Mastercard Deepens Corpay Alliance to Boost Cross-Border Flows

Mastercard Incorporated MA has recently expanded its partnership with Corpay, a payments software and services provider, to bring its near real-time cross-border payments into 22 additional markets in Asia, Africa, Europe, Latin America and the Middle East. This isn’t just about expanding geographic reach; it’s a strategic step into the heart of the rapidly expanding global B2B money movement. With cross-border payments projected to top $250 trillion by 2027, the stakes are enormous.At the end of April, Mastercard deepened the alliance by investing about $300 million for a roughly 3% stake in Corpay’s cross-border business. The move provided not only equity exposure but also a tighter operational link to a trusted partner. This aligns with Mastercard’s increasing focus on international transactions, which are becoming a stronger driver of growth. In the second quarter alone, its cross-border volumes climbed 15% year over year on a local currency basis, signaling strong momentum.Businesses today demand faster settlement, better transparency on fees and more predictability on currency conversions. Traditionally, international wire transfers are slow and costly. By offering near real-time options through Corpay, Mastercard is directly addressing a pain point that affects enterprises of all sizes, from small merchants to large corporations. That builds loyalty and positions Mastercard as a solutions provider rather than just a network.Cross-border flows yield higher margins than domestic transactions, and every new market adds profitable scale. Corpay’s institutional clients further boost Mastercard Move volumes, while exclusivity in large-ticket and risk-management services ensures sticky, high-value revenue streams. This partnership strengthens Mastercard’s control of a lucrative, underpenetrated market while steadily enhancing recurring income.How Are Peers Playing the Cross-border Game?Major rival Visa Inc. V is building infrastructure to facilitate instant money transfers for both businesses and consumers, while The Western Union Company WU is modernizing its remittance stronghold and digitizing its network.Visa is leveraging its global payment rails, especially through Visa Direct, which enables real-time push payments to cards, bank accounts and wallets. This has become a key driver for cross-border person-to-person and business-to-consumer payouts. Meanwhile, Western Union’s deep physical presence in emerging markets and growing digital footprint make it resilient in person-to-person transfers. Last month, WU agreed to acquire Intermex for around $500 million to boost its capabilities.Mastercard’s Price Performance, Valuation and EstimatesShares of Mastercard have gained 7.3% year to date, outperforming the broader industry’s 0.1% growth. Image Source: Zacks Investment ResearchFrom a valuation standpoint, Mastercard trades at a forward price-to-earnings ratio of 30.85X, higher than the industry average. Mastercard carries a Value Score of D. Image Source: Zacks Investment ResearchThe Zacks Consensus Estimate for Mastercard’s 2025 earnings implies an 11.8% rise year over year, followed by 16.5% growth next year. Image Source: Zacks Investment ResearchThe stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They includeStock #1: A Disruptive Force with Notable Growth and ResilienceStock #2: Bullish Signs Signaling to Buy the DipStock #3: One of the Most Compelling Investments in the MarketStock #4: Leader In a Red-Hot Industry Poised for GrowthStock #5: Modern Omni-Channel Platform Coiled to SpringMost of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.Download Atomic Opportunity: Nuclear Energy's Comeback free today.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Mastercard Incorporated (MA): Free Stock Analysis Report Visa Inc. (V): Free Stock Analysis Report The Western Union Company (WU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks