Union Bancaire Privee UBP SA Sells 27,035 Shares of Visa Inc. $V

Key Points

• Union Bancaire Privee UBP SA trimmed its Visa stake by 5% in the first quarter, selling 27,035 shares and leaving it with 511,436 shares valued at about $155.7 million.
• Visa reported better-than-expected quarterly results, with EPS of $3.31 versus the $3.10 consensus and revenue of $11.23 billion, up 17.1% from a year earlier.
• The company also approved a $20 billion share repurchase program and paid a quarterly dividend of $0.67 per share, while analysts continue to rate the stock favorably with a consensus target price of $387.78.

Union Bancaire Privee UBP SA lessened its stake in Visa Inc. (NYSE:V - Free Report) by 5.0% in the 1st quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 511,436 shares of the credit-card processor's stock after selling 27,035 shares during the quarter. Visa makes up about 2.6% of Union Bancaire Privee UBP SA's portfolio, making the stock its 9th biggest holding. Union Bancaire Privee UBP SA's holdings in Visa were worth $155,669,000 as of its most recent filing with the SEC.

A number of other large investors also recently added to or reduced their stakes in V. Invariant Investment Management acquired a new stake in shares of Visa in the fourth quarter worth approximately $969,000. Vanguard Group Inc. raised its stake 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 purchasing an additional 1,054,343 shares during the last quarter. Swiss Life Asset Management Ltd lifted its holdings in Visa by 4.7% in the 3rd quarter. Swiss Life Asset Management Ltd now owns 527,530 shares of the credit-card processor's stock valued at $180,088,000 after purchasing an additional 23,863 shares in the last quarter. Savvy Advisors Inc. lifted its holdings in Visa by 30.1% in the 4th quarter. Savvy Advisors Inc. now owns 28,922 shares of the credit-card processor's stock valued at $10,143,000 after purchasing an additional 6,688 shares in the last quarter. Finally, Ticino Wealth acquired a new stake in Visa during the 4th quarter worth $1,837,000. 82.15% of the stock is currently owned by institutional investors and hedge funds.

Visa Price Performance

NYSE:V opened at $336.96 on Monday. Visa Inc. has a 52 week low of $293.89 and a 52 week high of $359.66. The stock's fifty day moving average is $323.36 and its two-hundred day moving average is $324.29. The company has a market capitalization of $604.43 billion, a P/E ratio of 29.35, a P/E/G ratio of 1.80 and a beta of 0.77. 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 (NYSE:V - Get Free Report) last released its quarterly earnings results on Tuesday, April 28th. The credit-card processor reported $3.31 earnings per share for the quarter, topping analysts' consensus estimates of $3.10 by $0.21. The business had revenue of $11.23 billion during the quarter, compared to analysts' expectations of $10.75 billion. Visa had a return on equity of 65.00% and a net margin of 51.68%.The company's revenue was up 17.1% compared to the same quarter last year. During the same period in the prior year, the business posted $2.76 EPS. Equities analysts expect that Visa Inc. will post 13.09 EPS for the current year.

Visa declared that its board has approved a share repurchase program on Tuesday, April 28th that permits the company to buyback $20.00 billion in outstanding shares. This buyback authorization permits the credit-card processor to purchase up to 3.6% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's leadership believes its shares are undervalued.

Visa Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, June 1st. Shareholders of record on Tuesday, May 12th were paid a dividend of $0.67 per share. This represents a $2.68 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend was Tuesday, May 12th. Visa's dividend payout ratio (DPR) is 23.34%.

Key Visa News

Here are the key news stories impacting Visa this week:

• Positive Sentiment: Visa launched Visa Destinations, a global travel platform now live in 10 major markets, designed to engage cardholders earlier in the travel journey and deepen use of Visa’s network through curated experiences and exclusive access. Visa Redefines Its Role in Travel With the Global Launch of Visa Destinations
• Positive Sentiment: Visa expanded Visa Cloud Connect with Mintoak and Thredd in Asia Pacific, which could help fintechs and banks issue cards faster and broaden Visa’s reach in merchant SaaS and cloud-based issuing. Visa (V), Mintoak Partner to Expand Merchant SaaS Offerings Across Asia Pacific
• Positive Sentiment: Analysts are highlighting Visa’s new travel push and international expansion efforts as potential future growth drivers, reinforcing the view that Visa can keep monetizing cross-border spending and travel-related activity. Can Visa's New Travel Play Become Its Next Growth Driver?
• Neutral Sentiment: Several recent write-ups on Visa’s travel and partner initiatives are largely descriptive, but they underscore investor focus on whether these new products can meaningfully add to growth over time. Visa Explores Travel Planning Space With Visa Destinations
• Neutral Sentiment: One opinion piece argued Visa could be vulnerable to payment disruption, but it did not include new fundamental data and appears to be more of a long-term risk discussion than a near-term catalyst. Visa: May Be Next On The Disruption Hit List

Insider Activity

In other news, CEO Ryan Mcinerney sold 31,455 shares of the company's stock in a transaction that occurred on 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 transaction, the chief executive officer directly owned 15,174 shares in the company, valued at approximately $5,161,284.36. This represents a 67.46% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed 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 company's stock in a transaction that occurred on Tuesday, May 12th. The stock was 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 owned 9,872 shares in the company, valued at approximately $3,206,524.32. This represents a 51.87% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.12% of the company's stock.

Analysts Set New Price Targets

V has been the subject of a number of research reports. Bank of America started coverage on shares of Visa in a report on Thursday, March 5th. They set a "buy" rating and a $410.00 target price for the company. Loop Capital assumed coverage on shares of Visa in a research report on Tuesday, March 31st. They set a "buy" rating and a $387.00 price target on the stock. Truist Financial set a $371.00 price objective on shares of Visa and gave the company a "buy" rating in a research note on Tuesday, May 12th. Oppenheimer reiterated an "outperform" rating and issued a $403.00 price objective (up from $391.00) on shares of Visa in a report on Wednesday, April 29th. Finally, Raymond James Financial reissued an "outperform" rating and issued a $389.00 target price on shares of Visa in a research note on Wednesday, April 29th. Six investment analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Buy" and a consensus target price of $387.78.

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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