Visa (NYSE:V) Shares Up 1.2% - Time to Buy?

Key Points

• Visa's stock price increased by 1.2%, reaching a last trading value of $342.07 with over 13 million shares traded, reflecting a significant increase in trading volume.
• Analysts maintain a positive outlook with an average rating of "Moderate Buy" and a price target of $385.96, while notable firms like Barclays and Jefferies set target prices at $408.00 and $410.00, respectively.
• Visa reported impressive quarterly earnings with $2.98 earnings per share, surpassing estimates, alongside a revenue increase of 14.3% from the previous year.

Visa Inc. (NYSE:V - Get Free Report)'s stock price was up 1.2% during trading on Friday . The company traded as high as $342.69 and last traded at $342.07. Approximately 13,654,220 shares traded hands during mid-day trading, an increase of 111% from the average daily volume of 6,469,685 shares. The stock had previously closed at $338.18.

Analyst Ratings Changes

A number of equities research analysts recently commented on V shares. Mizuho upgraded shares of Visa from a "neutral" rating to an "outperform" rating and raised their price objective for the company from $359.00 to $425.00 in a research report on Thursday, June 5th. Truist Financial reduced their price objective on shares of Visa from $400.00 to $397.00 and set a "buy" rating for the company in a research report on Thursday, July 17th. Barclays restated an "overweight" rating and issued a $408.00 price objective (up previously from $396.00) on shares of Visa in a research report on Thursday, July 31st. Citigroup started coverage on shares of Visa in a research report on Monday, June 2nd. They set a "buy" rating for the company. Finally, Oppenheimer upped their price target on Visa from $390.00 to $391.00 and gave the stock an "outperform" rating in a report on Wednesday, July 2nd. One equities research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat, Visa has an average rating of "Moderate Buy" and a consensus price target of $385.96.

Visa Trading Up 0.8%

The company has a current ratio of 1.12, a quick ratio of 1.12 and a debt-to-equity ratio of 0.52. The business's 50-day moving average is $345.70 and its two-hundred day moving average is $346.38. The firm has a market cap of $630.99 billion, a P/E ratio of 30.50, a P/E/G ratio of 2.27 and a beta of 0.92.

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

Visa Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, September 2nd. Shareholders of record on Tuesday, August 12th were given 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 dividend payout ratio is 23.05%.

Insider Activity

In other news, General Counsel Julie B. Rottenberg sold 2,027 shares of the stock in a transaction that occurred on 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 transaction, the general counsel directly owned 11,925 shares in the company, valued at $4,102,438.50. This trade represents a 14.53% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Ryan Mcinerney sold 8,630 shares of the stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $353.82, for a total transaction of $3,053,466.60. Following the completion of the transaction, the chief executive officer owned 537 shares of the company's stock, valued at $190,001.34. This trade represents a 94.14% decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.13% of the stock is currently owned by corporate insiders.

Institutional Trading of Visa

A number of large investors have recently added to or reduced their stakes in the business. Keystone Global Partners LLC acquired a new position in Visa in the 1st quarter worth approximately $26,000. Family Legacy Financial Solutions LLC acquired a new position in Visa in the 2nd quarter worth approximately $28,000. von Borstel & Associates Inc. acquired a new position in Visa in the 1st quarter worth approximately $27,000. Harbor Asset Planning Inc. acquired a new position in Visa in the 2nd quarter worth approximately $29,000. Finally, Sagard Holdings Management Inc. acquired a new position in Visa in the 2nd quarter worth approximately $31,000. 82.15% of the stock is currently owned by institutional investors.

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.