Mastercard shares fell 2.1% Thursday despite beating first-quarter expectations. The stock’s prior rally meant the report generated little excitement.
Adjusted earnings per share were $4.60, beating the analyst estimate of $4.41 and up from $3.73 a year ago. Revenue reached $8.4 billion, a 16% increase from last year and higher than the $8.26 billion expected by Wall Street.
After a 3.5% jump on Wednesday, boosted by Visa’s results, investors expected strong news, so Thursday’s slight beat didn’t lift optimism.
Operating expenses rose 13% from last year, mainly due to higher administrative costs and a restructuring charge.
Mastercard shares are down 3.9% year-to-date, lagging the market. Investors now want faster growth before buying.
