Visa Inc. Plans Quarterly Dividend of $0.59 (NYSE:V)

Key Points

• Visa Inc. has declared a quarterly dividend of $0.59 per share, payable on September 2nd to stockholders recorded on August 12th, representing an annualized dividend of $2.36 with a yield of 0.67%.
• The company reported earnings per share of $2.98 for the last quarter, exceeding analyst expectations by $0.14, and has a dividend payout ratio of just 18.5%, indicating strong coverage by earnings.
• Visa's stock recently traded down 1.0% to $351.92, with analysts maintaining a generally positive outlook as reflected by a consensus target price of $375.52 and multiple upgrades to "buy" or "outperform" ratings.

Visa Inc. (NYSE:V - Get Free Report) announced a quarterly dividend on Tuesday, July 29th, RTT News reports. Shareholders of record on Tuesday, August 12th will be given a dividend of 0.59 per share by the credit-card processor on Tuesday, September 2nd. This represents a c) annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Tuesday, August 12th.

Visa has a payout ratio of 18.5% meaning its dividend is sufficiently covered by earnings. Research analysts expect Visa to earn $12.73 per share next year, which means the company should continue to be able to cover its $2.36 annual dividend with an expected future payout ratio of 18.5%.

Visa Stock Down 1.5%

Shares of V stock traded down $5.31 during trading hours on Friday, hitting $340.16. 2,408,536 shares of the company's stock traded hands, compared to its average volume of 6,586,101. The stock has a market cap of $627.66 billion, a price-to-earnings ratio of 33.26, a PEG ratio of 2.36 and a beta of 0.92. Visa has a 12-month low of $254.51 and a 12-month high of $375.51. The stock's fifty day simple moving average is $355.36 and its two-hundred day simple moving average is $346.13. The company has a quick ratio of 1.08, a current ratio of 1.12 and a debt-to-equity ratio of 0.52.

Visa (NYSE:V - Get Free Report) last announced its quarterly earnings data on Tuesday, July 29th. The credit-card processor reported $2.98 EPS for the quarter, beating the consensus estimate of $2.85 by $0.13. The firm had revenue of $10.17 billion during the quarter, compared to analysts' expectations of $9.82 billion. Visa had a net margin of 52.16% and a return on equity of 58.93%. The business's revenue for the quarter was up 14.3% compared to the same quarter last year. During the same quarter last year, the business earned $2.42 earnings per share. On average, analysts expect that Visa will post 11.3 EPS for the current year.

About Visa

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.