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ACT vs MA

ACT
Enact Holdings, Inc.
NEUTRAL
Price
$40.49
Market Cap
$5.85B
Sector
Financial Services
AI Confidence
78%
MA
Mastercard Incorporated
NEUTRAL
Price
$499.66
Market Cap
$445.92B
Sector
Financial Services
AI Confidence
80%

Valuation

P/E Ratio
ACT
8.96
MA
30.28
Forward P/E
ACT
8.02
MA
22.05
P/B Ratio
ACT
1.08
MA
57.74
P/S Ratio
ACT
4.73
MA
13.6
EV/EBITDA
ACT
--
MA
22.13

Profitability

Gross Margin
ACT
73.6%
MA
100.0%
Operating Margin
ACT
75.33%
MA
57.73%
Profit Margin
ACT
54.56%
MA
45.65%
ROE
ACT
13.03%
MA
209.91%
ROA
ACT
8.48%
MA
23.72%

Growth

Revenue Growth
ACT
3.6%
MA
17.6%
Earnings Growth
ACT
15.5%
MA
24.2%

Financial Health

Debt/Equity
ACT
0.14
MA
2.56
Current Ratio
ACT
1.02
MA
1.03
Quick Ratio
ACT
0.94
MA
0.68

Dividends

Dividend Yield
ACT
2.07%
MA
0.7%
Payout Ratio
ACT
18.03%
MA
18.4%

AI Verdict

ACT NEUTRAL

ACT's Piotroski F-Score of 4/9 indicates weak financial health, signaling potential operational inefficiencies despite strong profitability. The absence of an Altman Z-Score raises concern about default risk, especially given the sector's average debt levels. While the company trades below its Graham Number ($61.88) and intrinsic value ($133.34), its current price of $40.49 reflects a significant discount, likely due to low growth and weak financial stability signals. Insider selling activity over the past six months adds bearish sentiment, and analyst consensus remains at 'hold' with limited upside. The stock's strong historical earnings surprises and high margins are offset by stagnant revenue growth and elevated peer P/E multiples.

Strengths
Exceptionally high profit margins (54.56%) and operating margins (75.33%) indicate strong pricing power and cost control
Low debt-to-equity ratio (0.14) suggests conservative capital structure and low financial leverage risk
Consistent earnings beat rate (3 out of last 4 quarters) and positive average surprise (+5.57%) reflect reliable execution
Risks
Piotroski F-Score of 4/9 is below the threshold for financial health, indicating potential red flags in operational efficiency or capital structure
No Altman Z-Score available; absence of this critical distress metric raises unquantified bankruptcy risk
Insider selling totaling $17.52M in six months signals bearish sentiment from key stakeholders
MA NEUTRAL

MA shows neutral fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Mixed signals with both opportunities and risks present.

Strengths
Strong profitability (45.6% margin)
Strong revenue growth of 17.6%
Strong ROE of 209.9%
Risks
High valuation with P/E of 30.3
Premium vs Graham Number ($56.68)
High debt burden with D/E of 2.56

Compare Another Pair

ACT vs MA: Head-to-Head Comparison

This page compares Enact Holdings, Inc. (ACT) and Mastercard Incorporated (MA) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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