Mastercard Stock Rockets To Record Highs After Q4 Profit Exceeds Expectations, Retail’s Elated

On an adjusted basis, the company reported net earnings of $3.82 per share during the fourth quarter, beating a Wall Street estimate of $3.69 per share.

Stocktwits Inc

Published: Jan 30, 2025, 8:48 PM IST

Mastercard (MA) shares rose 4.4% on Thursday and hit an all-time high after the company topped the market expectations for quarterly profit on higher payment volumes.

On an adjusted basis, the company reported net earnings of $3.82 per share during the fourth quarter, beating the Wall Street estimate of $3.69 per share, according to FinChat data.

Its fourth-quarter revenue rose 14% to $7.49 billion compared to the same period last year and topped the average analysts’ estimate of $7.38 billion.

The financial services firm said its gross dollar volume, which signifies the total amount of transactions processed, rose 12% to $2.6 trillion.

Cross-border volume on Mastercard’s platform jumped 20%.

Last week, American Express reported an 8% jump in total spending with its cards, aided by higher travel and entertainment-related customer expenditures.

Revenue from Mastercard’s value-added services and solutions segment grew by 17%, backed by strong demand for its services, such as consumer acquisition, engagement, and fraud detection.

The company and its peers are rapidly increasing their offerings beyond the core payment products and investing in segments such as cybersecurity.

In December, the company completed its $2.65 billion acquisition of Recorded Future to enhance its data security offerings.

Mastercard also projected its adjusted 2025 revenue to grow by low double-digit percentage points.

Retail sentiment on Stocktwits jumped to ‘extremely bullish’ (93/100) territory from ‘neutral’(45/100) a day ago, while retail chatter soared to ‘extremely high.’