Intel is a multinational technology company that designs, develops, and manufactures semiconductor computer products and technologies. The company operates through various segments, including the Client Computing Group, Data Center Group, Internet of Things Group, Non-volatile Memory Solutions Group, and Programmable Solutions Group.

Over the past five decades, Intel has evolved into a more data-centric company. While personal computer (PC) related products are still a significant part of its revenue stream, Intel continues to adapt, invest in research and development, and utilize strategic partnerships to enhance technologies and meet consumer demands. Intel has a lot of competition in the chipmaker market and is presently investing in its semiconductor manufacturing operations to improve the fabrication process. Much of the challenges Intel faced over the past year were experienced by the semiconductor industry overall, which has been impacted by high inflation, rising interest rates, and supply-chain delays.

(WhaleWisdom)

Mixed Actions from Hedge Funds and Institutions

Hedge funds were selling in the second quarter, with the aggregate 13F shares held by hedge funds lowered to about 337.8 million from 349.8 million, a change of approximately 3.4%. Of the hedge funds, 31 created new positions, 163 added to an existing position, 56 exited, and 148 reduced their position. In contrast to hedge funds, institutions increased their aggregate holdings by about 0.5% to approximately 2.50 billion from 2.49 million. The 13F metrics between 2005 and 2022 show that while funds have been on a steady upward trend, Intel’s stock price has taken a downturn over the past two years.

(WhaleWisdom)

Declining Forecast

Analysts are cutting their earnings estimates for Intel. Earnings are expected to decline in the coming year, decreasing to $1.26 by December 2023, down from an expected $2.05 for December 2022. Performance is expected to bring revenue to roughly $62.0 billion by late 2023, down from 63.6 billion in 2022.

(WhaleWisdom)

Price Targets Are Adjusted

Analysts appear to share a lukewarm view of the company based on ratings and declining price targets. Christopher Danely of Citi maintained a Neutral rating on Intel and lowered the firm’s price target on the company to $27 from $30. Baird & Co. analyst Tristan Gerra was encouraged by Intel’s earnings report and kept a Neutral rating on shares. Gerra lowered the firm’s price target on Intel to $34 from $40. Gus Richard of Northland Capital Markets held a $52 price target on Intel, and an Outperform rating. Richard expects to see improved performance by the second half of 2023.

Queue the Patient Investor

Analysts’ estimates for Intel include a decline in earnings and revenue through 2023. However, while forecasts for the year ahead may not be encouraging, investors should keep an eye on the stock and wait as its business turns around. Intel is still one of the largest chipmakers in the semiconductor industry and has been making strategic business decisions to improve its infrastructure and reduce costs. The stock has a better long-term outlook for patient investors.

Netflix is an entertainment services company that provides a subscription streaming service and has a production company that produces and co-produces streaming content. The company has over 200 million subscribers worldwide and brings in revenue primarily from subscriber fees, with a more recent focus on advertising. Netflix seeks to improve subscribership and revenue statistics by cracking down on customers’ password sharing. Their strategy involves monetizing the practice of account sharing by allowing subscribers to transfer profiles beyond their primary household and create sub-accounts for a smaller fee. Netflix is also launching an ad-supported membership option in twelve countries beginning in November 2022. For a lower subscription cost, customers can choose the ad-supported plan, which will apply targeted marketing capabilities for audiences based on factors such as the content they stream and the country they reside in.

(WhaleWisdom)

Hedge Funds and Institutions Sell

Hedge Funds adjusted their portfolios in the second quarter, and the aggregate 13F shares held decreased to approximately 70.8 million from 73.4 million, a slide of about 3.6%. Overall, 50 hedge funds created new positions, 139 added, 114 exited, and 99 reduced their holdings. Institutions also sold and lowered their holdings by about 3.3% to $333.7 million. The 13F metrics between 2005 and 2022 suggest that Netflix still has long-term investment potential.

