Score 8.5 (out of 10): MASTERCARD INC – A poised to seasonally rally by +9.6% during the next 90 days.

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What’s Going On Here?

Mastercard has released strong dollar volumes which jumped +23% to $2.1 trillion compared to a year ago. Mastercard’s net revenue rose +27% to $5.2 billion in the quarter ended Dec. 31, above estimates of $5.16 billion.

Why Now?

MASTERCARD INC – A indicates an interesting 90 days seasonal set up. During similar occasions, MASTERCARD INC – A shares had a median return of +9.6% – based on 10 historical occasions with 9 of those showing positive returns (90%). This buy signal for MASTERCARD INC – A received a high score of 8.5 (out of 10). This insight was generated with last price of 382.2.

What’s This Company About?

MASTERCARD INC – A is in the Finance-Credit Card business. Based on the last 2 years’ risk/return profile, this asset is seen as Moderate Risk. ‘Wall Street’ expects +12.3% upside over the next 12 months. Ticker symbol: MA US.

What’s My Risk / Reward and Time Horizon?

We found 90 days to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 419.04 (+9.6%) has been reached. Based on MASTERCARD INC – A’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 379.7 (last price at 382.2), which is equivalent to a -0.7% decline.

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ shown under (2), etc. 

Previous episodes:

13% (February-2022), -8.5% (February-2021), 15.4% (February- 2020), 9.5% (February-2019), 9.7% (February-2018), 12.8% (February-2017), 9% (February-2016), 1.3% (February-2015), 4.4% (February-2014), 14.5% (February-2013)

Historical Chart:

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Summary:

NameMASTERCARD INC – A
ViewUp
Star (1 to 10)8.5
Target+9.6%
Time90 days
Hit Rate90%

Popular Insights:

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