MasterCard "outperform," estimates reduced

19.06.06 - Morgan Keegan

NEW YORK, June 19 (newratings.com) - Analysts at Morgan Keegan maintain their "outperform" rating on MasterCard Incorporated (MA).

In a research note published on June 16, the analysts mention that the company has indicated that its 2Q results are likely to be adversely affected by the World Cup sponsorship, Washington Mutual's debit card portfolio?s conversion and the assistance to the MasterCard foundation. The revenue estimate for 2006 has been reduced from $3.25 billion to $3.19 billion to reflect the contra-revenue adjustment related to the WaMu payment of $50 million, the analysts say. Morgan Keegan believes, hwoever, that the company long-term fundamentals are robust.