Truist Securities Starts MasterCard (MA) at Buy, 'investors should own both Mastercard and Visa'

Truist Securities analyst Matthew Coad initiates coverage on MasterCard (NYSE: MA) with a Buy rating and a price target of $640.00.

The analyst comments "In our view, investors should own both Mastercard and Visa, as we believe fears over disintermediation risks (i.e., real-time payments, stablecoins, etc.) and a slowdown in their cross border revenues are overblown. In addition, we expect Mastercard's relative valuation to expand as a late cycle-induced flight to safety causes more demand for their shares. Mastercard is our favorite name in the group, and we have a slight preference for Mastercard over Visa, because it is slightly cheaper on a growth-adjusted basis as Mastercard tends to a grow 2-3ppts faster across KPIs (volume, net revenues, EPS) in-part because of the outsized success of their international operations. Our $640 Price Target is based on 34x our 2026E EPS forecast, this equates to a ~2.3x PEG ratio as we forecast ~15% EPS growth in 2027"

For an analyst ratings summary and ratings history on MasterCard click here. For more ratings news on MasterCard click here.

Shares of MasterCard closed at $585.60 yesterday.

You May Also Be Interested In

• Stripe, Advent In Talks To Buy Paypal - WSJ
• Cantor Fitzgerald Reiterates Overweight Rating on Merlin Labs (MRLN)
• Full Circle Lithium closes $5.14M private placement