(WhaleWisdom)

Encouraging Multi-year Estimates

Analysts anticipate earnings will rise through 2023, with year-over-year increases in growth that could bring earnings to $10.66 per share by December 2023, up from a projected $10.31 for 2022. Revenue predictions are also favorable, with revenue expected to increase to about $33.9 billion by 2023, up from an estimated $31.6 billion in December 2022.

(WhaleWisdom)

Analysts Are Encouraged by Improved Performance

Netflix saw growth once again in October, and analysts took notice. Pivotal Research Group analyst Jeffrey Wlodarczak raised the firm’s rating on the stock to a Buy from a Sell and set a price target of $375 on Netflix shares. Wlodarczak expressed optimism at Netflix’s ability to recoup revenue lost from customers’ password sharing and appeared cautious about the risk of customers downgrading subscription services in a recession. Analyst Satoshi Tanaka of Daiwa Capital raised their firm’s price target on Netflix to $330 from $226 following improved earnings and upgraded the stock to an Outperform rating from a prior Neutral rating projection. Oppenheimer & Co. analyst Jason Helfstein kept an Outperform rating on Netflix and raised the firm’s price target to $365 from $325. Helfstein was encouraged by Netflix’s strategy to identify shared accounts and push many account holders to ad-supported streaming subscriptions.

Better Days Beyond 2022

Netflix is beginning to rebound from this bearish market, and investors should be encouraged by analysts’ optimistic earnings and revenue estimates through December of 2023. While hedge funds sold in the second quarter, Netflix’s losses offer the opportunity to acquire the stock for less. Netflix continues to offer new streaming content and older TV and movie favorites to its customers. The streaming provider has developed strategies to launch ad-supported membership globally and recoup lost revenue from ad-sharing. Netflix has positioned itself well to adapt to changes in demand and draw investors’ attention.

UnitedHealth is a diversified healthcare and insurance company that offers healthcare products and insurance services. The company’s two core platforms include UnitedHealthcare, comprised of its health benefit plans and services, and OptumRx, a line of pharmacy care services and programs, including home delivery and clinical capabilities. UnitedHealth generates the bulk of its revenue from premiums on risk-based products, fees for services, the sale of healthcare products, and investments.

Rising expenses and temporary government mandates have impacted the healthcare industry throughout the Coronavirus pandemic. Health insurers’ medical costs and profits fluctuated from increased hospitalizations, restrictions on non-urgent and elective procedures, and inflation. However, United Health anticipates that these challenges and higher costs will ease in the coming year.

Hedge Funds Sell Shares

UnitedHealth saw hedge funds selling in the second quarter of 2022, with the aggregate 13F shares held lowered to approximately 143.5 million from 150.7 million, a change of roughly 4.8%. Of the hedge funds, 30 created new positions, 175 added their stakes, 48 exited, and 208 reduced their holdings. Institutions sold and decreased their aggregate holdings by a modest 0.2% to approximately 808.9 million from 810.8 million.

Favorable Revenue Estimates

Analysts expect to see earnings increasing through 2023, bringing earnings per share to $22.03 by December 2022 and $24.95 by December 2023. Estimates are also encouraging for revenue, with an anticipated rise by December 2022 to approximately $323.3 billion; this momentum may continue with revenue estimated at $352.1 billion by December 2023.

Analysts Respond to Strong Q3 Results

UnitedHealth exceeded Wall Street’s expectations in the third quarter, causing the company to raise its earnings outlook and many analysts to raise price targets. Deutsche Bank analyst George Hill kept a Buy rating on UnitedHealth’s shares and increased the firm’s price target to $615 from $569. RBC Capital Markets maintained an Outperform rating on the stock and raised its price target on UnitedHealth to $592 from $588. Raymond James lowered its price target on UnitedHealth to $615 while maintaining the company as a Strong Buy.

