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Visa

NYSE:V
Snowflake Description

Solid track record with reasonable growth potential and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
V
NYSE
$272B
Market Cap
  1. Home
  2. US
  3. Software
2018/02/22
Company description

Visa Inc. operates as a payments technology company worldwide. More info.


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3 Month History
V
Industry
5yr Volatility vs Market

Value

 Is Visa undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Visa to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.

How is this discounted cash flow calculated?

  • The current share price of Visa is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Visa's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Visa's earnings available for a low price, and how does this compare to other companies in the same industry?
  • Visa is overvalued based on earnings compared to the US IT industry average.
  • Visa is overvalued based on earnings compared to the US market.
Price based on expected Growth
Does Visa's expected growth come at a high price?
  • Visa is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Visa's assets?
  • Visa is overvalued based on assets compared to the US IT industry average.
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Value checks
We assess Visa's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. Visa has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
    Note 2: PEG ratio is based on analysts EPS growth expectations in 1 year (51.96%).

    Full details on the Value part of the Simply Wall St company analysis model.
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Discounted cash flow (2 Stage Free Cash Flow to Equity)

The calculations below outline how an intrinsic value for Visa is arrived at by discounting future cash flows to their present value. We use analyst's estimates of cash flows going forward 5 years.

See our documentation to learn about this calculation.

5 year cash flow forecast

Present value of next 5 years cash flows:
$50,772

Terminal Value

Terminal Value = FCF2022 × (1 + g) ÷ (Discount Rate – g)

Terminal Value = $16,867 × (1 + 2.47%) ÷ (9.58% – 2.47%)

Terminal value based on the Perpetuity Method where growth (g) = 2.47%:
$243,130

Present value of terminal value:
$153,889

Equity Value

Equity Value (Total value) = Present value of next 5 years cash flows + terminal value
$204,661 = $50,772 + $153,889

Value = Total value / Shares Outstanding ($204,661 / 2,257)

Discount to Share Price

Value per share:
$90.68

Current discount (share price of $120.43): -32.8%



Estimate of Discount Rate

The discount rate, or required rate of return, is estimated by calculating the Cost of Equity.

Discount rate = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)

Discount rate = 9.58% = 2.47% + (0.944 * 7.53%)



Estimate of Bottom Up Beta

The Levered Beta is the Unlevered Beta adjusted for financial leverage. It is limited to 0.8 to 2.0 (practical range for a stable firm). Note the market value of equity is used not the book value ($271,799,109,433).

Levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))

0.944 = 0.911 (1 + (1- 40%) (6.12%))

Levered Beta used in calculation = 0.944



Assumptions
  1. The risk free rate of 2.47% is from the 10 year government bond rate in USD.
  2. The bottom-up beta is estimated by analysing other companies in the same industry.
  3. The Equity Risk Premium is calculated by subtracting the risk free rate from the market return premium (7.53%) (source: Buffet).
  4. The dividend discount model is automatically used for companies in the following industries: Banks, Insurance, Real Estate Investment Trusts (REITs), Diversified Financial Services and Capital Markets.

Future Performance

 How is Visa expected to perform in the next 1 to 3 years based on estimates from 33 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
15.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Visa expected to grow at an attractive rate?
  • Visa's earnings growth is expected to exceed the low risk savings rate of 4.5%.
Growth vs Market Checks
  • Visa's earnings growth is expected to exceed the US market average.
  • Visa's revenue growth is expected to exceed the US market average.
Annual Growth Rates Comparison
Analysts growth expectations
Super high growth metrics
High Growth Checks
  • Visa's earnings are expected to grow by 15.9% yearly, however this is not considered high growth (20% yearly).
  • Visa's revenue is expected to grow by 9.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Visa is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
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Future performance checks
We assess Visa's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the US market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the US market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Visa has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Visa performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Visa's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Visa's year on year earnings growth rate has been positive over the past 5 years.
  • Visa's 1-year earnings growth exceeds its 5-year average (15.2% vs 12%)
  • Visa's earnings growth has exceeded the US IT industry average in the past year (15.2% vs 4.2%).
Earnings and Revenue History
Visa's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Visa has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Visa used its assets more efficiently than the US IT industry average last year based on Return on Assets.
  • Visa's use of capital has not improved over the past 3 years (Return on Capital Employed).
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Past performance checks
We assess Visa's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Visa has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Visa's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Visa's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Visa is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Visa's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Visa's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
  • Visa's level of debt (49.8%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 49.8% today).
  • Debt is well covered by operating cash flow (56.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 25.9x coverage).
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Financial health checks
We assess Visa's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by short term assets? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Visa has a total score of 3/6, see the detailed checks below.


