Robinhood Asset Management LLC Purchases Shares of 33,621 Visa Inc. $V

Key Points

• Robinhood Asset Management initiated a Visa position by purchasing 33,621 shares valued at approximately $11.5 million. Institutional investors collectively own 82.15% of Visa’s outstanding stock.
• Analysts remain bullish, with Visa carrying a consensus “Buy” rating and an average price target of $413.58; several firms recently raised their targets or issued “Strong Buy” ratings.
• Visa exceeded quarterly expectations, reporting $3.32 in EPS and $11.63 billion in revenue, while also authorizing a $20 billion share buyback and declaring a quarterly dividend of $0.67 per share.

Robinhood Asset Management LLC bought a new stake in shares of Visa Inc. (NYSE:V - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The fund bought 33,621 shares of the credit-card processor's stock, valued at approximately $11,535,000.

A number of other institutional investors also recently added to or reduced their stakes in the business. Vanguard Group Inc. grew its position in Visa by 0.7% in the 4th quarter. Vanguard Group Inc. now owns 160,975,832 shares of the credit-card processor's stock valued at $56,455,834,000 after buying an additional 1,054,343 shares in the last quarter. State Street Corp increased its stake in Visa by 0.8% during the 4th quarter. State Street Corp now owns 82,798,151 shares of the credit-card processor's stock valued at $29,038,140,000 after buying an additional 626,821 shares during the period. Geode Capital Management LLC raised its position in shares of Visa by 0.9% during the 4th quarter. Geode Capital Management LLC now owns 44,042,586 shares of the credit-card processor's stock worth $15,411,395,000 after buying an additional 388,996 shares in the last quarter. Price T Rowe Associates Inc. MD raised its position in shares of Visa by 1.8% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 41,092,294 shares of the credit-card processor's stock worth $14,411,480,000 after buying an additional 716,218 shares in the last quarter. Finally, Bank of America Corp DE lifted its stake in shares of Visa by 1.7% in the 4th quarter. Bank of America Corp DE now owns 23,835,336 shares of the credit-card processor's stock worth $8,359,291,000 after acquiring an additional 398,459 shares during the period. Institutional investors and hedge funds own 82.15% of the company's stock.

Insider Activity

In other news, insider Tullier Kelly Mahon sold 57,272 shares of the stock in a transaction on Thursday, July 30th. The shares were sold at an average price of $364.97, for a total transaction of $20,902,561.84. Following the transaction, the insider owned 49,662 shares in the company, valued at $18,125,140.14. This represents a 53.56% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, General Counsel Julie B. Rottenberg sold 2,027 shares of the firm's stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $360.00, for a total transaction of $729,720.00. Following the transaction, the general counsel owned 18,404 shares in the company, valued at $6,625,440. This represents a 9.92% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 90,759 shares of company stock worth $32,375,779 in the last three months. 0.12% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

Several brokerages recently commented on V. Truist Financial set a $406.00 target price on Visa and gave the stock a "buy" rating in a report on Wednesday, August 5th. Robert W. Baird increased their price target on Visa from $412.00 to $420.00 and gave the company an "outperform" rating in a research note on Wednesday, July 29th. BMO Capital Markets lifted their price target on Visa from $387.00 to $405.00 and gave the company an "outperform" rating in a research report on Wednesday, July 29th. Raymond James Financial reiterated an "outperform" rating and set a $406.00 price target on shares of Visa in a research report on Wednesday, July 29th. Finally, Clear Str raised Visa to a "strong-buy" rating in a research note on Thursday, July 16th. Seven investment analysts have rated the stock with a Strong Buy rating and twenty-four have issued a Buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Buy" and a consensus price target of $413.58.

Visa Price Performance

Shares of NYSE:V opened at $371.09 on Friday. The company's fifty day moving average is $353.73 and its two-hundred day moving average is $329.64. The company has a quick ratio of 0.99, a current ratio of 0.99 and a debt-to-equity ratio of 0.60. Visa Inc. has a 12-month low of $293.89 and a 12-month high of $373.97. The company has a market cap of $662.18 billion, a P/E ratio of 31.56, a price-to-earnings-growth ratio of 1.96 and a beta of 0.74.

Visa (NYSE:V - Get Free Report) last posted its quarterly earnings results on Tuesday, July 28th. The credit-card processor reported $3.32 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $3.23 by $0.09. The business had revenue of $11.63 billion during the quarter, compared to analyst estimates of $11.40 billion. Visa had a net margin of 50.78% and a return on equity of 67.68%. The firm's revenue was up 14.4% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.98 earnings per share. Equities analysts expect that Visa Inc. will post 13.16 earnings per share for the current fiscal year.

Visa declared that its board has authorized a stock buyback plan on Tuesday, April 28th that authorizes the company to buyback $20.00 billion in outstanding shares. This buyback authorization authorizes the credit-card processor to repurchase up to 3.6% of its stock through open market purchases. Stock buyback plans are usually an indication that the company's board of directors believes its shares are undervalued.

Visa Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Tuesday, August 11th will be paid a dividend of $0.67 per share. The ex-dividend date of this dividend is Tuesday, August 11th. This represents a $2.68 dividend on an annualized basis and a dividend yield of 0.7%. Visa's dividend payout ratio (DPR) is 22.79%.

About Visa

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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