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Are Buyouts and Partnerships Powering Mastercard's Long-Term Growth?
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Key Takeaways
MA expands into services like open banking and B2B flows via acquisitions and partnerships.
The $2.65B Recorded Future deal boosted MA's cybersecurity and recurring-revenue offerings.
Global collaborations with firms like Stripe and Circle support MA's digital payments strategy.
Mastercard Inc. (MA - Free Report) uses a disciplined acquisition and partnership strategy as a key growth driver, enabling expansion beyond traditional card payments into value-added services, open banking, B2B payment flows and global digital finance infrastructure. These moves help diversify revenues, strengthen margins and deepen MA’s global ecosystem through powerful network effects.
In recent years, Mastercard has acquired and partnered with companies that enhance its capabilities in high-growth, recurring-revenue areas. Notably, its $2.65 billion acquisition of threat-intelligence firm Recorded Future boosted its cybersecurity offerings, while the purchase of Minna Technologies expanded its subscription-management and digital-service capabilities, further strengthening its data, security and tech-driven services portfolio.
Mastercard has strategically used acquisitions like Dynamic Yield and Baffin Bay Networks while strengthening offerings in subscription and digital asset management.
It has deepened global partnerships with Pluto, ADGM, Corpay, The Clearing House, Equity Bank, and stc pay to drive B2B and cross-border solutions. Collaborations with Fiserv, Chainlink and Thunes further enhance access to stablecoins and crypto, reinforcing its strategy of scaling digital payments and financial services worldwide. It also collaborated with Zain Cash, Infosys, GCash, Circle, Stripe, Google, Antom, L’Oréal and FIDO Alliance to further enhance its reach and services. It is continuously collaborating with companies to enhance its services.
Thus, these reflect Mastercard’s multi-layered strategy to transform from a payments network into a fully integrated, global financial infrastructure platform.
What About MA’s Peers?
Visa (V - Free Report) continues to strengthen its market leadership through targeted acquisitions and global partnerships. Visa’s deals—from Earthport to Tink—enhance capabilities in cross-border payments and fraud prevention, while its collaborations with partners across emerging markets deepen its network and support sustained growth in global payment volumes.
American Express (AXP - Free Report) has expanded its footprint through smart acquisitions and strategic partnerships. AXP’s deals—such as Kabbage, Tock, Rooam and Center ID—enhance SMB lending and payment tools, while its alliances with major brands like Delta, Hilton, Amazon and Point.me bolster loyalty and broaden its market reach.
MA’s Price Performance
Shares of MA have gained 3% year to date, outperforming the industry.
Image Source: Zacks Investment Research
MA’s Expensive Valuation
Mastercard trades at a forward 12-month price-to-earnings ratio of 28.8, above the industry average of 20.02. It carries a Value Score of D.
Image Source: Zacks Investment Research
No Estimate Movement for MA
The Zacks Consensus Estimate for MA’s fourth-quarter 2025 EPS and first-quarter 2026 EPS witnessed no movement in the last seven days. The same holds true for full-year 2025 and 2026 estimates.
Image Source: Zacks Investment Research
The consensus estimate for MA’s 2025 and 2026 revenues and EPS indicates year-over-year increases.
Image: Bigstock
Are Buyouts and Partnerships Powering Mastercard's Long-Term Growth?
Key Takeaways
Mastercard Inc. (MA - Free Report) uses a disciplined acquisition and partnership strategy as a key growth driver, enabling expansion beyond traditional card payments into value-added services, open banking, B2B payment flows and global digital finance infrastructure. These moves help diversify revenues, strengthen margins and deepen MA’s global ecosystem through powerful network effects.
In recent years, Mastercard has acquired and partnered with companies that enhance its capabilities in high-growth, recurring-revenue areas. Notably, its $2.65 billion acquisition of threat-intelligence firm Recorded Future boosted its cybersecurity offerings, while the purchase of Minna Technologies expanded its subscription-management and digital-service capabilities, further strengthening its data, security and tech-driven services portfolio.
Mastercard has strategically used acquisitions like Dynamic Yield and Baffin Bay Networks while strengthening offerings in subscription and digital asset management.
It has deepened global partnerships with Pluto, ADGM, Corpay, The Clearing House, Equity Bank, and stc pay to drive B2B and cross-border solutions. Collaborations with Fiserv, Chainlink and Thunes further enhance access to stablecoins and crypto, reinforcing its strategy of scaling digital payments and financial services worldwide. It also collaborated with Zain Cash, Infosys, GCash, Circle, Stripe, Google, Antom, L’Oréal and FIDO Alliance to further enhance its reach and services. It is continuously collaborating with companies to enhance its services.
Thus, these reflect Mastercard’s multi-layered strategy to transform from a payments network into a fully integrated, global financial infrastructure platform.
What About MA’s Peers?
Visa (V - Free Report) continues to strengthen its market leadership through targeted acquisitions and global partnerships. Visa’s deals—from Earthport to Tink—enhance capabilities in cross-border payments and fraud prevention, while its collaborations with partners across emerging markets deepen its network and support sustained growth in global payment volumes.
American Express (AXP - Free Report) has expanded its footprint through smart acquisitions and strategic partnerships. AXP’s deals—such as Kabbage, Tock, Rooam and Center ID—enhance SMB lending and payment tools, while its alliances with major brands like Delta, Hilton, Amazon and Point.me bolster loyalty and broaden its market reach.
MA’s Price Performance
Shares of MA have gained 3% year to date, outperforming the industry.
Image Source: Zacks Investment Research
MA’s Expensive Valuation
Mastercard trades at a forward 12-month price-to-earnings ratio of 28.8, above the industry average of 20.02. It carries a Value Score of D.
Image Source: Zacks Investment Research
No Estimate Movement for MA
The Zacks Consensus Estimate for MA’s fourth-quarter 2025 EPS and first-quarter 2026 EPS witnessed no movement in the last seven days. The same holds true for full-year 2025 and 2026 estimates.
Image Source: Zacks Investment Research
The consensus estimate for MA’s 2025 and 2026 revenues and EPS indicates year-over-year increases.
MA stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.