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Visa's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.7%
Current annual income from Visa dividends. Estimated to be 0.74% next year.
If you bought $2,000 of Visa shares you are expected to receive $14 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Visa's dividend is below the low risk savings rate (2.25%).
  • Visa's dividend is below the markets top dividend payers (3.18%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Visa's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by net profit (4.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by net profit (6.8x coverage).
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Income/ dividend checks
We assess Visa's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.5%) - if not then the rest of the checks are ignored.
  2. Current dividend yield, is there one at all, is it higher than the low risk savings rate, and is it above the top 25% of dividend payers? (2 checks)
  3. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  4. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  5. How sustainable is the dividend, can Visa afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  6. Visa has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Visa's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Al Kelly, image provided by Google.
Al Kelly
COMPENSATION $21,734,454
AGE 59
TENURE AS CEO 1.2 years
CEO Bio

Mr. Alfred F. Kelly, Jr., also known as Al, has been the Chief Executive Officer of Visa Inc. since December 1, 2016. Mr. Kelly served as the Chairman, President and Chief Executive Officer of the 2014 NY/NJ Super Bowl Host Company from April 2011 to August 2014. Mr. Kelly served as the Chief Executive Officer and President at Intersection Co. since February 17, 2016. He served as the President and Head of Global Consumer Group at American Express Company from July 1, 2007 to April 10, 2010. He led many of American Express' key businesses, including the Consumer Card Services Group, OPEN from American Express, Consumer Travel, Global Travelers Cheques and Prepaid Services, Establishment Services, North America, U.S. Customer Service, Global Risk Management and Interactive Services worldwide. He served as Group President of Consumer for Small Business and Merchant Services for American Express Co. from October 2005 to July 1, 2007. He served as Group President of U.S. Consumer and Small Business Services for Travel Releated Services Company, Inc. since June 2000. He served as the President of Consumer Card Services Group, TRS since October 1998. He served as an Executive Vice President and General Manager for Consumer Marketing, TRS since February 1997. He served as the Head of Information Systems at the White House from 1985 to 1987, where he oversaw the information processing functions for several government agencies that comprise the Executive Office of the President. He also held management positions in strategic and financial planning at PepsiCo. He has an extensive global experience in consumer marketing, strategic planning and development, customer loyalty and information technology. He has been an Independent Director of MetLife, Inc. since June 2009 and an Independent Director of Visa Inc. since January 29, 2014. He has been a Director of Metropolitan Life Insurance Company since 2009. He served as a Director for Affinion Group Holdings, Inc. from February 24, 2011 to August 9, 2013. He served as a Director of The Hershey Company from August 11, 2005 to November 11, 2007. He served as Vice Chairman of the Wall Street Charity Golf Classic for 12 years. He served as a Director of Affinion Group, Inc. from February 24, 2011 to August 2013. He served as the Chairman, Board of Directors of School of the Holy Child. He serves as a Trustee of The New York and Presbyterian Hospital and Iona Preparatory School. He served as a Member of Boards of Trustees of St. Joseph's Seminary and College and New York Catholic Foundation. He serves on the Board of Trustees of Iona College, New Rochelle, NY. He serves on the Board of Directors of Concern Worldwide USA and the Carvel Children's Rehabilitation Center and serves as Member of Council on Foreign Relations. Mr. Kelly holds a Master of Business Administration and Bachelor of Arts in Liberal Arts (Summa Cum Laude) from Iona College.

