MASTERCARD INC - A (1MA.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1MA - US57636Q1040 - Common Stock
491.9 EUR
+6.1 (+1.26%)
We assign a fundamental rating of 6 out of 10 to 1MA. 1MA was compared to 56 industry peers in the Financial Services industry. 1MA gets an excellent profitability rating and is at the same time showing great financial health properties. 1MA is quite expensive at the moment. It does show a decent growth rate. This makes 1MA very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year 1MA was profitable.
1MA had a positive operating cash flow in the past year.
In the past 5 years 1MA has always been profitable.
Each year in the past 5 years 1MA had a positive operating cash flow.
1.2 Ratios
The Return On Assets of 1MA (26.74%) is better than 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 180.29%, 1MA belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
1MA's Return On Invested Capital of 47.55% is amongst the best of the industry. 1MA outperforms 100.00% of its industry peers.
1MA had an Average Return On Invested Capital over the past 3 years of 45.83%. This 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 better Profit Margin (45.28%) than 93.22% of its industry peers.
In the last couple of years the Profit Margin of 1MA has remained more or less at the same level.
The Operating Margin of 1MA (59.16%) is better than 91.53% of its industry peers.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1MA is creating value.
1MA has less shares outstanding than it did 1 year ago.
The number of shares outstanding for 1MA has been reduced compared to 5 years ago.
The debt/assets ratio for 1MA is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 10.71 indicates that 1MA is not in any danger for bankruptcy at the moment.
1MA has a Altman-Z score of 10.71. This is amongst the best in the industry. 1MA outperforms 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.
1MA's Debt to FCF ratio of 1.16 is amongst the best of the industry. 1MA outperforms 88.14% of its industry peers.
1MA has a Debt/Equity ratio of 2.40. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of 1MA (2.40) is worse than 72.88% of its industry peers.
Even though the debt/equity ratio score it not favorable for 1MA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.4 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 10.71 |
ROIC/WACC5.55
WACC8.56%
2.3 Liquidity
1MA has a Current Ratio of 1.12. This is a normal value and indicates that 1MA is financially healthy and should not expect problems in meeting its short term obligations.
1MA's Current ratio of 1.12 is in line compared to the rest of the industry. 1MA outperforms 47.46% of its industry peers.
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 (1.12) which is in line with 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.
The Earnings Per Share has been growing by 13.43% on average over the past years. This is quite good.
The Revenue has grown by 15.60% in the past year. This is quite good.
The Revenue has been growing by 10.78% on average over the past years. This is quite good.
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 36.06, the valuation of 1MA can be described as expensive.
The rest of the industry has a similar Price/Earnings ratio as 1MA.
1MA's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.51.
A Price/Forward Earnings ratio of 29.40 indicates a quite expensive valuation of 1MA.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1MA is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.13. 1MA is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.06 | ||
| Fwd PE | 29.4 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1MA is on the same level as its industry peers.
1MA's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.93 | ||
| 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.
1MA has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as 1MA's earnings are expected to grow with 16.23% in the coming years.
PEG (NY)2.21
PEG (5Y)2.68
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.
Compared to an average industry Dividend Yield of 2.10, 1MA has a dividend in line with its industry peers.
With a Dividend Yield of 0.60, 1MA pays less dividend than the S&P500 average, which is at 2.00.
| 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 (12/29/2025, 7:00:00 PM)
491.9
+6.1 (+1.26%)
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 Cap441.73B
Revenue(TTM)31.47B
Net Income(TTM)14.25B
Analysts80.82
Price Target565.69 (15%)
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 | 36.06 | ||
| Fwd PE | 29.4 | ||
| P/S | 16.54 | ||
| P/FCF | 31.93 | ||
| P/OCF | 29.79 | ||
| P/B | 65.87 | ||
| P/tB | N/A | ||
| EV/EBITDA | 26.39 |
EPS(TTM)13.64
EY2.77%
EPS(NY)16.73
Fwd EY3.4%
FCF(TTM)15.4
FCFY3.13%
OCF(TTM)16.51
OCFY3.36%
SpS29.74
BVpS7.47
TBVpS-6.86
PEG (NY)2.21
PEG (5Y)2.68
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.
What is the valuation status of MASTERCARD INC - A (1MA.MI) stock?
ChartMill assigns a valuation rating of 2 / 10 to MASTERCARD INC - A (1MA.MI). This can be considered as Overvalued.
What is the profitability of 1MA stock?
MASTERCARD INC - A (1MA.MI) has a profitability rating of 8 / 10.
What is the earnings growth outlook for MASTERCARD INC - A?
The Earnings per Share (EPS) of MASTERCARD INC - A (1MA.MI) is expected to grow by 16.34% in the next year.
How sustainable is the dividend of MASTERCARD INC - A (1MA.MI) stock?
The dividend rating of MASTERCARD INC - A (1MA.MI) is 4 / 10 and the dividend payout ratio is 18.79%.