Visa (NYSE:V) Stock Price Down 1.3% - Here's What Happened

Key Points

• Visa's stock price fell by 1.3%, closing at $346.66 with a significant reduction in trading volume, down 31% from its average.
• Analysts are generally optimistic, with multiple upgrades and a consensus target price of $389.00, reflecting a "Moderate Buy" rating.
• The company reported strong quarterly earnings, with an EPS of $2.98, exceeding estimates and showing a 14.3% increase in revenue year-over-year.

Visa Inc. (NYSE:V - Get Free Report)'s share price was down 1.3% during trading on Thursday . The company traded as low as $345.58 and last traded at $346.66. Approximately 4,425,840 shares changed hands during mid-day trading, a decline of 31% from the average daily volume of 6,456,072 shares. The stock had previously closed at $351.36.

Analyst Ratings Changes

A number of equities research analysts have commented on V shares. Weiss Ratings reissued a "buy (b)" rating on shares of Visa in a report on Wednesday. Macquarie boosted their price objective on shares of Visa from $380.00 to $425.00 and gave the stock an "outperform" rating in a research report on Thursday, July 31st. Robert W. Baird set a $410.00 price objective on shares of Visa and gave the company an "outperform" rating in a research note on Monday. Deutsche Bank Aktiengesellschaft initiated coverage on shares of Visa in a research note on Thursday, July 17th. They issued a "buy" rating and a $410.00 price objective on the stock. Finally, Barclays reissued an "overweight" rating and issued a $408.00 price objective (up from $396.00) on shares of Visa in a research note on Thursday, July 31st. One analyst has rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $389.00.

Visa Trading Down 1.3%

The stock has a market cap of $635.36 billion, a PE ratio of 33.85, a PEG ratio of 2.08 and a beta of 0.90. The business has a 50-day moving average of $343.68 and a 200 day moving average of $346.98. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.12 and a current ratio of 1.12.

Visa (NYSE:V - Get Free Report) last posted its quarterly earnings data on Tuesday, July 29th. The credit-card processor reported $2.98 EPS for the quarter, topping analysts' consensus estimates 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 return on equity of 58.93% and a net margin of 52.16%.The firm's quarterly revenue was up 14.3% compared to the same quarter last year. During the same quarter last year, the business posted $2.42 EPS. Equities research analysts predict that Visa Inc. will post 11.3 EPS for the current fiscal year.

Visa Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 2nd. Shareholders of record on Tuesday, August 12th were issued a $0.59 dividend. The ex-dividend date was Tuesday, August 12th. This represents a $2.36 annualized dividend and a yield of 0.7%. Visa's payout ratio is 23.05%.

Insider Activity

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

Institutional Trading of Visa

Institutional investors have recently modified their holdings of the company. Keystone Global Partners LLC acquired a new position in Visa during the 1st quarter worth approximately $26,000. von Borstel & Associates Inc. acquired a new position in Visa during the 1st quarter worth approximately $27,000. Family Legacy Financial Solutions LLC acquired a new position in Visa during the 2nd quarter worth approximately $28,000. Harbor Asset Planning Inc. acquired a new position in Visa during the 2nd quarter worth approximately $29,000. Finally, Sagard Holdings Management Inc. acquired a new position in Visa during the 2nd quarter worth approximately $31,000. Hedge funds and other institutional investors 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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