cancel
Showing results for 
Search instead for 
Did you mean: 

Why is MC stock so much more valuable than Visa/Amex/Disc?

tag
nickn86
Contributor

Why is MC stock so much more valuable than Visa/Amex/Disc?

MA: $519.42/sh

V: $159.84/sh

AXP: $59.50/sh

DFS: $39.09/sh

 

MC stock goes for more than Apple nowadays...

 

Chase Sapphire Preferred - 5.6k (3/13) | Amex Premier Rewards Gold - NPSL (1/13) | Chase United MileagePlus Explorer Visa Signature - 9k (1/13) | Amex Delta Gold - 6k (9/12) | Citi Forward Visa - 10k (10/12) | Discover It - 2k (2/12) | Chase +1 Visa - $300 (2/11)
Message 1 of 8
7 REPLIES 7
OptimasPrime
Frequent Contributor

Re: Why is MC stock so much more valuable than Visa/Amex/Disc?

In terms of market cap ( share price x # of shares outstanding) a quick Google search indicates that visa is worth about 110 billion, whereas mastercard is worth about 65 billion.

 

So the short answer is that visa just has a significantly higher number of shares outstanding than mc does, which in turn dilutes the price of 1 visa share relative to mc.

EQ 778 | TU 776
Barclay US Airways WMC 7.5k | BCE 5.8k | BofA Travel Rewards 9.1k | Chase Marriott Premier 13k | Citi TYP WMC 6.5k | Freedom Visa Sig 8k| Discover it 10k
Message 2 of 8
bs6054
Valued Contributor

Re: Why is MC stock so much more valuable than Visa/Amex/Disc?

You seem to missing one important factor, a companies market capitalization is price of shares * number of shares, price tells you nothing.

 

So in fact, MC's market cap is 64.54bn, Visa is106.95bn

 

 

Edit: beaten by OptimusPrime!

Message 3 of 8
nickn86
Contributor

Re: Why is MC stock so much more valuable than Visa/Amex/Disc?

I see, I see. 

 

Shows how little this lawyer knows about finance...

Chase Sapphire Preferred - 5.6k (3/13) | Amex Premier Rewards Gold - NPSL (1/13) | Chase United MileagePlus Explorer Visa Signature - 9k (1/13) | Amex Delta Gold - 6k (9/12) | Citi Forward Visa - 10k (10/12) | Discover It - 2k (2/12) | Chase +1 Visa - $300 (2/11)
Message 4 of 8
cashnocredit
Valued Contributor

Re: Why is MC stock so much more valuable than Visa/Amex/Disc?


@nickn86 wrote:

MA: $519.42/sh

V: $159.84/sh

AXP: $59.50/sh

DFS: $39.09/sh

 

MC stock goes for more than Apple nowadays...

 


It's not.The price of a share is not, itself, proportional to the value of an enterprise. You have to multiply it by the number of shares outstanding.  V is worth about 80% more than MA.

 

Oops. I see others covered it.  Need to read ahead.


I have reestablished credit over the last couple years
so my moniker is, well, rather out of date.

WM Discover $1800, WF Plat 12k, Chase Freedom Siggy18k, Amex Plat (60k H/B), Citi AA EWMC 25k
Message 5 of 8
jake619
Frequent Contributor

Re: Why is MC stock so much more valuable than Visa/Amex/Disc?

Changes to Surcharging Fees in the United States

Beginning January 27, 2013, merchants in the United States and U.S. Territories will be permitted to impose a surcharge on consumers when they use a credit card.

 

The rest of the story is here.     Monday could be interesting...

Message 6 of 8
creditnocash
Valued Contributor

Re: Why is MC stock so much more valuable than Visa/Amex/Disc?

It doesn't effect a certain amount of states including Cali, Florida, and Massachusetts a few others Already many threads about this

(Sorry couldn't quote while I'm on my phone)


Current: Fico ScoresEQ~706 TU~719 EX 709 4/28/23

Inquiries (24 Months): EQ 0 TU 0 EX 0| Most Recent: A LONG WHILE
Over 12 Months:0


2023 Goals:
Buy A Home
Earn Cash Back

Amex Zync(Unicorn)
Chase Freedom$1500
Discover IT$7,400
Citi DC $10,000
Citizens Mastercard$7,000

Message 7 of 8
jake619
Frequent Contributor

Re: Why is MC stock so much more valuable than Visa/Amex/Disc?


@creditnocash wrote:
It doesn't effect a certain amount of states including Cali, Florida, and Massachusetts a few others Already many threads about this

(Sorry couldn't quote while I'm on my phone)

You are correct, old news.  I was associating it to the stock topic and how this *may* have an effect on their valuation.

Message 8 of 8
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.