MASTERCARD INC - A (M4I.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:M4I • US57636Q1040
452.1 EUR
+3.85 (+0.86%)
Last: Jan 30, 2026, 07:00 PM
We assign a fundamental rating of 7 out of 10 to M4I. M4I was compared to 55 industry peers in the Financial Services industry. M4I has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. M4I shows excellent growth, but is valued quite expensive already. With these ratings, M4I could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- M4I had positive earnings in the past year.
- In the past year M4I had a positive cash flow from operations.
- M4I had positive earnings in each of the past 5 years.
- In the past 5 years M4I always reported a positive cash flow from operatings.
1.2 Ratios
- With an excellent Return On Assets value of 27.64%, M4I belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- M4I has a better Return On Equity (193.46%) than 100.00% of its industry peers.
- M4I has a Return On Invested Capital of 51.15%. This is amongst the best in the industry. M4I outperforms 100.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for M4I is significantly above the industry average of 9.19%.
- The 3 year average ROIC (48.09%) for M4I is below the current ROIC(51.15%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.64% | ||
| ROE | 193.46% | ||
| ROIC | 51.15% |
ROA(3y)26.93%
ROA(5y)25.9%
ROE(3y)184.52%
ROE(5y)166%
ROIC(3y)48.09%
ROIC(5y)44.33%
1.3 Margins
- The Profit Margin of M4I (45.65%) is better than 91.53% of its industry peers.
- In the last couple of years the Profit Margin of M4I has grown nicely.
- With an excellent Operating Margin value of 59.37%, M4I belongs to the best of the industry, outperforming 91.53% of the companies in the same industry.
- M4I's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 59.37% | ||
| PM (TTM) | 45.65% | ||
| GM | N/A |
OM growth 3Y0.95%
OM growth 5Y2.09%
PM growth 3Y0.73%
PM growth 5Y1.73%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- M4I has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- Compared to 1 year ago, M4I has less shares outstanding
- The number of shares outstanding for M4I has been reduced compared to 5 years ago.
- Compared to 1 year ago, M4I has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 10.26 indicates that M4I is not in any danger for bankruptcy at the moment.
- M4I's Altman-Z score of 10.26 is amongst the best of the industry. M4I outperforms 93.22% of its industry peers.
- M4I 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, M4I belongs to the top of the industry, outperforming 88.14% of the companies in the same industry.
- A Debt/Equity ratio of 2.36 is on the high side and indicates that M4I has dependencies on debt financing.
- M4I's Debt to Equity ratio of 2.36 is on the low side compared to the rest of the industry. M4I is outperformed by 74.58% of its industry peers.
- Even though the debt/equity ratio score it not favorable for M4I, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.36 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 10.26 |
ROIC/WACC5.91
WACC8.66%
2.3 Liquidity
- A Current Ratio of 1.03 indicates that M4I should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.03, M4I is not doing good in the industry: 66.10% of the companies in the same industry are doing better.
- M4I has a Quick Ratio of 1.03. This is a normal value and indicates that M4I is financially healthy and should not expect problems in meeting its short term obligations.
- With a Quick ratio value of 1.03, M4I is not doing good in the industry: 66.10% of the companies in the same industry are doing better.
- The current and quick ratio evaluation for M4I 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 | 1.03 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 16.50% over the past year.
- Measured over the past years, M4I shows a very strong growth in Earnings Per Share. The EPS has been growing by 21.49% on average per year.
- M4I shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.42%.
- The Revenue has been growing by 16.47% on average over the past years. This is quite good.
EPS 1Y (TTM)16.5%
EPS 3Y16.91%
EPS 5Y21.49%
EPS Q2Q%24.61%
Revenue 1Y (TTM)16.42%
Revenue growth 3Y13.82%
Revenue growth 5Y16.47%
Sales Q2Q%17.59%
3.2 Future
- The Earnings Per Share is expected to grow by 15.04% on average over the next years. This is quite good.
- The Revenue is expected to grow by 10.45% on average over the next years. This is quite good.
EPS Next Y15.91%
EPS Next 2Y16.16%
EPS Next 3Y16.09%
EPS Next 5Y15.04%
Revenue Next Year12.56%
Revenue Next 2Y12.32%
Revenue Next 3Y11.15%
Revenue Next 5Y10.45%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 31.66, M4I can be considered very expensive at the moment.
- M4I's Price/Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 28.32, M4I is valued at the same level.
- The Price/Forward Earnings ratio is 27.32, which means the current valuation is very expensive for M4I.
- Based on the Price/Forward Earnings ratio, M4I is valued a bit more expensive than 61.02% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. M4I is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.66 | ||
| Fwd PE | 27.32 |
4.2 Price Multiples
- M4I's Enterprise Value to EBITDA ratio is in line with the industry average.
- M4I's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.45 | ||
| EV/EBITDA | 23.85 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- M4I has an outstanding profitability rating, which may justify a higher PE ratio.
- M4I's earnings are expected to grow with 16.09% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.99
PEG (5Y)1.47
EPS Next 2Y16.16%
EPS Next 3Y16.09%
5. Dividend
5.1 Amount
- M4I has a yearly dividend return of 0.64%, which is pretty low.
- Compared to an average industry Dividend Yield of 2.10, M4I has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, M4I's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.64% |
5.2 History
- The dividend of M4I is nicely growing with an annual growth rate of 13.71%!
Dividend Growth(5Y)13.71%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- M4I pays out 18.41% of its income as dividend. This is a sustainable payout ratio.
- The dividend of M4I is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP18.41%
EPS Next 2Y16.16%
EPS Next 3Y16.09%
MASTERCARD INC - A / M4I.DE FAQ
What is the ChartMill fundamental rating of MASTERCARD INC - A (M4I.DE) stock?
ChartMill assigns a fundamental rating of 7 / 10 to M4I.DE.
Can you provide the valuation status for MASTERCARD INC - A?
ChartMill assigns a valuation rating of 3 / 10 to MASTERCARD INC - A (M4I.DE). This can be considered as Overvalued.
How profitable is MASTERCARD INC - A (M4I.DE) stock?
MASTERCARD INC - A (M4I.DE) has a profitability rating of 8 / 10.
What is the financial health of MASTERCARD INC - A (M4I.DE) stock?
The financial health rating of MASTERCARD INC - A (M4I.DE) is 8 / 10.
Can you provide the dividend sustainability for M4I stock?
The dividend rating of MASTERCARD INC - A (M4I.DE) is 4 / 10 and the dividend payout ratio is 18.41%.