CEO Compensation
  • Al's compensation has increased by more than 20% in the past year.
  • Al's compensation appears reasonable for a company of this size and profit level.
Management Team Tenure

Average tenure and age of the Visa management team in years:

2.7
Average Tenure
53.5
Average Age
  • The tenure for the Visa management team is about average.
Management Team

Al Kelly

TITLE
CEO & Director
COMPENSATION
$22M
AGE
59
TENURE
1.2 yrs

Ryan McInerney

TITLE
President
COMPENSATION
$9M
AGE
42
TENURE
4.7 yrs

Vasant Prabhu

TITLE
Executive VP & CFO
COMPENSATION
$8M
AGE
57
TENURE
3 yrs

Rajat Taneja

TITLE
Executive Vice President of Technology & Operations
COMPENSATION
$10M
AGE
53

Kelly Tullier

TITLE
Executive VP
COMPENSATION
$5M
AGE
51
TENURE
3.3 yrs

James Hoffmeister

TITLE
Chief Accounting Officer
AGE
44
TENURE
1.8 yrs

Jack Carsky

TITLE
Global Head of Investor Relations

Lynne Biggar

TITLE
Executive VP and Chief Marketing & Communications Officer
AGE
54
TENURE
2 yrs

Michael Ross

TITLE
Global Head of Human Resources
TENURE
5.1 yrs

Ellen Richey

TITLE
Vice Chairman & Chief Risk Officer
COMPENSATION
$4M
AGE
68
TENURE
0.8 yrs
Board of Directors Tenure

Average tenure and age of the Visa board of directors in years:

6
Average Tenure
62.2
Average Age
  • The tenure for the Visa board of directors is about average.
Board of Directors

Robert Matschullat

TITLE
Non-Executive Chairman of the Board
COMPENSATION
$497K
AGE
69
TENURE
4.9 yrs

Al Kelly

TITLE
CEO & Director
COMPENSATION
$22M
AGE
59
TENURE
4.1 yrs

Mary Cranston

TITLE
Director
COMPENSATION
$355K
AGE
69
TENURE
10.3 yrs

Suzanne Nora Johnson

TITLE
Independent Director
COMPENSATION
$350K
AGE
60
TENURE
10.3 yrs

John Swainson

TITLE
Independent Director
COMPENSATION
$335K
AGE
63
TENURE
10.3 yrs

Francisco Fernández-Carbajal

TITLE
Director
COMPENSATION
$325K
AGE
62
TENURE
10.3 yrs

Maynard Webb

TITLE
Independent Director
COMPENSATION
$335K
AGE
62
TENURE
4.1 yrs

Lloyd Carney

TITLE
Independent Director
COMPENSATION
$315K
AGE
55
TENURE
2.7 yrs

Gary Hoffman

TITLE
Director
COMPENSATION
$482K
AGE
57
TENURE
2.1 yrs

John Lundgren

TITLE
Independent Director
COMPENSATION
$31K
AGE
66
TENURE
0.8 yrs
Recent Insider Trading
  • Visa insiders have only sold shares in the past 3 months.
Who owns this company?
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Management checks
We assess Visa's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap and profit (greater than 0.5% of the company's profit + 0.03% of market cap)? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Visa has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

Company News

External News
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Simply Wall St News

What is Behind Visa Inc's (NYSE:V) Superior ROE?

Return on Equity = Net Profit ÷ Shareholders Equity ROE is assessed against cost of equity, which is measured using the Capital Asset Pricing Model (CAPM) – but let’s not dive into the details of that today. … Since Visa’s return covers its cost in excess of 12.39%, its use of equity capital is efficient and likely to be sustainable. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NYSE:V Last Perf Feb 13th 18 The first component is profit margin, which measures how much of sales is retained after the company pays for all its expenses.

Simply Wall St -

Visa Inc (NYSE:V): What Can We Expect From This High Growth Stock?

Below, I've laid out key growth figures on how market analysts view Visa's earnings growth trajectory over the next couple of years and whether the future looks even brighter than the past. … This growth seems to continue into the following year with rates arriving at double digit 69.48% compared to today’s earnings, and finally hitting $12,794.4M by 2021. … NYSE:V Future Profit Jan 29th 18 Even though it’s helpful to understand the rate of growth year by year relative to today’s value, it may be more valuable determining the rate at which the company is growing on average every year.

