Visa Inc. $V Stock Holdings Decreased by Provident Investment Management Inc.

Key Points

• Provident Investment Management reduced its Visa stake by 2.7% in the fourth quarter, selling 6,744 shares and leaving it with 242,997 shares valued at about $85.2 million. Visa remains its largest holding, accounting for roughly 7.8% of the portfolio.
• Visa reported strong quarterly results, with earnings of $3.31 per share and revenue of $11.23 billion, both ahead of analyst estimates. Revenue rose 17.1% year over year, and the company expects full-year EPS of 13.08.
• The company also announced a quarterly dividend of $0.67 per share and authorized a $20 billion stock buyback plan. Visa stock was up 1.6% in recent trading, and analysts currently rate it a consensus Buy.

Provident Investment Management Inc. cut its stake in Visa Inc. (NYSE:V - Free Report) by 2.7% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 242,997 shares of the credit-card processor's stock after selling 6,744 shares during the period. Visa comprises about 7.8% of Provident Investment Management Inc.'s holdings, making the stock its largest holding. Provident Investment Management Inc.'s holdings in Visa were worth $85,222,000 as of its most recent filing with the Securities and Exchange Commission.

Several other large investors also recently bought and sold shares of the stock. Clayton Financial Group LLC increased its stake 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 buying an additional 58 shares during the period. PayPay Securities Corp grew its holdings in Visa by 102.7% during the 4th quarter. PayPay Securities Corp now owns 75 shares of the credit-card processor's stock worth $26,000 after acquiring an additional 38 shares in the last quarter. Cresta Advisors Ltd. purchased a new stake in shares of Visa in the 4th quarter valued at approximately $26,000. Parvin Asset Management LLC increased its position in shares of Visa by 200.0% in 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 last quarter. Finally, Dorato Capital Management purchased a new stake in shares of Visa during the 4th quarter worth $30,000. Hedge funds and other institutional investors own 82.15% of the company's stock.

Visa Stock Up 1.6%

Visa stock opened at $323.99 on Tuesday. Visa Inc. has a fifty-two week low of $293.89 and a fifty-two week high of $375.51. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.09 and a current ratio of 1.09. The company has a market capitalization of $581.17 billion, a P/E ratio of 28.22, a PEG ratio of 1.70 and a beta of 0.78. The stock has a 50-day simple moving average of $310.93 and a 200-day simple moving average of $326.38.

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, topping analysts' consensus estimates of $3.10 by $0.21. The firm had revenue of $11.23 billion for the quarter, compared to the consensus estimate of $10.75 billion. Visa had a return on equity of 65.00% and a net margin of 51.68%.The firm'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 EPS. Equities research analysts expect that Visa Inc. will post 13.08 earnings per share for the current year.

Visa Announces Dividend

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

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

Analyst Ratings Changes

V has been the topic of several recent analyst reports. Piper Sandler set a $160.00 target price on Visa in a report on Wednesday, January 28th. Citigroup dropped their price objective on Visa from $450.00 to $400.00 and set a "buy" rating on the stock in a report on Tuesday, April 14th. Freedom Capital upgraded Visa from a "hold" rating to a "strong-buy" rating in a research note on Monday, February 16th. Weiss Ratings downgraded Visa from a "buy (b-)" rating to a "hold (c+)" rating in a report on Thursday, April 16th. Finally, 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. Six analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, Visa currently has a consensus rating of "Buy" and a consensus price target of $387.25.

Insiders Place Their Bets

In related news, CEO Ryan Mcinerney sold 31,455 shares of the company's stock in a transaction 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 completion of the sale, the chief executive officer owned 15,174 shares in the company, valued at $5,161,284.36. This represents a 67.46% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Lloyd Carney sold 650 shares of the stock in a transaction on Wednesday, March 11th. The stock was sold at an average price of $309.62, for a total transaction of $201,253.00. Following the sale, the director owned 2,679 shares of the company's stock, valued at approximately $829,471.98. This represents a 19.53% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders own 0.12% of the company's stock.

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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