MasterCard's Stock Rises Premarket After Profit, Sales Beat

MasterCard's stock rose 2% in premarket trade Thursday, after the credit-card company reported third-quarter profit and sales that beat expectations. For the quarter ended Sept. 30, earnings rose to $1.02 billion, or 87 cents a share, from $879 million, or 73 cents a share, in the year-earlier period. Acquisitions reduced earnings per share in the latest quarter by 2 cents. Revenue increased by 13% to $2.5 billion, as purchase volume grew 11%. The results exceeded the average analyst estimates compiled by FactSet for earnings of 78 cents a share and revenue of $2.45 billion. "We...continue to invest and partner to make payments safer, easier and faster," said Chief Executive Ajay Banga. "Within the past two months alone, we opened our new technology hub in New York City, delivered our technology and security protocols as part of the launch of Apple Pay and partnered with the Transport for London to deliver contactless payments system-wide." The stock has lost 9% so far this year through Wednesday, compared with a 7.2% gain in the S&P 500.