Visa Inc. $V Holdings Boosted by Wealthfront Advisers LLC

Key Points

• Wealthfront Advisers LLC increased its Visa stake by 2.0% in the first quarter, ending with 195,150 shares worth about $58.98 million.
• Visa reported strong quarterly results, with EPS of $3.31 beating estimates and revenue of $11.23 billion topping forecasts; revenue also rose 17.1% year over year.
• The company authorized a $20 billion share buyback and recently paid a quarterly dividend of $0.67 per share, while analysts remain broadly bullish with a consensus “Buy” rating and an average target price near $398.87.

Wealthfront Advisers LLC boosted its stake in shares of Visa Inc. (NYSE:V - Free Report) by 2.0% in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 195,150 shares of the credit-card processor's stock after purchasing an additional 3,850 shares during the quarter. Wealthfront Advisers LLC's holdings in Visa were worth $58,982,000 at the end of the most recent reporting period.

Other institutional investors have also recently added to or reduced their stakes in the company. Clayton Financial Group LLC grew its position in shares of Visa by 446.2% during the fourth quarter. Clayton Financial Group LLC now owns 71 shares of the credit-card processor's stock worth $25,000 after acquiring an additional 58 shares during the last quarter. PayPay Securities Corp lifted its position in Visa by 102.7% in the 4th quarter. PayPay Securities Corp now owns 75 shares of the credit-card processor's stock valued at $26,000 after purchasing an additional 38 shares during the last quarter. Cresta Advisors Ltd. acquired a new position in Visa during the 4th quarter valued at about $26,000. Parvin Asset Management LLC boosted its stake in Visa by 200.0% during the 3rd quarter. Parvin Asset Management LLC now owns 75 shares of the credit-card processor's stock valued at $26,000 after purchasing an additional 50 shares during the period. Finally, Dorato Capital Management bought a new position in Visa in the 4th quarter worth about $30,000. 82.15% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several equities research analysts have commented on the stock. Truist Financial set a $371.00 price target on shares of Visa and gave the company a "buy" rating in a research note on Tuesday, May 12th. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $400.00 target price on shares of Visa in a research note on Wednesday, April 29th. Sanford C. Bernstein reiterated an "outperform" rating and set a $450.00 price target on shares of Visa in a research report on Tuesday, June 2nd. Oppenheimer reissued an "outperform" rating and set a $403.00 price target (up from $391.00) on shares of Visa in a report on Wednesday, April 29th. Finally, Loop Capital started coverage on shares of Visa in a research note on Tuesday, March 31st. They set a "buy" rating and a $387.00 price objective on the stock. Six investment analysts have rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Buy" and an average target price of $398.87.

Insider Transactions at Visa

In related news, CEO Ryan Mcinerney sold 31,455 shares of the stock in a transaction on Wednesday, April 29th. The stock was sold at an average price of $340.14, for a total transaction of $10,699,103.70. Following the completion of the sale, the chief executive officer directly owned 15,174 shares in the company, valued at approximately $5,161,284.36. This trade represents a 67.46% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Chris Suh sold 10,639 shares of Visa stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $324.81, for a total value of $3,455,653.59. Following the sale, 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. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 75,581 shares of company stock valued at $25,627,975. 0.12% of the stock is owned by insiders.

Visa Stock Down 0.1%

Shares of Visa stock opened at $355.71 on Thursday. Visa Inc. has a 12-month low of $293.89 and a 12-month high of $365.02. The firm has a market capitalization of $638.05 billion, a PE ratio of 30.98, a price-to-earnings-growth ratio of 1.90 and a beta of 0.75. The company has a quick ratio of 1.09, a current ratio of 1.09 and a debt-to-equity ratio of 0.64. The stock's fifty day moving average is $332.76 and its 200-day moving average is $324.90.

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 (EPS) for the quarter, beating analysts' consensus estimates of $3.10 by $0.21. The business had revenue of $11.23 billion for the quarter, compared to analyst estimates of $10.75 billion. Visa had a net margin of 51.68% and a return on equity of 65.00%. The firm's revenue was up 17.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $2.76 earnings per share. Equities analysts anticipate that Visa Inc. will post 13.1 earnings per share for the current year.

Visa Dividend Announcement

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

Visa declared that its board has initiated a share repurchase plan on Tuesday, April 28th that permits the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization permits the credit-card processor to repurchase up to 3.6% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company's management believes its stock is undervalued.

More Visa News

Here are the key news stories impacting Visa this week:

• Positive Sentiment: Visa expanded its AI payments push through the rollout of an “AI Financial Assistant” that banks can embed in their apps, giving cardholders conversational financial guidance and strengthening Visa’s fee-generating value-added services business. Visa Readies Rollout of AI Financial Assistant for Banking Apps
• Positive Sentiment: Visa’s Agentic Ready program picked up another partner, Thredd, which will help European issuers process AI-initiated payments without replacing their existing infrastructure, signaling broader adoption of Visa’s next-generation payment rails. Thredd Joins Visa Agentic Ready Program to Power AI Payments for European Issuers
• Positive Sentiment: Visa is also deepening its cross-border remittance business through its partnership with ACE Money Transfer, which could support transaction growth and international money movement volume. Can Visa Deepen Its Remittance Business Through ACE Partnership?
• Neutral Sentiment: Commentary around Visa’s involvement in crypto, stablecoins, and tokenized finance suggests the company remains central to the evolution of digital payments, but these developments are still early and not yet a clear earnings driver.

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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