2,649 Visa Inc. $V Shares Sold by Motley Fool Asset Management LLC

Key Points

• Motley Fool Asset Management reduced its Visa position by 1.9%, selling 2,649 shares and retaining 139,647 shares valued at approximately $50.2 million. Institutional investors and hedge funds collectively own 82.15% of Visa.
• Visa reported strong quarterly results, with adjusted EPS of $3.48 and revenue of $12.14 billion, up 13.2% year over year and ahead of analyst expectations. The company also raised its quarterly dividend 16.4% to $0.78 per share.
• Analysts remain broadly positive, with Visa carrying a consensus “Buy” rating and a $437.42 target price, though higher expenses, premium valuation and a potential £5 billion U.K. lawsuit represent key risks.

Motley Fool Asset Management LLC decreased its position in Visa Inc. (NYSE:V - Free Report) by 1.9% in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 139,647 shares of the credit-card processor's stock after selling 2,649 shares during the period. Visa makes up about 1.9% of Motley Fool Asset Management LLC's portfolio, making the stock its 13th biggest holding. Motley Fool Asset Management LLC's holdings in Visa were worth $50,179,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the company. John Boyer Inc. acquired a new position in shares of Visa in the third quarter valued at about $27,000. Philadelphia Investment Partners LLC acquired a new stake in shares of Visa during the second quarter worth about $29,000. Virtus Advisers LLC acquired a new stake in shares of Visa during the second quarter worth about $33,000. Portfolio Resources Advisor Group Inc. acquired a new stake in shares of Visa during the third quarter worth about $35,000. Finally, DecisionPoint Financial LLC boosted its position in Visa by 307.7% in the third quarter. DecisionPoint Financial LLC now owns 106 shares of the credit-card processor's stock valued at $38,000 after buying an additional 80 shares during the last quarter. Institutional investors and hedge funds own 82.15% of the company's stock.

Key Stories Impacting Visa

Here are the key news stories impacting Visa this week:

• Positive Sentiment: Visa reported adjusted earnings of $3.48 per share, exceeding the $3.43 consensus estimate, while revenue rose 13.2% year over year to $12.14 billion, ahead of expectations. Growth was supported by higher payment volumes, cross-border activity and processed transactions. Visa Q4 Earnings Beat Estimates on Strong Payment Volumes
• Positive Sentiment: Management highlighted resilient consumer spending, international payment growth, value-added services and stablecoin initiatives, while targeting double-digit revenue growth for fiscal 2027. Commentary that the U.S. consumer is holding up supports Visa’s near-term transaction outlook. Visa Q4 Earnings Call Highlights FY27 Outlook and Growth Priorities
• Positive Sentiment: Visa raised its quarterly dividend to $0.78 per share from $0.67, a 16.4% increase. The higher payout signals confidence in cash generation and strengthens the shareholder-return story, despite the stock’s relatively low 0.8% dividend yield.
• Positive Sentiment: JPMorgan raised its price target to $455, Barclays to $440 and Oppenheimer to $440, while RBC reaffirmed an “outperform” rating with a $466 target. The revisions reflect confidence in Visa’s earnings momentum and long-term growth prospects.
• Neutral Sentiment: Analysts cited Visa’s results as a favorable read-through for Mastercard, particularly on consumer spending and international transactions. This reinforces the health of the payments industry but offers only indirect benefit to Visa. Analyst Signals Favorable Earnings Setup for Mastercard After Visa’s Results
• Negative Sentiment: Higher client incentives and expenses, along with slightly slower payment-volume growth, could temper the earnings reaction. Visa’s premium valuation also leaves less room for execution disappointments.
• Negative Sentiment: Visa faces a collective lawsuit in the United Kingdom seeking about £5 billion on behalf of roughly one million businesses. The claim alleges excessive interchange fees and competition-law violations, creating a potentially significant legal and regulatory overhang. Visa Is Defending a UK Card Fee Lawsuit

Wall Street Analyst Weigh In

V has been the topic of several research reports. Weiss Ratings downgraded shares of Visa from a "buy (b+)" rating to a "buy (b)" rating in a report on Wednesday. Morgan Stanley restated an "overweight" rating and set a $471.00 price objective (up from $416.00) on shares of Visa in a research note on Wednesday. UBS Group reaffirmed a "buy" rating and issued a $420.00 price objective (up from $410.00) on shares of Visa in a report on Wednesday, July 29th. Wells Fargo & Company reiterated an "overweight" rating and issued a $432.00 price objective (up from $412.00) on shares of Visa in a research note on Thursday, July 30th. Finally, Wolfe Research reiterated an "outperform" rating and issued a $460.00 price objective (up from $435.00) on shares of Visa in a research note on Tuesday, August 25th. Two research analysts have rated the stock with a Strong Buy rating and thirty-five have assigned a Buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Buy" and a consensus target price of $437.42.

Insider Activity at Visa

In related news, CEO Ryan Mcinerney sold 5,875 shares of the stock in a transaction on Friday, August 21st. The shares were sold at an average price of $367.87, for a total transaction of $2,161,236.25. Following the sale, the chief executive officer directly owned 15,174 shares of the company's stock, valued at approximately $5,582,059.38. This represents a 27.91% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Julie B. Rottenberg sold 2,028 shares of the firm's stock in a transaction on Monday, August 31st. The shares were sold at an average price of $381.35, for a total transaction of $773,377.80. Following the sale, the general counsel owned 18,404 shares in the company, valued at approximately $7,018,365.40. This represents a 9.93% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 21,520 shares of company stock valued at $7,960,757. Insiders own 0.12% of the company's stock.

Visa Stock Down 0.3%

Visa stock opened at $400.79 on Thursday. The business's 50-day moving average price is $379.47 and its 200 day moving average price is $341.60. The company has a quick ratio of 0.99, a current ratio of 0.99 and a debt-to-equity ratio of 0.60. The firm has a market cap of $715.18 billion, a price-to-earnings ratio of 34.08, a price-to-earnings-growth ratio of 1.92 and a beta of 0.77. Visa Inc. has a 52 week low of $293.89 and a 52 week high of $414.60.

Visa (NYSE:V - Get Free Report) last announced its quarterly earnings results on Tuesday, October 27th. The credit-card processor reported $3.48 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.44 by $0.04. Visa had a return on equity of 67.68% and a net margin of 50.78%. The company had revenue of $12.14 billion during the quarter, compared to the consensus estimate of $12.09 billion. During the same period in the previous year, the company posted $2.98 earnings per share. Visa's revenue for the quarter was up 13.2% on a year-over-year basis. As a group, sell-side analysts anticipate that Visa Inc. will post 13.22 earnings per share for the current year.

Visa Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, December 1st. Stockholders of record on Tuesday, November 10th will be issued a dividend of $0.78 per share. This is a positive change from Visa's previous quarterly dividend of $0.67. The ex-dividend date of this dividend is Tuesday, November 10th. This represents a $3.12 annualized dividend and a dividend yield of 0.8%. Visa's payout ratio is presently 22.79%.

About Visa

Visa Inc NYSE: V is a global payments technology company that facilitates electronic payments between consumers, businesses, financial institutions and governments. Through its VisaNet network, the company authorizes, clears and settles transactions made with Visa-branded credit, debit and prepaid cards, while generally not issuing cards, extending credit or setting cardholder account terms.

Visa provides payment products and services for consumer, commercial and government payments, as well as digital commerce and money movement.

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