Meridian Management Co. Boosts Stake in Visa Inc. $V

Key Points

• Meridian Management Co. increased its Visa stake by 30.2% in the fourth quarter, adding 3,320 shares and bringing its total to 14,326 shares worth about $5.0 million.
• Visa reported strong quarterly results, with earnings of $3.31 per share and revenue of $11.23 billion, both beating analyst expectations. Revenue also rose 17.1% from a year earlier.
• The company’s board approved a $20 billion share buyback and Visa also recently paid a quarterly dividend of $0.67 per share, underscoring shareholder returns.

Meridian Management Co. lifted its stake in Visa Inc. (NYSE:V - Free Report) by 30.2% in the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 14,326 shares of the credit-card processor's stock after purchasing an additional 3,320 shares during the period. Visa accounts for approximately 1.2% of Meridian Management Co.'s holdings, making the stock its 26th largest position. Meridian Management Co.'s holdings in Visa were worth $5,024,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently modified their holdings of V. Clayton Financial Group LLC increased its stake in Visa by 446.2% in the 4th quarter. Clayton Financial Group LLC now owns 71 shares of the credit-card processor's stock worth $25,000 after buying an additional 58 shares in the last quarter. PayPay Securities Corp increased its stake in Visa by 102.7% in the 4th quarter. PayPay Securities Corp now owns 75 shares of the credit-card processor's stock worth $26,000 after buying an additional 38 shares in the last quarter. Cresta Advisors Ltd. purchased a new stake in Visa in the 4th quarter worth $26,000. Parvin Asset Management LLC increased its stake in Visa by 200.0% in the 3rd quarter. Parvin Asset Management LLC now owns 75 shares of the credit-card processor's stock worth $26,000 after buying an additional 50 shares in the last quarter. Finally, Dorato Capital Management purchased a new stake in Visa in the 4th quarter worth $30,000. 82.15% of the stock is currently owned by hedge funds and other institutional investors.

Visa Trading Down 1.7%

Shares of Visa stock opened at $317.36 on Wednesday. The firm has a market cap of $569.27 billion, a price-to-earnings ratio of 27.64, a PEG ratio of 1.72 and a beta of 0.77. The business has a 50-day moving average price of $315.33 and a 200-day moving average price of $324.87. The company has a quick ratio of 1.09, a current ratio of 1.09 and a debt-to-equity ratio of 0.64. Visa Inc. has a twelve month low of $293.89 and a twelve month high of $375.51.

Visa (NYSE:V - Get Free Report) last issued its quarterly earnings data on Tuesday, April 28th. The credit-card processor reported $3.31 earnings per share for the quarter, beating analysts' consensus estimates of $3.10 by $0.21. The firm had revenue of $11.23 billion during the quarter, compared to analyst estimates of $10.75 billion. Visa had a return on equity of 65.00% and a net margin of 51.68%.The business's quarterly revenue was up 17.1% compared to the same quarter last year. During the same quarter last year, the business posted $2.76 earnings per share. Equities research analysts anticipate that Visa Inc. will post 13.09 EPS for the current fiscal year.

Visa declared that its Board of Directors has approved a share buyback plan on Tuesday, April 28th that allows the company to repurchase $20.00 billion in shares. This repurchase authorization allows the credit-card processor to buy up to 3.6% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company's management believes its shares are undervalued.

Visa Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, June 1st. Investors of record on Tuesday, May 12th were issued a $0.67 dividend. The ex-dividend date of this dividend was Tuesday, May 12th. This represents a $2.68 dividend on an annualized basis and a dividend yield of 0.8%. Visa's dividend payout ratio (DPR) is presently 23.34%.

Insider Activity at Visa

In related news, CEO Ryan Mcinerney sold 31,455 shares of the stock in a transaction dated Wednesday, April 29th. The shares were sold at an average price of $340.14, for a total value of $10,699,103.70. Following the completion of the transaction, the chief executive officer owned 15,174 shares of the company's stock, valued at approximately $5,161,284.36. This trade represents a 67.46% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Chris Suh sold 10,639 shares of the stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $324.81, for a total transaction of $3,455,653.59. Following the completion of the transaction, the chief financial officer directly owned 9,872 shares of the company's stock, valued at approximately $3,206,524.32. The trade was a 51.87% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 42,744 shares of company stock valued at $14,356,010. Insiders own 0.12% of the company's stock.

Visa News Roundup

Here are the key news stories impacting Visa this week:

• Positive Sentiment: Visa expanded its Commercial Solutions Hub by adding Visa Accounts Receivable Manager, a move that could boost adoption of virtual cards, speed up B2B payment cycles, and improve reconciliation for issuers and suppliers across 69 geographies at no added cost. Visa’s Expanded AI-Powered Receivables Hub Might Change The Case For Investing In Visa (V)
• Positive Sentiment: Another report on the same expansion framed it as a broader B2B automation push, suggesting Visa is removing frictions in commercial payments and reinforcing its long-term value proposition. Visa (V) Announces Expansion of the Visa Commercial Solutions Hub
• Positive Sentiment: Commentary from investors and market outlets continued to argue that Visa looks attractive after a year of underperformance, with some noting the company’s durable fee model and lower valuation as reasons to buy or hold. Visa at $326, Mastercard at $493: Buy, Sell or Hold?
• Neutral Sentiment: Industry coverage on payment sovereignty, cross-border payment efficiency, and digital payment ecosystem trends kept Visa in the spotlight, but these pieces were mostly sector-level commentary rather than direct company-specific catalysts. Payment sovereignty and the relationship with cash
• Neutral Sentiment: Other mentions, including Visa’s association with crypto and payments infrastructure discussions and Nubank hiring a former Visa executive as CFO, were more indirect and did not signal an immediate operational change for Visa itself. Western Union, Visa, PayPal, Meta: why major payments giants are racing to Solana

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on V. Freedom Capital upgraded Visa from a "hold" rating to a "strong-buy" rating in a research note on Monday, February 16th. Evercore set a $350.00 price target on Visa in a research note on Wednesday, April 29th. Cantor Fitzgerald reiterated an "overweight" rating and issued a $400.00 price target on shares of Visa in a research note on Wednesday, April 29th. Citigroup cut their price target on Visa from $450.00 to $400.00 and set a "buy" rating for the company in a research note on Tuesday, April 14th. Finally, Morgan Stanley reiterated an "overweight" rating and issued a $415.00 price target on shares of Visa in a research note on Wednesday, April 29th. Six investment analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, Visa currently has a consensus rating of "Buy" and a consensus price target of $389.33.

Visa Company Profile

Visa Inc is a global payments technology company that facilitates electronic funds transfers and digital commerce by connecting consumers, merchants, financial institutions and governments. The firm operates one of the world's largest payment networks, providing processing, authorization, clearing and settlement services for credit, debit and prepaid card transactions. Visa's network-based model enables partner banks and other issuers to offer branded payment products while Visa focuses on the infrastructure, standards and technologies that move money securely and efficiently around the world.

Visa's product and service portfolio includes card-based payment products for consumers and businesses, real-time push-payment capabilities, tokenization and authentication services, fraud and risk-management tools, data analytics and APIs for fintech and merchant integration.

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