Optimistic Outlook

UnitedHealth’s performance over the past year demonstrates its ability to grow despite pandemic challenges and a volatile market. The healthcare industry has growth potential, and UnitedHealth’s products and services will likely see continued demand. Analysts’ encouraging earnings and revenue growth predictions through 2023 support UnitedHealth as a worthwhile investment opportunity.

Charles Schwab is a multinational financial services company that provides banking and trust services, retail brokerage, corporate brokerage, retirement, and investment advisory services to institutional and individual customers. Charles Schwab has a strong history as an investment services firm. The company’s stock trading tools are designed to help investors with stock selection and trading. The opportunity to choose from its varying levels of investment support pairs well with the ongoing trend of do-it-yourself investing.

(WhaleWisdom)

Mixed Actions from Hedge Funds and Institutions

Looking at the second quarter activity by hedge funds, Charles Schwab saw an increase of approximately 2.4% in the aggregate 13F shares held, bringing shares held to about 346.4 million from 338.2 million. Of the hedge funds, 29 created new positions, 136 added, 41 exited, and 87 reduced their holdings. In contrast to hedge funds, institutions were selling, and overall, institutions decreased their aggregate holdings by about 0.4% to approximately 1.317 billion.

(WhaleWisdom)

Positive Multi-year Figures

Analysts expect to see earnings rise, with increases in growth that could bring earnings to

$4.91 by December 2023, up from an estimated $3.92 for December 2022. Estimates are also optimistic for revenue, with an anticipated rise by the end of 2022 to approximately $20.8 billion. Continued momentum may bring revenue of about $23.6 billion by December 2023. Charles Schwab’s long-term 13F metrics between 2004 and 2022 suggest that their investment potential remains strong.

(WhaleWisdom)

Optimistic Analysts though Price Targets Vary

Analysts’ views vary on Charles Schwab, but there appears to be overall optimism. Analyst Brian Bedell of Deutsche Bank Securities lowered the firm’s price target on Charles Schwab to $95 from $99 while maintaining a Buy rating on shares. Bedell is cautious about the stock but recognizes the positive side of Charles Schwab’s recent price declines, including good long-term entry points for investors. Erste Group’s analyst, Hans Engel, upgraded Charles Schwab to a Buy from a Hold due to the investment services company’s earnings growth in 2022 and expected future growth. Daniel Fannon of Jefferies & Co. maintained a Buy rating on Charles Schwab and raised the firm’s price target to $86 from $78.

Favorable Outlook

Charles Schwab’s growth has slowed in 2022, but its earnings history and estimates for 2023 are encouraging for investors. Continued demand for its financial services and analysts’ ratings and price targets support the company’s growth potential in the coming year. Patient investors may see the stock as a long-term opportunity. Charles Schwab is worth watching as it continues to regain ground.

Berkshire Hathaway is a conglomerate holding company that has evolved, most notably after American businessman and investor Warren Buffet took control in 1965. Buffet transitioned Berkshire Hathaway from textile operations to a holding company with a diverse range of investments and corporate acquisitions. The holding company owns subsidiaries and investments in insurance, railroads, manufacturing, utilities, retail, and home construction. Berkshire Hathaway has four operating sectors: the Insurance Group, General Reinsurance, Reinsurance Group, and Primary Group. Some of the company’s more well-known businesses include GEICO, Candies, Dairy Queen, BNSF railway, Pampered Chef, and Acme Building Brands. The holding company has a split of Class A and B shares. Both serve as investment opportunities, though Class B shares are more modestly priced and more appealing to the average consumer.

Hedge Funds Adjust Portfolios

In the fourth quarter, Berkshire Hathaway received mixed responses from Hedge Funds and Institutions. While hedge funds were selling, some Institutions added the stock to their portfolios, and the aggregate 13F shares held increased to approximately 846.6 million from 843.2 million, an increase of about 0.4%. In contrast, hedge funds decreased their holdings by about 2.6% to 141.6 million from 145.4 million. Overall, for hedge funds, 43 created new positions, 197 added to an existing holding, 15 exited, and 197 reduced their stakes. The 13F metrics through 2022 reflect a recent drop in stock price, while the trend for holdings demonstrates steady improvement over the past twenty years.

