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Mastercard (Mastercard) GF Value Rank : 6 (As of Apr. 26, 2024)


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What is Mastercard GF Value Rank?

Mastercard has the GF Value Rank of 6.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison of Mastercard's GF Value Rank

For the Credit Services subindustry, Mastercard's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Mastercard's GF Value Rank Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Mastercard's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Mastercard's GF Value Rank falls into.



Mastercard GF Value Rank Related Terms

Thank you for viewing the detailed overview of Mastercard's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Mastercard (Mastercard) Business Description

Address
2000 Purchase Street, Purchase, NY, USA, 10577
Mastercard is the second-largest payment processor in the world, having processed close to over $8 trillion in transactions during 2022. Mastercard operates in over 200 countries and processes transactions in over 150 currencies.
Executives
Ajay Bhalla officer: President Cyber & Intelligence 2000 PURCHASE STREET, PURCHASE NY 10577
Craig Vosburg officer: President, North America 2000 PURCHASE STREET, PURCHASE NY 10577
Edward Grunde Mclaughlin officer: President, Operations & Tech 2000 PURCHASE STREET, PURCHASE NY 10577
Foundation Mastercard 10 percent owner 250 YONGE STREET, SUITE 2400, TORONTO A6 M5B 2L7
Richard K Davis director 800 NICOLLET MALL, MINNEAPOLIS MN 55402
J. Mehra Sachin officer: Chief Financial Officer HESS CORPORATION, 1185 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Hai Ling officer: Co-President, Intl Markets 2000 PURCHASE STREET, PURCHASE NY 10577
Timothy H Murphy officer: General Counsel 2000 PURCHASE STREET, PURCHASE NY 10577
Raj Seshadri officer: President, Data & Services 880 CARILLON PARKWAY, ST. PETERSBURG FL 33716
Raghuvir Malhotra officer: Co-President, Intl Markets 2000 PURCHASE STREET, PURCHASE NY 10577
Michael Miebach officer: Chief Product Officer 2000 PURCHASE STREET, PURCHASE NY 10577
Linda Pistecchia Kirkpatrick officer: President, North America 2000 PURCHASE STREET, PURCHASE NY 10577
Harit Talwar director 2500 LAKE COOK ROAD, RIVERWOODS IL 60015
Sandra A Arkell officer: Controller 3005 HIGHLAND PARKWAY, SUITE 200, DOWNERS GROVE IL 60515
Candido Bracher director 2000 PURCHASE STREET, PURCHASE NY 10577