Simply Wall St -

January Top Growth Stocks To Look Out For

NYSE:V Future Profit Jan 22nd 18 Chicken Soup for the Soul Entertainment, Inc. … NasdaqGM:CSSE Future Profit Jan 22nd 18 Callon Petroleum Company (NYSE:CPE) Callon Petroleum Company Inc., an independent oil and natural gas company, acquires, explores for, develops, and produces oil and natural gas properties in the Permian Basin in West Texas. … NYSE:CPE Future Profit Jan 22nd 18 For more financially robust companies with high growth potential to enhance your portfolio, use our free platform to explore our interactive list of these stocks.

Simply Wall St -

Has Visa Inc (NYSE:V) Improved Earnings Growth In Recent Times?

Below, I will run you through a simple sense check to build perspective on how Visa is doing by comparing its most recent earnings with its historical trend, in addition to the performance of its it industry peers. … This means generally, Visa has been able to consistently grow its earnings over the last few years as well. … This means whatever uplift the industry is gaining from, Visa is able to amplify this to its advantage.What does this mean?

Simply Wall St -

An Intrinsic Value Calculation For Visa Inc (NYSE:V) Shows Investors Are Overpaying

5-year cash flow estimate 2018 2019 2020 2021 2022 Levered FCF ($, Millions) $10,097.00 $11,209.67 $12,507.50 $13,925.00 $15,632.50 Source Analyst x12 Analyst x9 Analyst x4 Analyst x2 Analyst x2 Present Value Discounted @ 9.24% $9,242.81 $9,393.26 $9,594.13 $9,777.83 $10,048.18 Present Value of 5-year Cash Flow (PVCF)= $48,056 After calculating the present value of future cash flows in the intial 5-year period we need to calculate the Terminal Value, which accounts for all the future cash flows beyond the first stage. … Terminal Value (TV) = FCF2022 × (1 + g) ÷ (r – g) = $15,633 × (1 + 2.5%) ÷ (9.2% – 2.5%) = $236,554 Present Value of Terminal Value (PVTV) = TV / (1 + r)5 = $236,554 / ( 1 + 9.2%)5 = $152,051 The total value, or equity value, is then the sum of the present value of the cash flows, which in this case is $200,107. … NYSE:V Intrinsic Value Jan 12th 18 The assumptions I'd like to point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

What Do Current Expectations Tell Us About Visa Inc's (NYSE:V) Net Income In The Future?

A closer look at V's profit margin Attractive margins generally indicate a desirable ability to translate sales revenue in to earnings, and return for shareholders. … Margin Calculation for V Profit Margin = Net Income ÷ Revenue ∴ Profit Margin = 6.47 Billion ÷ 18.36 Billion = 35.23% Visa's margin has expanded in the past five years, with 12.18% in average net income growth surpassing 10.40% in average revenue growth, which suggests that the company has been able to convert a larger percentage of revenue into net income whilst grow their top line at the same time. … Using Visa's margin expectations as a way to understand projections for the future Based on future expectations, V's profit margin will expand further, with 9.39% in expected annual revenue growth and a forecasted 20.98% in annual net income growth.

Simply Wall St -

Why Visa Inc (NYSE:V) Could Be A Buy

Visa Inc (NYSE:V) saw its share price hover around a small range of $104.58 to $113.82 over the last few weeks. … In addition to this, it seems like Visa’s share price is quite stable, which could mean two things: firstly, it may take the share price a while to fall back down to an attractive buying range, and secondly, there may be less chances to buy low in the future once it reaches that value. … If you believe Visa should trade below its current price, selling high and buying it back up again when its price falls towards its real value can be profitable.

Simply Wall St -

Best Growth Stocks To Buy This December

Companies such as Visa and Chicken Soup for the Soul Entertainment have a significantly positive future outlook on the basis of their profitability and returns. … NYSE:V Future Profit Dec 23rd 17 Chicken Soup for the Soul Entertainment, Inc. … Profit growth, coupled with top-line expansion, is a positive indication.

