MasterCard Inc.: TD Cowen analysts maintain their rating on the stock at the buy level, with a target price of 567.00

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MasterCard Inc.: TD Cowen analysts maintain their rating on the stock at the buy level, with a target price of 567.00
Scenario
TimeframeWeekly
RecommendationBUY STOP
Entry Point533.05
Take Profit553.00
Stop Loss520.00
Key Levels498.00, 521.00, 533.00, 553.00
Alternative scenario
RecommendationSELL STOP
Entry Point520.95
Take Profit498.00
Stop Loss530.00
Key Levels498.00, 521.00, 533.00, 553.00

Current trend

Shares of MasterCard Inc., one of the largest American multinational companies providing payment services, are moving within an upward trend at 296.66.

The corporation is moving towards abandoning the manual entry of bank card data when paying for orders and is actively upgrading the tokenization system, which combines face and fingerprint scanning methods. Testing of the technology has already led to an increase in the number of approved transactions by 3.0–6.0%, generating up to 2.0B dollars in additional revenue each month as buyers are less likely to leave their baskets unpurchased. The full transition to tokenization when paying for online orders is planned to be completed by 2030.

TD Cowen analysts maintained a positive outlook for the issuer’s shares at the buy level, increasing the target price from 533.00 to 567.00, after the recent investor day, at which management presented a long-term growth program based on a constant average year’s growth of revenue and profit indicators in the range of 1.0–3.0%.

The board of directors has not yet approved new dividends for next year, which should be indexed and could amount to 0.75–0.76 dollars per share. The last payment took place on November 8, when shareholders received 0.66 dollars per share, which is equivalent to a yield of 0.53% QoQ.

Support and resistance

On the daily chart, the trading instrument is moving above the support line of the ascending channel 550.00–520.00.

Technical indicators are preparing to strengthen the buy signal: fast EMAs on the Alligator indicator are significantly above the signal line, and the AO histogram is forming correction bars, rising in the buy zone.

Resistance levels: 533.00, 553.00.

Support levels: 521.00, 498.00.

MasterCard Inc.: TD Cowen analysts maintain their rating on the stock at the buy level, with a target price of 567.00

Trading tips

Long positions may be opened after the price rises and consolidates above 533.00, with the target at 553.00. Stop loss is 520.00. Implementation period: 7 days or more.

Short positions may be opened after the price falls and consolidates below 521.00, with the target at 498.00 and stop loss 530.00.


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