual growth rate of 14.95%!
Dividend Growth(5Y)14.95%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
18.79% of the earnings are spent on dividend by 1MA. This is a low number and sustainable payout ratio.
1MA's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP18.79%
EPS Next 2Y16.18%
EPS Next 3Y16.23%
BIT:1MA (12/18/2025, 7:00:00 PM)
483.5
-2.3 (-0.47%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners90.73%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap434.18B
Revenue(TTM)31.47B
Net Income(TTM)14.25B
Analysts80.82
Price Target565.69 (17%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
Yearly Dividend2.25
Dividend Growth(5Y)14.95%
DP18.79%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.74%
Min EPS beat(2)-1.55%
Max EPS beat(2)0.08%
EPS beat(4)3
Avg EPS beat(4)0.08%
Min EPS beat(4)-1.55%
Max EPS beat(4)1.41%
EPS beat(8)5
Avg EPS beat(8)-0.01%
EPS beat(12)7
Avg EPS beat(12)0.14%
EPS beat(16)11
Avg EPS beat(16)2.22%
Revenue beat(2)0
Avg Revenue beat(2)-1.5%
Min Revenue beat(2)-2.14%
Max Revenue beat(2)-0.87%
Revenue beat(4)0
Avg Revenue beat(4)-1.42%
Min Revenue beat(4)-2.14%
Max Revenue beat(4)-0.87%
Revenue beat(8)0
Avg Revenue beat(8)-1.66%
Revenue beat(12)0
Avg Revenue beat(12)-1.76%
Revenue beat(16)2
Avg Revenue beat(16)-1.27%
PT rev (1m)-1.03%
PT rev (3m)2.78%
EPS NQ rev (1m)0.01%
EPS NQ rev (3m)1.52%
EPS NY rev (1m)0.23%
EPS NY rev (3m)0.81%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)1.07%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.45 | ||
| Fwd PE | 28.9 | ||
| P/S | 16.26 | ||
| P/FCF | 31.39 | ||
| P/OCF | 29.28 | ||
| P/B | 64.75 | ||
| P/tB | N/A | ||
| EV/EBITDA | 26.39 |
EPS(TTM)13.64
EY2.82%
EPS(NY)16.73
Fwd EY3.46%
FCF(TTM)15.4
FCFY3.19%
OCF(TTM)16.51
OCFY3.42%
SpS29.74
BVpS7.47
TBVpS-6.86
PEG (NY)2.17
PEG (5Y)2.64
Graham Number47.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.74% | ||
| ROE | 180.29% | ||
| ROCE | 57.12% | ||
| ROIC | 47.55% | ||
| ROICexc | 70.61% | ||
| ROICexgc | 228.49% | ||
| OM | 59.16% | ||
| PM (TTM) | 45.28% | ||
| GM | N/A | ||
| FCFM | 51.8% |
ROA(3y)26.26%
ROA(5y)24.19%
ROE(3y)172.59%
ROE(5y)147.38%
ROIC(3y)45.83%
ROIC(5y)40.7%
ROICexc(3y)67.38%
ROICexc(5y)62.88%
ROICexgc(3y)222.96%
ROICexgc(5y)196.71%
ROCE(3y)55.06%
ROCE(5y)48.9%
ROICexgc growth 3Y16.14%
ROICexgc growth 5Y5.63%
ROICexc growth 3Y10.13%
ROICexc growth 5Y-4%
OM growth 3Y2.69%
OM growth 5Y0.34%
PM growth 3Y-0.21%
PM growth 5Y-1.01%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.4 | ||
| Debt/FCF | 1.16 | ||
| Debt/EBITDA | 0.96 | ||
| Cap/Depr | 109.1% | ||
| Cap/Sales | 3.73% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 88.75% | ||
| Profit Quality | 114.42% | ||
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 10.71 |
F-Score8
WACC8.56%
ROIC/WACC5.55
Cap/Depr(3y)138.52%
Cap/Depr(5y)129.95%
Cap/Sales(3y)4.5%
Cap/Sales(5y)4.49%
Profit Quality(3y)101.51%
Profit Quality(5y)101.14%
High Growth Momentum
Growth
EPS 1Y (TTM)15.1%
EPS 3Y20.21%
EPS 5Y13.43%
EPS Q2Q%12.6%
EPS Next Y16.34%
EPS Next 2Y16.18%
EPS Next 3Y16.23%
EPS Next 5Y15.33%
Revenue 1Y (TTM)15.6%
Revenue growth 3Y14.26%
Revenue growth 5Y10.78%
Sales Q2Q%16.73%
Revenue Next Year16.73%
Revenue Next 2Y14.64%
Revenue Next 3Y13.76%
Revenue Next 5Y11.67%
EBIT growth 1Y16.51%
EBIT growth 3Y17.33%
EBIT growth 5Y11.15%
EBIT Next Year24.88%
EBIT Next 3Y16.79%
EBIT Next 5Y13.75%
FCF growth 1Y66.51%
FCF growth 3Y16.25%
FCF growth 5Y12.75%
OCF growth 1Y59.63%
OCF growth 3Y16.02%
OCF growth 5Y12.55%
MASTERCARD INC - A / 1MA.MI FAQ
What is the ChartMill fundamental rating of MASTERCARD INC - A (1MA.MI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1MA.MI.
Can you provide the valuation status for MASTERCARD INC - A?
ChartMill assigns a valuation rating of 2 / 10 to MASTERCARD INC - A (1MA.MI). This can be considered as Overvalued.
How profitable is MASTERCARD INC - A (1MA.MI) stock?
MASTERCARD INC - A (1MA.MI) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for 1MA stock?
The Price/Earnings (PE) ratio for MASTERCARD INC - A (1MA.MI) is 35.45 and the Price/Book (PB) ratio is 64.75.
What is the expected EPS growth for MASTERCARD INC - A (1MA.MI) stock?
The Earnings per Share (EPS) of MASTERCARD INC - A (1MA.MI) is expected to grow by 16.34% in the next year.