Visa (NYSE:V) Stock Price Expected to Rise, JPMorgan Chase & Co. Analyst Says

Key Points

• JPMorgan raised Visa’s price target to $450 from $400 and maintained an “overweight” rating, implying approximately 22.8% upside. Analysts overall rate the stock “Buy,” with a consensus price target of $405.12.
• Visa exceeded quarterly expectations, reporting $3.32 in EPS and $11.63 billion in revenue, up 14.4% year over year. The company also authorized a $20 billion share-repurchase program.
• Visa is pursuing efficiency gains by cutting about 2,600 jobs, while investing in Visa Direct, stablecoin settlement and other digital-payment initiatives. However, margin pressure and restructuring costs have tempered the market’s reaction.

Visa (NYSE:V - Get Free Report) had its target price raised by equities researchers at JPMorgan Chase & Co. from $400.00 to $450.00 in a research report issued on Wednesday,Benzinga reports. The brokerage currently has an "overweight" rating on the credit-card processor's stock. JPMorgan Chase & Co.'s price target would indicate a potential upside of 22.79% from the stock's current price.

Several other equities analysts have also recently issued reports on the company. Erste Group Bank upgraded Visa from a "hold" rating to a "buy" rating in a report on Monday. Raymond James Financial reaffirmed an "outperform" rating and issued a $406.00 price objective on shares of Visa in a research note on Wednesday. Evercore set a $350.00 target price on shares of Visa in a report on Wednesday, April 29th. UBS Group upped their target price on shares of Visa from $390.00 to $410.00 and gave the company a "buy" rating in a research report on Wednesday, April 29th. Finally, Truist Financial raised their price target on Visa from $371.00 to $394.00 and gave the stock a "buy" rating in a research report on Friday, July 24th. Eight investment analysts have rated the stock with a Strong Buy rating and twenty-two have assigned a Buy rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Buy" and an average price target of $405.12.

Visa Stock Performance

Shares of Visa stock opened at $366.49 on Wednesday. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.09 and a quick ratio of 1.09. The firm has a 50 day simple moving average of $338.90 and a 200 day simple moving average of $325.25. Visa has a fifty-two week low of $293.89 and a fifty-two week high of $371.16. The firm has a market cap of $657.40 billion, a P/E ratio of 31.92, a P/E/G ratio of 1.93 and a beta of 0.75.

Visa (NYSE:V - Get Free Report) last posted its quarterly earnings data on Tuesday, July 28th. The credit-card processor reported $3.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.23 by $0.09. The firm had revenue of $11.63 billion for the quarter, compared to the consensus estimate of $11.40 billion. Visa had a return on equity of 65.00% and a net margin of 51.68%.The business's revenue for the quarter was up 14.4% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.98 EPS. Sell-side analysts predict that Visa will post 13.12 earnings per share for the current fiscal year.

Visa declared that its Board of Directors has authorized a share 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 shares through open market purchases. Shares repurchase plans are usually an indication that the company's board believes its stock is undervalued.

Insider Buying and Selling at Visa

In other news, CFO Chris Suh sold 10,639 shares of the company's stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $324.81, for a total transaction of $3,455,653.59. Following the completion of the transaction, the chief financial officer directly owned 9,872 shares of the company's stock, valued at $3,206,524.32. This represents a 51.87% decrease in their ownership of the stock. The transaction was disclosed in a 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 dated Thursday, July 2nd. The stock was sold at an average price of $360.00, for a total value of $729,720.00. Following the transaction, the general counsel owned 18,404 shares of the company's stock, valued at approximately $6,625,440. The trade was a 9.92% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 44,126 shares of company stock valued at $14,928,871 in the last 90 days. 0.12% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Visa

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Invariant Investment Management purchased a new stake in shares of Visa in the fourth quarter worth approximately $969,000. Nixon Peabody Trust Co. boosted its position in shares of Visa by 58.1% during the first quarter. Nixon Peabody Trust Co. now owns 4,201 shares of the credit-card processor's stock valued at $1,270,000 after buying an additional 1,543 shares during the last quarter. Vanguard Group Inc. grew its holdings in Visa by 0.7% during the fourth quarter. Vanguard Group Inc. now owns 160,975,832 shares of the credit-card processor's stock worth $56,455,834,000 after buying an additional 1,054,343 shares in the last quarter. Savvy Advisors Inc. grew its holdings in Visa by 30.1% during the fourth quarter. Savvy Advisors Inc. now owns 28,922 shares of the credit-card processor's stock worth $10,143,000 after buying an additional 6,688 shares in the last quarter. Finally, Wealth Enhancement Trust Services Inc. purchased a new stake in Visa in the 4th quarter valued at $15,966,000. 82.15% of the stock is owned by institutional investors.

Key Visa News

Here are the key news stories impacting Visa this week:

• Positive Sentiment: Quarterly results exceeded expectations. Visa reported fiscal Q3 revenue of $11.63 billion, up 14.4% year over year, while adjusted earnings reached $3.32 per share versus the $3.23 consensus estimate. Growth was supported by double-digit increases in payments volume, cross-border volume and processed transactions, indicating resilient consumer and business spending. Visa Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: Job cuts could improve efficiency and profitability. Visa plans to eliminate approximately 2,600 positions, or 7% of its workforce, primarily in technology and product operations. Management said the restructuring will help fund growth in consumer payments, business-to-business services, money movement and stablecoin-related products, while artificial intelligence reshapes internal operations. Visa Workforce Reduction
• Positive Sentiment: Analyst sentiment improved. Erste Group Bank upgraded Visa from “Hold” to “Buy,” adding support to the bullish view following the earnings beat. Erste Group Upgrades Visa
• Neutral Sentiment: New growth initiatives offer longer-term potential. Visa is expanding Visa Direct for government disbursements and developing stablecoin settlement, tokenized deposits and wallet infrastructure. These initiatives could broaden Visa’s money-movement business, but near-term revenue contribution remains uncertain. Visa Direct Modernizes Government Payouts
• Negative Sentiment: Margin concerns limited the earnings reaction. Although Visa beat estimates, shares slipped in extended trading as investors focused on profitability pressures, restructuring execution and the potential costs of AI-driven transformation. The stock is also trading near its 52-week high, leaving less room for disappointment. Visa Stock and Margin Concerns

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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