NYSE:V

Visa - V Stock Forecast, Price & News

$231.44

+6.73 (+2.99%)

(As of 01/27/2023 12:00 AM ET)

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Today's Range: $227.25
▼
$232.84
50-Day Range: $204.82
▼
$224.90
52-Week Range: $174.60
▼
$250.58

Volume: 11.38 million shs
Average Volume: 5.17 million shs
Market Capitalization: $435.91 billion

P/E Ratio: 32.37
Dividend Yield: 0.80%
Price Target: $256.15

Institutional Ownership

Visa MarketRank™ Forecast

Analyst Rating: Moderate Buy
2.82 Rating Score
Upside/Downside: 11.5% Upside
$258.04 Price Target
Short Interest: Bearish
2.01% of Float Sold Short
Dividend Strength: Strong
Based on Four Factors
Sustainability: -0.61
Upright™ Environmental Score
News Sentiment: 0.75
Based on 43 Articles This Week
Insider Trading: Selling Shares
$9.19 M Sold Last Quarter
Proj. Earnings Growth: 14.34%
From $8.30 to $9.49 Per Share

Overall MarketRank^™

MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation.

3.00 out of 5 stars

Business Services Sector

9th out of 329 stocks

Business Services, Not Elsewhere Classified Industry

8th out of 100 stocks

3.4

Analyst's Opinion

Consensus Rating
Visa has received a consensus rating of Buy. The company's average rating score is 2.82, and is based on 19 buy ratings, 2 hold ratings, and 1 sell rating.
Price Target Upside/Downside
According to analysts' consensus price target of $258.04, Visa has a forecasted upside of 11.5% from its current price of $231.44.
Amount of Analyst Coverage
Visa has been the subject of 12 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

2.0

Short Interest

Percentage of Shares Shorted
2.01% of the float of Visa has been sold short.
Short Interest Ratio / Days to Cover
Visa has a short interest ratio ("days to cover") of 4.7.
Change versus previous month
Short interest in Visa has recently increased by 6.28%, indicating that investor sentiment is decreasing significantly.

3.3

Dividend Strength

Dividend Yield
Visa has a dividend yield of 0.80%, which is in the bottom 25% of all stocks that pay dividends.
Dividend Growth
Visa has been increasing its dividend for 14 years.
Dividend Coverage
The dividend payout ratio of Visa is 25.17%. This payout ratio is at a healthy, sustainable level, below 75%.
Dividend Sustainability
Based on earnings estimates, Visa will have a dividend payout ratio of 18.97% next year. This indicates that Visa will be able to sustain or increase its dividend.

3.2

Sustainability and ESG

Overall ESG (Environmental, Social, and Governance) Score
Visa has received a 33.67% net impact score from Upright. Visa seems to create the most significant positive value in categories "Taxes", "Societal infrastructure", and "Jobs". The positive contribution in the "Societal infrastructure" impact category is mostly driven by its "ATM machines", "Debit cards", and "Credit cards" products. See details.
Environmental Sustainability
The Environmental Impact score for Visa is -0.61.

3.8

News and Social Media Coverage

News Sentiment
Visa has a news sentiment score of 0.75. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.55 average news sentiment score of Business Services companies.
News Coverage This Week
MarketBeat has tracked 43 news articles for Visa this week, compared to 9 articles on an average week.
Search Interest
139 people have searched for V on MarketBeat in the last 30 days. This is an increase of 85% compared to the previous 30 days.
MarketBeat Follows
66 people have added Visa to their MarketBeat watchlist in the last 30 days. This is an increase of 32% compared to the previous 30 days.

2.5

Company Ownership

Insider Buying vs. Insider Selling
In the past three months, Visa insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $9,188,169.00 in company stock.
Percentage Held by Insiders
Only 0.22% of the stock of Visa is held by insiders.
Percentage Held by Institutions
81.87% of the stock of Visa is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

2.5

Earnings and Valuation

Earnings Growth
Earnings for Visa are expected to grow by 14.34% in the coming year, from $8.30 to $9.49 per share.
Price to Earnings Ratio vs. the Market
The P/E ratio of Visa is 32.37, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 124.98.
Price to Earnings Ratio vs. Sector
The P/E ratio of Visa is 32.37, which means that it is trading at a less expensive P/E ratio than the Business Services sector average P/E ratio of about 212.35.
Price to Earnings Growth Ratio
Visa has a PEG Ratio of 1.81. PEG Ratios above 1 indicate that a company could be overvalued.
Price to Book Value per Share Ratio
Visa has a P/B Ratio of 13.15. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

See Top Rated MarketRank™ Stocks Here

About Visa (NYSE:V) Stock

Visa Inc. is a US-based multinational financial services company formed from a consortium of US banks. It is the 2nd largest payment processor globally and the leading payment processor outside China. Its market share in 2021 was roughly 50% of global transaction volume x-China. Transactions are processed in 1 of 4 hardened data centers in key regions worldwide. The data centers are hardened against internal and external attacks, both physical and digital, and can operate independently of each, providing ample redundancy for the system. As of 2022, the company can process more than 30,000 transactions per second, making it the most viable solution for most use-case scenarios.

Visa Inc. was founded in 1958 by Bank of America as the BankAmericard Credit Card network. Not only is the card itself of historical importance, but how it was launched is also. Bank of America launched the program with the first mass mailing of unsolicited credit cards, changing the nature of the entire consumer credit market. At the time, consumers often had several credit accounts with local merchants, which was cumbersome for financial record-keeping; by introducing a consumer-friendly credit card, Bank of America unified merchant credit accounts into one billing statement.

The BankAmericard network was so popular, and to compete again with the then-number 1 MasterCard, Bank of America opened use to other financial institutions. By 1970 Bank of America had relinquished direct control of the institution allowing a consortium of financial institutions to operate the company. It was rebranded as Visa in 1976 and grew to become the dominant payment processing network in the decades since.

Visa Inc is not a card issuer; it does not extend credit to consumers and does not set rates or fees for consumers. It is in business to provide electronic funds transfers services or EFT to financial institutions, banks, government and businesses. Entities needing financial payment processing infrastructure can enroll in VisaNet and issue Visa-branded cards and services to their clients and customers.

Visa operated as four separate entities serving different regions of the globe until restructuring in 2006. The restructuring resulted in the merger of 3 of the four assets into Visa Inc, leaving Visa Europe as a stand-alone entity. The new Visa Inc held its IPO in 2007, selling half of its shares, raising nearly $18 billion or almost double the targeted amount. Visa Europe was later acquired by Visa Inc, forming the unified company traded today.

Visa employs more than 26,500 individuals globally and brought in roughly $15 billion in revenue for fiscal 2021. The company has more than 3.9 billion active cards out globally; it has processed more than 255 billion transactions and is used by more than 80 million merchant locations. As a forward-thinking company, Visa is also engaged to some degree with the cryptocurrency markets and has partnerships with Coinbase and Crypto.com, among others.

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V Stock News Headlines

January 26, 2023 | marketbeat.com

Visa 1Q profits rise 6%, new CEO to take over Feb. 1

Payment processing giant Visa Inc. says its profits in its latest quarter were up 6% from a year earlier, helped by the continued rise of digital payments across the globe