Mastercard (MA)
Financials · $497B market cap · SEC CIK 0001141391
fundamentals score out of 100
Next reports on Oct 22, 2026, before the open, with analysts expecting $5.30 in earnings per share.
The case for MA
- Earns 232% on shareholder equity, a figure flattered by a small equity base.
- 46% of revenue drops through to net profit.
- Revenue growing 16.0% year over year.
- Has compounded revenue at 16.5% a year over five years.
The case against
- Pricey at 30.6× earnings, against a long-run market average nearer 20×.
- Priced at 14.2× sales, which leaves no room for a stumble.
- Priced at 81× book value. Very little hard asset backing here.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Financials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 17 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 81 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 89 |
| Momentumhow the price has behaved lately | 63 |
| Stabilityhow violently it moves, what it owes and what it pays you | 62 |
- Its debt and cash flow are not scored, as for every company in the Financials sector: for banks, insurers and brokers, borrowing is the business.
- Each factor except momentum is half fixed thresholds, half rank among the 74 Financials companies.
Key numbers
| Price / earnings | 30.6× |
|---|---|
| Price / book | 80.88× |
| Price / sales | 14.2× |
| Revenue growth (YoY) | +16.0% |
| EPS growth (YoY) | +22.6% |
| Gross margin | — |
| Operating margin | 58% |
| Net margin | 46% |
| Return on equity | 232% |
| Debt / equity | 4.39× |
| Current ratio | 1.06 |
| Dividend yield | 0.55% |
| Beta | 0.81 |
| 52-week range | $464.52 – $601.23 |
| Position in that range | 67% of the way up |
| 3-month return | +15.9% |
| 1-year return | -2.8% |
Five years of financials, as filed
Pulled from Mastercard's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $32.8B | $28.2B | $25.1B | $22.2B | $29.8B |
| Operating income | $18.9B | $15.6B | $14.0B | $12.3B | $10.1B |
| Net income | $15.0B | $12.9B | $11.2B | $9.9B | $8.7B |
| Operating cash flow | $17.6B | $14.8B | $12.0B | $11.2B | $9.5B |
| Capital expenditure | $489M | $474M | $371M | $442M | $407M |
| Total assets | $54.2B | $48.1B | $42.4B | $38.7B | $37.7B |
| Total liabilities | $46.4B | $41.6B | $35.5B | $32.3B | $30.3B |
| Shareholder equity | $7.7B | $6.5B | $6.9B | $6.3B | $7.3B |
| Cash | $10.6B | $8.4B | $8.6B | $7.0B | $7.4B |
| Long-term debt | $18.3B | $17.5B | $14.3B | $13.7B | $13.1B |
| Free cash flow | $17.2B | $14.3B | $11.6B | $10.8B | $9.1B |
| Operating margin | 57.6% | 55.3% | 55.8% | 55.2% | 33.8% |
| Net margin | 45.6% | 45.7% | 44.6% | 44.7% | 29.1% |
| Diluted shares | 906M | 927M | 946M | 971M | 992M |
Share count is down 8.7% over 4 years. Buybacks have been shrinking the pie.
What Mastercard says it does
Item 1. Business Overview Mastercard is a technology company in the global payments industry. We connect consumers, financial institutions, merchants, governments, digital partners, businesses and other organizations worldwide by enabling electronic payments and making those payment transactions secure, simple, smart and accessible. We make payments easier and more efficient by providing a wide range of payment solutions and services using our family of well-known and trusted brands, including our primary brand Mastercard®, as well as our Maestro® and Cirrus® brands. We operate a payments network that provides choice and flexibility for consumers, merchants and our customers. Through our unique and proprietary global payments network, we switch (authorize, clear and settle) payment transactions. We have additional payments capabilities that include automated clearing house ("ACH") transactions (both batch and real-time…
Risk factors MA lists in its 10-K
- (in millions, except per share data)
- Revenue Recognition - Rebates and Incentives
- Opinions on the Financial Statements and Internal Control over Financial Reporting
- Definition and Limitations of Internal Control over Financial Reporting
- Consolidated Statements of Operations
- Consolidated Statements of Comprehensive Income
- Mastercard Incorporated Stockholders' Equity
- Consolidated Statements of Changes in Equity
- Accumulated Other Comprehensive Income (Loss)
- Consolidated Statements of Changes in Equity (Continued)
- Consolidated Statements of Cash Flows
- Changes in operating assets and liabilities
- Net cash provided by operating activities
- Net cash used in investing activities