MasterCard "overweight," target price raised

01.05.08 - Lehman Brothers

NEW YORK, May 1 (newratings.com) - Analysts at Lehman Brothers maintain their "overweight" rating on MasterCard Inc (MA), while raising their estimates for the company. The target price has been raised from $245 to $300.

In a research note published yesterday, the analysts mention that the company has reported its 1Q08 operating EPS ahead of the consensus and the estimates. The analysts expect MasterCard to sustain its earnings power for some time in view of its pricing strength, secular trends and ability to control costs. The EPS estimate for 2009 has been raised from $9.50 to $10.75.