Encouraging Multi-year Estimates

Analysts expect to see earnings rise through 2023, with increases in growth that could bring earnings to $14.71 per share in December 2023, up from $13.46 in 2022. Revenue predictions are also noteworthy, with revenue expected to increase to $322.9 billion by December 2023, up from $293.4 billion in December 2022.

Analysts Pull Price Targets

Despite the long-term promise, analysts have lowered price targets on the stock. With accelerated inflation, a rise in interest rates, and pandemic-related supply-chain challenges, the market overall has taken a beating. In the current circumstances, Berkshire Hathaway has done well to outperform the S&P. Analyst Meyer Shields of Keefe, Bruyette & Woods, Inc. lowered the firm’s price target on Berkshire Hathaway’s class A shares to $560,000 from $565,000, while maintaining a Market Perform rating on the stock.

Optimistic Outlook

There is optimism beyond 2022 for Berkshire Hathaway. Earnings and revenue estimates through 2023 are favorable, and Berkshire Hathaway’s dip in value may be seen as a buying opportunity for long-term investors.

Alphabet is a technology conglomerate holding company that operates through Google and Other Bets segments. The company was created through a restructuring of Google in 2015, becoming the parent company of Google and its subsidiaries. The restructuring allowed Alphabet to expand into other business areas beyond Google’s internet search and advertising, helping to grow income and make its business more diversified and resilient to market volatility. Since the restructuring into Alphabet, the company has acquired and operated various subsidiaries, broadening its revenue stream across different industries such as healthcare, life sciences, and robotics.

The technology giant’s Google segment includes internet products such as Google Search, Applications (Apps), DeepMind artificial intelligence, Google Ads, Google Maps, YouTube, Gmail, Android, and Chrome. The Google segment generates Alphabet’s revenue through its inter-connected applications, services, and hardware products. The Other Bets segment includes businesses such as Access, Nest, Verily, Google Fiber, Calico, and other initiatives.

Hedge Funds Sell

Hedge Funds adjusted their portfolios in the fourth quarter, and the aggregate 13F shares held decreased to approximately $49.9 million from $50.3 million, a slide of about 0.8%. Overall, 68 hedge funds created new positions, 252 added to an existing holding, 32 exited, and 260 reduced their stakes. In contrast, institutions increased their holdings by about 3.0% to $234.2 million from $227.3 million.

(WhaleWisdom)

Encouraging Earnings Projection

Analysts expect to see earnings rise through 2023, with earnings per share predicted at $112.94 by December 2022 and $134.15 by December 2023. Year-over-year estimated increases could bring revenue growth to approximately $345.1 billion by 2023, up from the anticipated revenue of $299.3 billion for 2022.

(WhaleWisdom)

Analysts Cut Price Targets

After Alphabet posted first-quarter results, many analysts reacted to missed earnings estimates by lowering price targets. When reporting first-quarter results, Alphabet also shared that it would increase its buyback program to $70 billion with continued investment in YouTube. The advertising market has been weaker, negatively impacting Alphabet’s Google segment, specifically YouTube.

Analyst Benjamin Black from Deutsche Bank lowered the firm’s price target to $2,900 from $3,150, rating shares as a Buy. Youssef Squali of Truist Securities fell the price target on Alphabet to $3,500 from $3,600. Raymond James analyst Aaron Kessler lowered the price target on Alphabet’s shares to $3,180 from $3,630 and shared optimism for long-term advertising revenue growth. Oppenheimer analyst Jason Helfstein maintained a price target of $3,290 and an Outperform rating on Alphabet’s shares. Analyst Scott Devitt of Stifel Institutional lowered the firm’s price target on Alphabet to $3,100 from $3,500 in response to first-quarter results and Alphabet management’s commentary about YouTube revenue being negatively impacted by external factors such as the Russia-Ukraine war. Stifel maintained a Buy rating on shares. Andy Hargreaves of KeyBanc held his firm’s price target on the stock and the Overweight rating. Hargreaves noted the resiliency of Alphabet’s stock as he left a price target of $3.08.

