Seaport Res Ptn Has Negative Outlook of Visa FY2026 Earnings

Key Points

• Seaport Res Ptn has lowered its FY2026 earnings per share estimate for Visa to $12.80, slightly down from $12.83, while the consensus estimate stands at $11.30.
• Visa recently reported quarterly earnings of $2.98 per share, exceeding analyst expectations, with a substantial revenue increase of 14.3% year-over-year.
• Despite the negative outlook, multiple analysts have assigned Visa a range of price targets around $391.00 to $425.00, indicating continued confidence in the stock.

Visa Inc. (NYSE:V - Free Report) - Equities research analysts at Seaport Res Ptn decreased their FY2026 EPS estimates for Visa in a research report issued on Monday, October 13th. Seaport Res Ptn analyst J. Cantwell now expects that the credit-card processor will earn $12.80 per share for the year, down from their prior estimate of $12.83. The consensus estimate for Visa's current full-year earnings is $11.30 per share.

Visa (NYSE:V - Get Free Report) last announced its earnings results on Tuesday, July 29th. The credit-card processor reported $2.98 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.85 by $0.13. Visa had a net margin of 52.16% and a return on equity of 58.93%. The company had revenue of $10.17 billion for the quarter, compared to analyst estimates of $9.82 billion. During the same period in the prior year, the business earned $2.42 earnings per share. Visa's quarterly revenue was up 14.3% on a year-over-year basis.

A number of other research firms also recently weighed in on V. Robert W. Baird set a $410.00 price target on shares of Visa and gave the stock an "outperform" rating in a research note on Monday, October 6th. Oppenheimer boosted their price target on shares of Visa from $390.00 to $391.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 2nd. Deutsche Bank Aktiengesellschaft started coverage on shares of Visa in a research note on Thursday, July 17th. They set a "buy" rating and a $410.00 price target for the company. Barclays reissued an "overweight" rating and set a $408.00 price target (up from $396.00) on shares of Visa in a research note on Thursday, July 31st. Finally, Macquarie boosted their price target on shares of Visa from $380.00 to $425.00 and gave the stock an "outperform" rating in a research note on Thursday, July 31st. One equities research analyst has rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $389.00.

Visa Trading Up 1.5%

V opened at $348.39 on Wednesday. The company has a debt-to-equity ratio of 0.52, a current ratio of 1.12 and a quick ratio of 1.12. The company has a market cap of $638.53 billion, a price-to-earnings ratio of 34.02, a price-to-earnings-growth ratio of 2.03 and a beta of 0.90. The firm has a 50 day simple moving average of $344.01 and a 200 day simple moving average of $346.98. Visa has a fifty-two week low of $278.35 and a fifty-two week high of $375.51.

Visa Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 2nd. Stockholders of record on Tuesday, August 12th were given a dividend of $0.59 per share. The ex-dividend date of this dividend was Tuesday, August 12th. This represents a $2.36 annualized dividend and a dividend yield of 0.7%. Visa's dividend payout ratio is currently 23.05%.

Insider Buying and Selling at Visa

In other news, CEO Ryan Mcinerney sold 10,485 shares of the stock in a transaction on Wednesday, October 1st. The shares were sold at an average price of $342.30, for a total transaction of $3,589,015.50. Following the completion of the sale, the chief executive officer owned 537 shares of the company's stock, valued at $183,815.10. This represents a 95.13% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, General Counsel Julie B. Rottenberg sold 2,027 shares of the stock in a transaction on Monday, August 18th. The stock was sold at an average price of $344.02, for a total transaction of $697,328.54. Following the transaction, the general counsel owned 11,925 shares of the company's stock, valued at $4,102,438.50. The trade was a 14.53% decrease in their position. The disclosure for this sale can be found here. 0.13% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in V. Vanguard Group Inc. lifted its stake in Visa by 0.9% in the second quarter. Vanguard Group Inc. now owns 162,544,006 shares of the credit-card processor's stock valued at $57,711,249,000 after acquiring an additional 1,461,575 shares during the last quarter. Geode Capital Management LLC lifted its stake in Visa by 2.5% in the second quarter. Geode Capital Management LLC now owns 43,096,802 shares of the credit-card processor's stock valued at $15,253,245,000 after acquiring an additional 1,067,631 shares during the last quarter. Norges Bank acquired a new stake in Visa in the second quarter valued at $7,034,939,000. TCI Fund Management Ltd. lifted its stake in Visa by 14.6% in the second quarter. TCI Fund Management Ltd. now owns 19,067,558 shares of the credit-card processor's stock valued at $6,769,936,000 after acquiring an additional 2,429,996 shares during the last quarter. Finally, Northern Trust Corp lifted its stake in Visa by 4.0% in the first quarter. Northern Trust Corp now owns 18,987,013 shares of the credit-card processor's stock valued at $6,654,189,000 after acquiring an additional 726,299 shares during the last quarter. Institutional investors and hedge funds own 82.15% of the company's stock.

Visa Company Profile

Visa Inc operates as a payment technology company in the United States and internationally. The company operates VisaNet, a transaction processing network that enables authorization, clearing, and settlement of payment transactions. It also offers credit, debit, and prepaid card products; tap to pay, tokenization, and click to pay services; Visa Direct, a solution that facilitates the delivery of funds to eligible cards, deposit accounts, and digital wallets; Visa B2B Connect, a multilateral business-to-business cross-border payments network; Visa Cross-Border Solution, a cross-border consumer payments solution; and Visa DPS that provides a range of value-added services, including fraud mitigation, dispute management, data analytics, campaign management, a suite of digital solutions, and contact center services.

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