Preview: Mastercard’s Earnings – Mastercard (NYSE:MA)
Mastercard (NYSE:MA) is preparing to release its quarterly earnings on Thursday, 2025-10-30. Here’s a brief overview of what investors should keep in mind before the announcement.
Analysts expect Mastercard to report an earnings per share (EPS) of $4.31.
Anticipation surrounds Mastercard’s announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.
New investors should understand that while earnings performance is important, market reactions are often driven by guidance.
Performance in Previous Earnings
During the last quarter, the company reported an EPS beat by $0.12, leading to a 1.16% drop in the share price on the subsequent day.
Here’s a look at Mastercard’s past performance and the resulting price change:
| Quarter | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 |
|---|---|---|---|---|
| EPS Estimate | 4.03 | 3.57 | 3.69 | 3.74 |
| EPS Actual | 4.15 | 3.73 | 3.82 | 3.89 |
| Price Change % | -1.00 | 2.00 | -2.00 | 2.00 |
Market Performance of Mastercard’s Stock
Shares of Mastercard were trading at $565.93 as of October 28. Over the last 52-week period, shares are up 12.86%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analyst Views on Mastercard
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Mastercard.
The consensus rating for Mastercard is Outperform, based on 11 analyst ratings. With an average one-year price target of $664.91, there’s a potential 17.49% upside.
Peer Ratings Comparison
The below comparison of the analyst ratings and average 1-year price targets of Visa, PayPal Holdings and Fiserv, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.
- Analysts currently favor an Outperform trajectory for Visa, with an average 1-year price target of $414.57, suggesting a potential 26.75% downside.
- Analysts currently favor an Neutral trajectory for PayPal Holdings, with an average 1-year price target of $78.25, suggesting a potential 86.17% downside.
- Analysts currently favor an Buy trajectory for Fiserv, with an average 1-year price target of $152.2, suggesting a potential 73.11% downside.
Peer Metrics Summary
The peer analysis summary offers a detailed examination of key metrics for Visa, PayPal Holdings and Fiserv, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Mastercard | Outperform | 16.84% | $6.28B | 50.96% |
| Visa | Outperform | 14.29% | $8.20B | 14.07% |
| PayPal Holdings | Neutral | 5.11% | $3.84B | 6.23% |
| Fiserv | Buy | 8.01% | $3.41B | 4.02% |
Key Takeaway:
Mastercard ranks at the top for Revenue Growth and Gross Profit among its peers. It also leads in Return on Equity.
Unveiling the Story Behind Mastercard
Mastercard is the second-largest payment processor in the world, having processed close to $10 trillion in volume during 2024. Mastercard operates in over 200 countries and processes transactions in over 150 currencies.
Mastercard’s Financial Performance
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Positive Revenue Trend: Examining Mastercard’s financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 16.84% as of 30 June, 2025, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Financials sector.
Net Margin: Mastercard’s net margin excels beyond industry benchmarks, reaching 45.51%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): Mastercard’s financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 50.96%, the company showcases efficient use of equity capital and strong financial health.
Return on Assets (ROA): Mastercard’s ROA stands out, surpassing industry averages. With an impressive ROA of 7.41%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Mastercard’s debt-to-equity ratio surpasses industry norms, standing at 2.42. This suggests the company carries a substantial amount of debt, posing potential financial challenges.
To track all earnings releases for Mastercard visit their earnings calendar on our site.
This article was generated by Benzinga’s automated content engine and reviewed by an editor.