Cause for Optimism

Alphabet has a good history of growth and a strong presence in the tech sector. Though hedge funds were selling shares amidst market pullback, Alphabet outperformed the S&P 500. New investors may see lost momentum and be hesitant to acquire shares. However, lowered stock prices may also motivate acquiring shares, given optimistic future earnings estimates and Alphabet’s potential for long-term growth.

ServiceNow is a software as a service (SaaS) company specializing in enterprise cloud computing solutions and technical management support. The company offers a cloud computing platform to manage digital workflows for enterprise operations. The company supports customers within security, operations, human resources, customer service, and other business areas. Users can manage information technology projects, teams, and customer interactions through their applications and analyze data for trends and decision-making while protecting data through a network encryption system. Despite recent market fluctuations, ServiceNow’s performance tools continue to be widespread across industries.

Mixed Actions from Hedge Funds and Institutions

ServiceNow’s saw hedge funds selling in the fourth quarter, with the aggregate 13F shares held by hedge funds lowered to about 41.79 million from 41.81 million, a change of approximately 0.1%. Of the hedge funds, 40 created new positions, 106 added, 34 exited, and 106 reduced their holdings. In contrast to hedge funds, institutions were buying and increased their aggregate holdings by about 1.7% to approximately 174.0 million from 171.2 million.

(WhaleWisdom)

Positive Earnings Estimates

Analysts expect to see earnings increase in 2022 and 2023, bringing earnings per share to $9.36 by December 2023, up from an estimated $7.34 for December 2022. Estimates are also optimistic for revenue, with an anticipated rise by the end of 2022 to approximately $7.4 billion; this momentum may continue into 2023, with revenue estimated at $9.3 billion by December 2023. ServiceNow’s 13F metrics show a slight dip in stock value in 2022, compared to almost a decade of gradual revenue growth.

(WhaleWisdom)

Analysts React Conservatively to Q1 Report

Many analysts shared Outperform ratings after first-quarter earnings were announced. Reports of increased subscription revenue and the importance of digital business in today’s world are encouraging for ServiceNow. However, the software development industry has seen market fluctuations in recent months. Keith Bachman of BMO Capital Markets raised the firm’s price target on ServiceNow to $595 from $570, maintaining an Outperform rating on shares. Oppenheimer analyst Ray McDonough lowered the firm’s price target on ServiceNow to $600 from $660, keeping an Outperform rating on shares. Despite market volatility, McDonough sees positive demand for ServiceNow’s software. Morgan Stanley’s Keith Weiss lowered the firm’s price target to $745 from $810, factoring in higher interest rates. Weiss also shared that ServiceNow offers the opportunity of a good entry point into a “premier software growth enterprise.” Phil Winslow of Credit Suisse kept an Outperform rating on shares and set a price target of $700 for ServiceNow, lowered from $800 following recent quarterly results.

Favorable Long-term Outlook

ServiceNow has demonstrated a positive long-term trend over the past nine years. While hedge funds were selling in this volatile market and ServiceNow saw slower growth, analysts saw demand for the company’s software continuing. Optimistic earnings and revenue estimates from analysts also offer encouragement to patient investors.

Netflix is an internet subscription streaming service and production company. It offers a library of movies and television episodes for customers to stream globally. Netflix also sends subscription DVDs by mail across the United States, though paid streaming memberships represent the bulk of Netflix’s revenue. Netflix obtains content from various production studios through revenue sharing agreements, fixed-fee licenses, and direct purchases. The streaming provider also offers original productions that have gained great appeal, especially during the coronavirus pandemic when consumers spent more time at home. However, despite the popularity of Netflix Originals, the company has faced increased competition, lost revenue from password sharing, and changing consumer habits as the pandemic begins to wind down; this resulted in a decline in subscribers and decelerated revenue growth.

