MASTERCARD INC - A (M4I.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:M4I - US57636Q1040 - Common Stock
468.25 EUR
-0.5 (-0.11%)
We assign a fundamental rating of 7 out of 10 to M4I. M4I was compared to 53 industry peers in the Financial Services industry. M4I gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, M4I is valued expensive at the moment. With these ratings, M4I could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
In the past year M4I was profitable.
M4I had a positive operating cash flow in the past year.
Each year in the past 5 years M4I has been profitable.
In the past 5 years M4I always reported a positive cash flow from operatings.
1.2 Ratios
M4I has a better Return On Assets (26.74%) than 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 180.29%, M4I belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
M4I's Return On Invested Capital of 47.55% is amongst the best of the industry. M4I outperforms 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for M4I is significantly above the industry average of 8.74%.
The last Return On Invested Capital (47.55%) for M4I 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
The Profit Margin of M4I (45.28%) is better than 94.34% of its industry peers.
In the last couple of years the Profit Margin of M4I has remained more or less at the same level.
The Operating Margin of M4I (59.16%) is better than 92.45% of its industry peers.
M4I'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 M4I is creating value.
The number of shares outstanding for M4I has been reduced compared to 1 year ago.
Compared to 5 years ago, M4I has less shares outstanding
Compared to 1 year ago, M4I has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 10.42 indicates that M4I is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 10.42, M4I belongs to the top of the industry, outperforming 96.23% of the companies in the same industry.
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.
With an excellent Debt to FCF ratio value of 1.16, M4I belongs to the best of the industry, outperforming 86.79% of the companies in the same industry.
M4I has a Debt/Equity ratio of 2.40. This is a high value indicating a heavy dependency on external financing.
M4I has a Debt to Equity ratio of 2.40. This is in the lower half of the industry: M4I underperforms 67.92% 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 | 2.4 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 10.42 |
ROIC/WACC5.61
WACC8.47%
2.3 Liquidity
A Current Ratio of 1.12 indicates that M4I should not have too much problems paying its short term obligations.
The Current ratio of M4I (1.12) is comparable to the rest of the industry.
A Quick Ratio of 1.12 indicates that M4I should not have too much problems paying its short term obligations.
M4I's Quick ratio of 1.12 is in line compared to the rest of the industry. M4I outperforms 47.17% of its industry peers.
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 | 1.12 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.10% over the past year.
M4I shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.43% yearly.
The Revenue has grown by 15.60% in the past year. This is quite good.
Measured over the past years, M4I 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
M4I is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.33% yearly.
The Revenue is expected to grow by 11.67% on average over the next years. This is quite good.
EPS Next Y16.07%
EPS Next 2Y16.06%
EPS Next 3Y16.15%
EPS Next 5Y15.33%
Revenue Next Year16.6%
Revenue Next 2Y14.5%
Revenue Next 3Y13.64%
Revenue Next 5Y11.67%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
A Price/Earnings ratio of 33.61 indicates a quite expensive valuation of M4I.
The rest of the industry has a similar Price/Earnings ratio as M4I.
The average S&P500 Price/Earnings ratio is at 25.65. M4I is valued slightly more expensive when compared to this.
M4I is valuated quite expensively with a Price/Forward Earnings ratio of 27.47.
M4I's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of M4I to the average of the S&P500 Index (34.45), we can say M4I is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.61 | ||
| Fwd PE | 27.47 |
4.2 Price Multiples
M4I's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of M4I is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.97 | ||
| EV/EBITDA | 25.24 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates M4I does not grow enough to justify the current Price/Earnings ratio.
M4I has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as M4I's earnings are expected to grow with 16.15% in the coming years.
PEG (NY)2.09
PEG (5Y)2.5
EPS Next 2Y16.06%
EPS Next 3Y16.15%
5. Dividend
5.1 Amount
M4I has a yearly dividend return of 0.58%, which is pretty low.
Compared to an average industry Dividend Yield of 3.54, M4I has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, M4I's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
5.2 History
On average, the dividend of M4I grows each year by 14.95%, which is quite nice.
Dividend Growth(5Y)14.95%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
18.79% of the earnings are spent on dividend by M4I. This is a low number and sustainable payout ratio.
M4I'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 2Y16.06%
EPS Next 3Y16.15%
FRA:M4I (11/25/2025, 1:12:57 PM)
468.25
-0.5 (-0.11%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners90.32%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap423.30B
Revenue(TTM)31.47B
Net Income(TTM)14.25B
Analysts80.42
Price Target579.79 (23.82%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
Yearly Dividend2.3
Dividend Growth(5Y)14.95%
DP18.79%
Div Incr Years6
Div Non Decr Years6
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)3.34%
PT rev (3m)3.94%
EPS NQ rev (1m)1.55%
EPS NQ rev (3m)1.57%
EPS NY rev (1m)0.57%
EPS NY rev (3m)0.58%
Revenue NQ rev (1m)1.15%
Revenue NQ rev (3m)1.12%
Revenue NY rev (1m)0.41%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.61 | ||
| Fwd PE | 27.47 | ||
| P/S | 15.53 | ||
| P/FCF | 29.97 | ||
| P/OCF | 27.96 | ||
| P/B | 61.82 | ||
| P/tB | N/A | ||
| EV/EBITDA | 25.24 |
EPS(TTM)13.93
EY2.97%
EPS(NY)17.05
Fwd EY3.64%
FCF(TTM)15.62
FCFY3.34%
OCF(TTM)16.75
OCFY3.58%
SpS30.16
BVpS7.57
TBVpS-6.96
PEG (NY)2.09
PEG (5Y)2.5
Graham Number48.72
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 | 10.42 |
F-Score8
WACC8.47%
ROIC/WACC5.61
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 Y16.07%
EPS Next 2Y16.06%
EPS Next 3Y16.15%
EPS Next 5Y15.33%
Revenue 1Y (TTM)15.6%
Revenue growth 3Y14.26%
Revenue growth 5Y10.78%
Sales Q2Q%16.73%
Revenue Next Year16.6%
Revenue Next 2Y14.5%
Revenue Next 3Y13.64%
Revenue Next 5Y11.67%
EBIT growth 1Y16.51%
EBIT growth 3Y17.33%
EBIT growth 5Y11.15%
EBIT Next Year23.18%
EBIT Next 3Y16.18%
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 / 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.
What is the valuation status for M4I stock?
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.
Can you provide the PE and PB ratios for M4I stock?
The Price/Earnings (PE) ratio for MASTERCARD INC - A (M4I.DE) is 33.61 and the Price/Book (PB) ratio is 61.82.
What is the earnings growth outlook for MASTERCARD INC - A?
The Earnings per Share (EPS) of MASTERCARD INC - A (M4I.DE) is expected to grow by 16.07% in the next year.