Motley Fool’s 5 High-Growth Stock Picks

In this article, we will list the Motley Fool’s 5 High-Growth Stock Picks. Please visit Motley Fool’s 10 High-Growth Stock Picks if you would like to see the extended list and the methodology behind it.

5. Mastercard Incorporated (NYSE:MA)

Stock Upside Potential: 36.07%

Number of Hedge Fund Holders: 150

Motley Asset Management’s Equity Stake: $68.68 Million

Mastercard Incorporated (NYSE:MA) is one of the Motley Fool’s high-growth stock picks. On March 26, Financial Times reported that Mastercard Incorporated (NYSE:MA) is exploring selling a real payment unit it purchased in 2019.

The unit offers payments between accounts in Europe and generates $370 million in annual revenue and $100 million in earnings. Mastercard acquired the unit from Denmark’s Nets Group as it sought to shift from a card payments company to a multi-rail payments group.

The company has reportedly hired investment bankers as the unit could draw interest from private equity groups. While Mastercard acquired the unit for $3.2 billion in 2019, it could fetch a lower valuation on a potential sale.

The divestment would affirm the company’s push into stablecoin infrastructure and stablecoin-based transfers. The company is increasingly pivoting into the emerging crypto and blockchain sector, driven by improving regulatory clarity and surging adoption. Mastercard has already begun refocusing its investment priorities, having announced plans to lay off 4% of its workforce earlier this year.

Mastercard Incorporated (NYSE:MA) is a global technology company in the payments industry that acts as a fast, secure network connecting consumers, financial institutions (banks), merchants, governments, and businesses. It does not issue cards, extend credit, or set rates for consumers; instead, it processes transactions and provides value-added services.