Simply Wall St -

Is December The Month To Buy Visa Inc (NYSE:V) For Your Growth Portfolio?

This tells us that Visa is overvalued compared to the US market average ratio of 19.55x , and overvalued based on current earnings compared to the it industry average of 24.01x. … NYSE:V PE PEG Gauge Dec 20th 17 After looking at V's value based on current earnings, we can see it seems overvalued relative to other companies in the industry. … So when we include the growth factor in our analysis Visa appears a bit overvalued , based on fundamental analysis.

Simply Wall St -

How Do Analysts See Visa Inc (V) Performing In The Year Ahead?

Since Visa Inc (NYSE:V) released its earnings in September 2017, analyst consensus outlook appear cautiously optimistic, with profits predicted to increase by 45.22% next year compared with the past 5-year average growth rate of 12.15%. … To understand the overall trajectory of V's earnings growth over these next fews years, I've fitted a line through these analyst earnings forecast to determine an annual growth rate from the slope. … NYSE:V Future Profit Dec 12th 17 By 2020, V's earnings should reach $12,215.8M, from current levels of $6,467.0M, resulting in an annual growth rate of 20.36%.

Simply Wall St -

Company Info

Map
Description

Visa Inc. operates as a payments technology company worldwide. The company facilitates commerce through the transfer of value and information among consumers, merchants, financial institutions, businesses, strategic partners, and government entities. It operates VisaNet, a processing network that enables authorization, clearing, and settlement of payment transactions; and offers fraud protection for account holders and assured payment for merchants. The company also offers gateway services for merchants to accept, process, and reconcile payments; manage fraud; and safeguard payment security online, as well as processing services for participating issuers of visa debit, prepaid, and ATM payment products. In addition, it provides digital products, including Visa Checkout that offers consumers an expedited, and secure payment experience for online transactions; and Visa Direct, a push payment product platform, that allows businesses, governments, and consumers to use the Visa network to transfer funds from an originating account to another via a debit, prepaid, or credit card number, as well as Visa token service that replaces the card account numbers from the transaction with a token. Further the company offers corporate (travel) and purchasing card products, as well as value-added services. It provides its services under the Visa, Visa Electron, Interlink, V PAY, and PLUS brands. Visa Inc. was incorporated in 2007 and is headquartered in San Francisco, California.

Details
Name: Visa Inc.
V
Exchange: NYSE
Founded: 2007
$271,799,109,433
2,256,905,334
Website: http://usa.visa.com
Address: Visa Inc.
PO Box 8999,
San Francisco,
California, 94128,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE V Class A Common Stock New York Stock Exchange US USD 19. Mar 2008
DB 3V64 Class A Common Stock Deutsche Boerse AG DE EUR 19. Mar 2008
XTRA 3V64 Class A Common Stock XETRA Trading Platform DE EUR 19. Mar 2008
LSE 0QZ0 Class A Common Stock London Stock Exchange GB USD 19. Mar 2008
SWX V Class A Common Stock SIX Swiss Exchange CH CHF 19. Mar 2008
SWX V Class A Common Stock SIX Swiss Exchange CH CHF 19. Mar 2008
WBAG VISA Class A Common Stock Wiener Boerse AG AT EUR 19. Mar 2008
SNSE V Class A Common Stock Santiago Stock Exchange CL USD 19. Mar 2008
BMV V * Class A Common Stock Bolsa Mexicana de Valores MX MXN 19. Mar 2008
BVL V Class A Common Stock Bolsa de Valores de Lima PE USD 19. Mar 2008
BOVESPA VISA34 BDR EACH REPR 1 COM SHS Bolsa de Valores de Sao Paulo BR BRL 02. Feb 2012
Number of employees
Current staff
Staff numbers
14,200
Visa employees.
Industry
Data Processing and Outsourced Services
Software
Company Analysis and Financial Data Status
Area Date
Company Analysis updated: 2018/02/22
Last estimates confirmation: 2018/02/12
Last earnings update: 2017/12/31
Last annual earnings update: 2017/09/30


All dates in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.