Key Points
- Visa General Counsel Julie Rottenberg sold 1,867 shares for about $790,000 under a pre-arranged Rule 10b5-1 plan, retaining 18,404 shares afterward.
- Visa’s latest quarterly results topped expectations: EPS was $3.48 versus a $3.44 consensus, while revenue reached $12.14 billion, up 13.2% year over year. The company also raised its quarterly dividend to $0.78 per share from $0.67.
- Analyst sentiment was broadly positive, with a consensus “Buy” rating and an average price target of $442.29.
Visa Inc. (NYSE:V - Get Free Report) General Counsel Julie Rottenberg sold 1,867 shares of the business's stock in a transaction that occurred on Monday, November 9th. The stock was sold at an average price of $423.00, for a total value of $789,741.00. Following the completion of the transaction, the general counsel directly owned 18,404 shares in the company, valued at $7,784,892. The trade was a 9.21% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Visa Stock Up 0.2%
NYSE V opened at $422.95 on Wednesday. The firm has a market cap of $754.72 billion, a PE ratio of 34.30, a price-to-earnings-growth ratio of 1.80 and a beta of 0.80. Visa Inc. has a one year low of $293.89 and a one year high of $442.23. The stock's 50 day simple moving average is $387.55 and its 200 day simple moving average is $345.66. The company has a debt-to-equity ratio of 0.54, a current ratio of 0.97 and a quick ratio of 0.97.
Visa (NYSE:V - Get Free Report) last released its quarterly earnings results on Tuesday, October 27th. The credit-card processor reported $3.48 earnings per share for the quarter, beating analysts' consensus estimates of $3.44 by $0.04. Visa had a return on equity of 70.50% and a net margin of 51.20%. The firm had revenue of $12.14 billion during the quarter, compared to analysts' expectations of $12.09 billion. During the same period last year, the firm posted $2.98 EPS. The business's revenue was up 13.2% on a year-over-year basis. As a group, sell-side analysts forecast that Visa Inc. will post 15.02 earnings per share for the current fiscal year.
Visa Increases Dividend
The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 1st. Stockholders of record on Tuesday, November 10th will be issued a dividend of $0.78 per share. The ex-dividend date is Tuesday, November 10th. This is a boost from Visa's previous quarterly dividend of $0.67. This represents a $3.12 annualized dividend and a dividend yield of 0.7%. Visa's dividend payout ratio (DPR) is currently 25.30%.
Institutional Inflows and Outflows
Several large investors have recently bought and sold shares of V. Bank Pictet & Cie Europe AG grew its position in shares of Visa by 0.9% during the 3rd quarter. Bank Pictet & Cie Europe AG now owns 606,500 shares of the credit-card processor's stock worth $217,934,000 after buying an additional 5,568 shares during the period. CFC Planning Co LLC raised its stake in shares of Visa by 13.7% during the third quarter. CFC Planning Co LLC now owns 13,305 shares of the credit-card processor's stock worth $4,781,000 after buying an additional 1,607 shares during the last quarter. Vega Investment Solutions acquired a new position in Visa in the second quarter valued at approximately $829,000. Brooklands Fund Management Ltd acquired a new position in Visa in the third quarter valued at approximately $5,291,000. Finally, XXEC Inc. lifted its holdings in Visa by 153,118.8% in the second quarter. XXEC Inc. now owns 186,260,448 shares of the credit-card processor's stock valued at $63,904,097,000 after buying an additional 186,138,883 shares during the period. Institutional investors and hedge funds own 82.15% of the company's stock.
Wall Street Analyst Weigh In
A number of research analysts recently issued reports on the company. TD Cowen reaffirmed a "buy" rating and issued a $450.00 price target (up from $420.00) on shares of Visa in a report on Wednesday, October 28th. Rothschild & Co Redburn upped their price target on shares of Visa from $430.00 to $444.00 and gave the stock a "buy" rating in a research report on Thursday, July 30th. Barclays increased their price objective on shares of Visa from $420.00 to $440.00 and gave the stock an "overweight" rating in a report on Wednesday, October 28th. Daiwa Securities Group increased their price objective on shares of Visa from $375.00 to $422.00 and gave the stock an "outperform" rating in a report on Thursday, August 6th. Finally, Loop Capital raised their price objective on shares of Visa from $387.00 to $404.00 and gave the company a "buy" rating in a research report on Wednesday, July 29th. Two research analysts have rated the stock with a Strong Buy rating and thirty-five have issued a Buy rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Buy" and an average target price of $442.29.
Get Our Latest Stock Report on Visa
More Visa News
Here are the key news stories impacting Visa this week:
- Positive Sentiment: Citigroup raised its price target to $490 from $440 and maintained a Buy rating, implying about 15.9% upside from the cited share price. Citigroup recommendations
- Positive Sentiment: Global Payments added Visa’s Intelligent Data Exchange API to its Adaptive Authentication platform. Sharing more transaction data with issuers is intended to reduce false declines and improve digital checkout, supporting the utility of Visa’s data tools. Global Payments expands authentication platform
- Neutral Sentiment: Visa General Counsel Julie Rottenberg sold 1,867 shares for about $790,000 under a pre-arranged Rule 10b5-1 plan. She retained 18,404 shares, which may temper concern about the sale as a signal of her outlook. SEC filing
- Negative Sentiment: A hotter-than-expected October CPI reading could renew inflation and interest-rate concerns, potentially pressuring richly valued growth-oriented stocks, including Visa. CPI and market drivers
- Negative Sentiment: Commentary on Visa’s long-term performance also flags fee-related lawsuits, stablecoin competition and a high valuation as risks that could challenge its record of outperforming the broader market. Visa’s IPO and long-term performance
About Visa
(
Get Free Report)
Visa Inc. operates a global payments network that connects consumers, merchants, financial institutions and governments. Its network supports the authorization, clearing and settlement of electronic payments, including transactions made in person and online. The company's services include payment processing, fraud prevention, identity and risk management, and money-transfer solutions such as Visa Direct. Visa-branded credit, debit and prepaid cards are issued by participating financial institutions; Visa generally provides the network and related services rather than issuing cards or extending credit directly to consumers.
Further Reading
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