Credit card issuer MasterCard Incorporated ( MA
The Purchase, New York-based company reported second quarter net income of $458 million, or $3.49 per share, compared with $349 million, or $2.67 per share, in the year-ago period.
On average, Wall Street analysts expected a smaller profit of $3.33 per share.
Meanwhile, revenue rose a more modest 6.7% from last year, to $1.37 billion, narrowly missing analyst expectations.
This year's second results were bolstered substantially by the company's lower spending. It cut costs by 10.4% in the quarter, as the benefits of layoffs began to take hold.
MasterCard shares fell $4.31, or -2.1%, in premarket trading Tuesday.
The Bottom Line
We removed shares of MA from our recommended list back on May 6, when the stock was trading at $237.94. The company has a .30% dividend yield, based on last night's closing stock price of $202.52. The stock has technical support in the $195 price area. If the shares can firm up, we see overhead resistance around the $210-$214 price levels. We would remain on the sidelines for now.
MasterCard Incorporated ( MA ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Created by Dividend.com