Netflix recently shared plans to modify its subscription-only model to incorporate advertising and be more aggressive in responding to non-paying customers. One of the noteworthy reactions to Netflix’s subscription decline came from Pershing Square Capital Management. Pershing Square released a letter to investors last week explaining that the hedge fund had sold its entire stake in Netflix due to Netflix’s drop in subscribers and Pershing Square’s loss of confidence in predicting Netflix’s long-term financial prospects. While Netflix remains one of the largest streaming service providers globally, recent challenges and Pershing Square’s investment departure highlight the importance of the company implementing swift strategies regarding content, pricing, advertising incentives, and ensuring user accountability.

Hedge Funds Adjust Portfolios

Hedge funds were selling in the fourth quarter of 2021, and the aggregate 13F shares held decreased approximately 1.1% to about 71.6 million from 72.4 million. Of the hedge funds, 68 created new positions, 164 added to an existing holding, 44 exited, and 113 reduced their stakes. In contrast, institutions were buying and increased their aggregate holdings by about 1.0% to approximately 360.0 million from 356.2 million.

Encouraging Estimates

Analysts expect to see earnings rise to $10.97 per share by December 2022 and $12.62 by December 2023. Revenue estimates also offer encouragement, with predictions of approximately $35.8 billion by December 2023, up from an estimated $32.4 billion for December 2022. The 13F metrics through 2022 reflect a recent dip in stock price, while the trend for portfolio holdings demonstrated steady improvement before recently leveling off.

Analysts Lower Price Targets

Following first-quarter results, many analysts lowered their price targets on Netflix. Analyst Jason Bazinet of Citigroup lowered the firm’s price target on shares to $295 from $450 while maintaining a Buy rating. Bazinet also noted that the recent selloff of shares doesn’t appear to reflect Netflix’s business improvements. Edward Jones analyst David Heger recently downgraded Netflix to a Hold from a Buy rating due to post-pandemic subscriber losses and decreased expectations for future growth. Truist analyst Matthew Thornton kept a Hold rating on shares while lowering the firm’s price target to $300 from $409. Doug Anmuth of JPMorgan dropped the firm’s price target on Netflix to $300 from $605 and downgraded the company from a Neutral form Overweight rating. Anmuth forecast much lower 2022 net subscriber estimates and that beyond Netflix’s new lower stock price, there was not much to be excited about.

Optimism Beyond 2022

While Netflix has its share of business challenges, many analysts are still optimistic about its long-term growth. Earnings and revenue estimates through 2023 are favorable, and Netflix appears to have begun tackling revenue loss from password sharing and pursuing revenue opportunities from cheaper ad-supported subscription plans. Netflix’s lower price is worth investors’ attention with the understanding that the company’s rebound may require the patience of those interested in longer-term opportunities.

Visa is a global financial services and technology company known for connecting consumers, businesses, banks, and governments through electronic payments and transfers. Visa’s services range from providing credit, debit, and prepaid card services to authorization and settlement services. The company makes money through interest and fees charged on these services, acting as a go-between between merchants and financial institutions. The company’s data processing operations generate the most significant portion of revenue.

Visa saw a boost in demand for its services in the first year of the coronavirus pandemic, as quarantined consumers relied heavily on using credit and debit cards to shop to remain contactless. As pandemic restrictions lifted, some consumers returned to using cash, impacting Visa’s revenue growth. However, many consumers have formed new buying habits and continue to prefer paying for things with credit and debit cards.

Hedge Funds Added to Holdings

Visa is a leader in payments and technology, and hedge funds actively bought stock in the fourth quarter. The aggregate 13F shares held by hedge funds increased to about 443.5 million from 428.0 million, an increase of approximately 3.6%. Of the hedge funds, 61 created new positions, 219 added to an existing one, 53 exited, and 184 reduced their stakes. Overall, institutions were selling and decreased their aggregate holdings by about 0.6% to approximately 1.55 billion from 1.56 billion. The 13F metrics from 2008 through early 2022 show that stock prices have steadily risen.

