MasterCard, Inc. (NYSE:MA)

CAPS Rating: 5 out of 5

A global payment solutions company that provides various services in support of the credit, debit & related payment programs to financial institutes. Also develops & markets payment solutions, process payment transactions & provide consulting services.


Player Avatar TMFInnovator (42.90) Submitted: 7/15/2013 12:26:59 PM : Outperform Start Price: $59.19 MA Score: +23.23

Incredible business that has lots of things to like:

- Their open-loop network carries lower risk and benefits from network effects. This shields MA (and V) from other competitors entering their market.
- Global macro trend moving from cash and checks to electronic payments.
- Operating margins that have steadily improved over the past five years and are now over 50%.
- No long-term debt.
- Excellent management.
- Quadrupled their dividend in the last two years and it is still less than 10% of free-cash-flow.

I've had this company on my radar for awhile, but never pulled the trigger. Until now..

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