Stock of the Day – Update
Wednesday’s Closing Price: MA – $126.35
I highlighted Mastercard as a case study on April 2, 2007 in a post titled, Is Mastercard Priceless, while it was trading at $107.28. Closed at $126.35 yesterday!
Here are two quotes from that post one month ago:
- 4/2/07: “Longer term trend investors can establish a position now at the 50-d moving average or at least start to initiate a position by accumulating shares. Look for a confirmation on a move to the up-side above the trading range I have highlighted in blue on the weekly chart.”
- 4/2/07: “Bottom Line: MA is rated a buy in my book and I am grabbing shares today.
*This blog post is not a recommendation to buy this or any other stock. Please do your own due diligence and buy and sell at your own risk!”
Now for the official reason why MA was up over 10% yesterday and has a 17% gain since the case study done on April 2:
First quarter earnings rose 70% boosted by higher gross dollar volume and a 19% jump in the number of transactions processed. The Purchase, N.Y., issuer of credit and debit cards and provider of a transaction authorization network reported first-quarter earnings of $214.9 million, or $1.57 a share, up from $126.7 million, or 94 cents a share, a year earlier. MasterCard said net revenue for the quarter rose 24% to $915.1 million from $738.5 million a year ago. Analysts surveyed by Thomson Financial expected, on average, earnings of $1.16 a share on revenue of $842 million.