(WhaleWisdom)

Encouraging Earnings Projection

Analysts expect to see earnings rise in the next two years, with earnings per share predicted at $7.09 by September 2022 and $8.40 by September 2023. Year-over-year estimated increases could bring revenue growth to approximately 32.4 billion by September 2023, up from the anticipated revenue of 28.5 billion for 2022.

(WhaleWisdom)

Analysts Share a Range of Ratings

Analysts appear cautious about Visa, with fluctuations in ratings in all directions. AnnaMaria Andriotis of the Wall Street Journal shared that Visa will raise the fees that many large merchants pay to be able to accept consumers’ credit cards. Raising fees appears to be an overdue move delayed temporarily due to the pandemic. Analyst Ramsey El-Assal of Barclays lowered the firm’s price target to $260 from $265 while maintaining an Overweight rating on shares. Mizuho Securities analyst Dan Dolev responded to fourth-quarter results by raising his firm’s price target to $235 from $220. Dolev also maintained a Neutral rating on Visa’s shares. Moshe Katri of Wedbush Securities kept an Outperform rating on Visa and raised the firm’s price target to $270 from $240. Morgan Stanley analyst James Faucette kept an Overweight rating and raised the price target on Visa to $283 from $280.

Optimism Beyond 2022

Visa continues to have positive brand recognition in the global payment industry. Recent share fluctuation may make investors cautious, but earnings and revenue forecast through 2023 offer cause for optimism. Visa remains a stock to watch.

Mastercard is a financial services and technology company that is a major player in the global payments industry. The company serves as an intermediary between consumers, merchants, businesses, financial institutions, and governments. Mastercard offers payment solutions such as credit and debit cards, payment programs, and prepaid cards. Mastercard generates revenue through fees paid by financial institutions that issue Mastercard-branded payment products used by consumers.

Positive Results in Fourth Quarter

Mastercard saw favorable results in the fourth quarter and the aggregate 13F shares held by hedge funds increased to about 172.8 million from 172.0 million, a mild increase of approximately 0.4%. Of the hedge funds, 46 created new positions, 198 added to an existing one, 64 exited, and 152 reduced their stakes. Institutions were also buying. Overall, institutions increased their aggregate holdings by about 1.9%, to approximately 734.4 million from 720.4 million.

(WhaleWisdom)

Favorable Estimates

Analysts expect to see earnings rise in 2022 and 2023, bringing earnings per share up to $10.25 by December 2022 and $12.69 by December 2023. Sales estimates are also favorable, with an anticipated rise by late 2023 to approximately $26.1 billion, up from $22.3 billion in December 2022. Mastercard’s 13F metrics between 2006 and 2022 show an encouraging upward trend.

(WhaleWisdom)

Mixed Actions from Analysts

Analyst Ramsey El Assal of Barclays Investment Bank lowered the firm’s price target on Mastercard to $420 from $430 while maintaining an Overweight rating. After viewing fourth-quarter results and guidance, Mizuho analyst Dan Dolev had a different outlook for Mastercard. Dolev raised the firm’s price target on shares to $435 from $400 and kept a Buy rating. Differing views on ratings and values are likely impacted by the competition Mastercard may soon face from Zelle, a digital payments network that some major banks are considering bringing to retail. Seven banks own Early Warning Services, the company that owns Zelle. If Zelle comes to more retailers, it will offer customers an alternative payment option to use in place of credit cards such as Mastercard.

Favorable Outlook

Mastercard’s year-over-year growth is very encouraging for investors, and analysts’ estimates speak to the stock’s future potential. Mastercard may face added competition if some banks choose to broaden payment options. But for now, the company continues to gain ground in the industry.