NEW YORK (Reuters) - MasterCard shares might be a better bargain than Visa Inc , according to a report in Barron's.
The weekly newspaper said that while Visa bests MasterCard in debit-card transactions and card swipes, MasterCard's shares are less expensive than Visa's and may be a better play on an economic recovery.
MasterCard trades at 15 times its anticipated earnings, but if it begins trading at 16 times earnings, its shares could soar above $200, Barron's said.
MasterCard shares closed Friday at $185.87. Visa ended the week at $67.29.
"Recovery or no, the payment-processing industry's year-over-year comparisons will start looking better in the December quarter," Barron's said. "The underdog MasterCard should have its day."
(Reporting by Steve Eder; Editing by Christian Wiessner)
