Mastercard Incorporated (MA) — Free Cash Flow Yield
Financial Services
Mastercard Incorporated, a technology company, provides transaction processing and other payment-related products and services in the United States and internationally. The company offers products and services for account holders, merchants, financial institutions, digital partners, businesses, governments, and other organizations, such as programs that enable issuers to provide consumers with credits to defer payments; payment products and solutions that allow its customers to access funds in deposit and other accounts; prepaid programs services; consumer bill payment services; and commercial credit, debit, and prepaid payment products and solutions. It also provides solutions that enable businesses or governments to make payments to businesses, including Virtual Card Number, which is generated dynamically from an existing account and leverages the credit limit of the funding account; and a platform to optimize supplier payment enablement campaigns for financial institutions. In addition, the company offers Mastercard Move, which partners with digital messaging and payment platforms to enable consumers to send money directly within applications to other consumers; and partners with central banks, fintechs, and financial institutions, as well as enables various cross-border payment flows. Further, it provides security solutions; marketing, personalization, and issuer and merchant loyalty services; business and operational intelligence, advanced analytics and AI, consulting and agentic solutions, and payments and portfolio optimization; digital and authentication; processing and gateway solutions; and other solutions. The company offers payment solutions and services under the MasterCard, Maestro, and Cirrus names. Mastercard Incorporated was founded in 1966 and is headquartered in Purchase, New York.
| Metric | Value |
|---|---|
| FCF Yield | 3.3% |
| Financial Services Sector Avg FCF Yield | 6.6% |
| Annual Free Cash Flow | $16.4B |
| Market Cap | $498.7B |
| P/E Ratio | 31.4x |
Mastercard Incorporated's FCF yield of 3.3% is below the Financial Services sector average (6.6%).
Frequently Asked Questions
What is Mastercard Incorporated's (MA) free cash flow yield?
Mastercard Incorporated's (MA) free cash flow yield is 3.3%. That is below the Financial Services sector average (6.6%).
Is MA's free cash flow yield good?
At 3.3%, MA's free cash flow yield is considered weak — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.
How much free cash flow does Mastercard Incorporated generate?
Mastercard Incorporated generated $16.4B in free cash flow, against a market cap of $498.7B.
How is free cash flow yield calculated?
Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.
Data from public filings. Not investment advice. Calculate your own FCF yield →