Visa (NYSE:V) Shares Down 1.4% – Here’s Why

Visa Inc. (NYSE:VGet Free Report) dropped 1.4% during trading on Monday . The company traded as low as $358.52 and last traded at $358.94. Approximately 10,266,788 shares changed hands during mid-day trading, an increase of 30% from the average session volume of 7,907,100 shares. The stock had previously closed at $364.15.

Analyst Ratings Changes

V has been the subject of a number of research reports. Wells Fargo & Company restated an “overweight” rating and set a $432.00 target price (up from $412.00) on shares of Visa in a report on Thursday, July 30th. Truist Financial set a $406.00 price target on Visa and gave the company a “buy” rating in a report on Wednesday, August 5th. Raymond James Financial reiterated an “outperform” rating and set a $406.00 price objective on shares of Visa in a research report on Wednesday, July 29th. Royal Bank Of Canada reissued an “outperform” rating and set a $412.00 price objective (up from $395.00) on shares of Visa in a research note on Wednesday, July 29th. Finally, Morgan Stanley restated an “overweight” rating and issued a $416.00 target price on shares of Visa in a report on Wednesday, July 29th. Seven analysts have rated the stock with a Strong Buy rating and twenty-four have issued a Buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Buy” and an average price target of $413.58.

Get Our Latest Research Report on V

Visa Stock Performance

The firm’s fifty day simple moving average is $349.37 and its 200 day simple moving average is $328.29. The company has a market capitalization of $640.50 billion, a price-to-earnings ratio of 30.52, a PEG ratio of 1.95 and a beta of 0.74. The company has a debt-to-equity ratio of 0.60, a current ratio of 0.99 and a quick ratio of 0.99.

Visa (NYSE:VGet Free Report) last posted its quarterly earnings data on Tuesday, July 28th. The credit-card processor reported $3.32 EPS for the quarter, topping analysts’ consensus estimates of $3.23 by $0.09. Visa had a net margin of 50.78% and a return on equity of 67.68%. The firm had revenue of $11.63 billion during the quarter, compared to analyst estimates of $11.40 billion. During the same quarter last year, the business posted $2.98 EPS. The company’s revenue was up 14.4% on a year-over-year basis. On average, sell-side analysts forecast that Visa Inc. will post 13.15 EPS for the current year.

Visa Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Tuesday, August 11th will be paid a $0.67 dividend. The ex-dividend date of this dividend is Tuesday, August 11th. This represents a $2.68 dividend on an annualized basis and a dividend yield of 0.7%. Visa’s dividend payout ratio is 22.79%.

Visa declared that its Board of Directors has authorized a stock repurchase program on Tuesday, April 28th that permits the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization permits the credit-card processor to repurchase up to 3.6% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity at Visa

In other news, General Counsel Julie B. Rottenberg sold 2,027 shares of the firm’s stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $360.00, for a total transaction of $729,720.00. Following the transaction, the general counsel owned 18,404 shares in the company, valued at approximately $6,625,440. This trade represents a 9.92% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Ryan Mcinerney sold 20,970 shares of Visa stock in a transaction on Monday, June 29th. The shares were sold at an average price of $340.25, for a total transaction of $7,135,042.50. Following the completion of the sale, the chief executive officer directly owned 15,174 shares of the company’s stock, valued at approximately $5,162,953.50. The trade was a 58.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 90,759 shares of company stock valued at $32,375,779. 0.12% of the stock is currently owned by corporate insiders.

Institutional Trading of Visa

Institutional investors and hedge funds have recently made changes to their positions in the stock. XXEC Inc. lifted its stake in Visa by 153,118.8% during the second quarter. XXEC Inc. now owns 186,260,448 shares of the credit-card processor’s stock worth $63,904,097,000 after purchasing an additional 186,138,883 shares during the period. Norges Bank bought a new stake in shares of Visa in the 4th quarter valued at approximately $5,877,738,000. Cardano Risk Management B.V. grew its stake in shares of Visa by 867.6% in the 4th quarter. Cardano Risk Management B.V. now owns 8,213,610 shares of the credit-card processor’s stock valued at $2,880,595,000 after purchasing an additional 7,364,762 shares during the period. Diamant Asset Management Inc. raised its holdings in shares of Visa by 29,706.3% in the 1st quarter. Diamant Asset Management Inc. now owns 7,332,947 shares of the credit-card processor’s stock worth $2,216,310,000 after buying an additional 7,308,345 shares in the last quarter. Finally, Jupiter Topco LLC acquired a new position in shares of Visa in the 2nd quarter worth approximately $1,435,262,000. Institutional investors and hedge funds own 82.15% of the company’s stock.

Visa Company Profile

(Get Free Report)

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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