Visa (NYSE:V) Shares Climb 2.5% – Time to Buy?

Visa Inc. (NYSE:V – Get Free Report)’s share price rose 2.5% during mid-day trading on Monday. The stock traded as high as $370.17 and last traded at $369.6450. 4,514,577 shares traded hands during trading, a decline of 41% from the average daily volume of 7,612,737 shares. The stock had previously closed at $360.66.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on V shares. President Capital boosted their price objective on shares of Visa from $411.00 to $474.00 and gave the company a “buy” rating in a research report on Monday, August 17th. Daiwa Securities Group raised their target price on shares of Visa from $375.00 to $422.00 and gave the stock an “outperform” rating in a research report on Thursday, August 6th. DZ Bank reaffirmed a “buy” rating on shares of Visa in a research note on Monday, August 3rd. Robert W. Baird boosted their price target on Visa from $412.00 to $420.00 and gave the company an “outperform” rating in a report on Wednesday, July 29th. Finally, Barclays assumed coverage on Visa in a research note on Tuesday, July 7th. They set an “overweight” rating and a $420.00 price target on the stock. Three analysts have rated the stock with a Strong Buy rating and thirty-four have issued a Buy rating to the stock. Based on data from MarketBeat, Visa has a consensus rating of “Buy” and an average target price of $425.21.

Check Out Our Latest Report on Visa

Visa Stock Up 2.5%

The company has a debt-to-equity ratio of 0.60, a current ratio of 0.99 and a quick ratio of 0.99. The firm’s 50-day moving average is $369.04 and its 200 day moving average is $340.78. The stock has a market cap of $659.61 billion, a price-to-earnings ratio of 31.43, a price-to-earnings-growth ratio of 1.70 and a beta of 0.77.

Visa (NYSE:V – Get Free Report) last posted its quarterly earnings results on Tuesday, July 28th. The credit-card processor reported $3.32 earnings per share 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 company had revenue of $11.63 billion for the quarter, compared to the consensus estimate of $11.40 billion. During the same quarter last year, the firm posted $2.98 earnings per share. Visa’s revenue was up 14.4% on a year-over-year basis. Sell-side analysts anticipate that Visa Inc. will post 13.22 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 1st. Investors of record on Tuesday, August 11th were given a $0.67 dividend. This represents a $2.68 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend was Tuesday, August 11th. Visa’s dividend payout ratio (DPR) is 22.79%.

Insider Buying and Selling at Visa

In other news, CEO Ryan Mcinerney sold 5,875 shares of Visa stock in a transaction dated Thursday, October 1st. The stock was sold at an average price of $358.81, for a total value of $2,108,008.75. Following the transaction, the chief executive officer directly owned 15,174 shares of the company’s stock, valued at $5,444,582.94. The trade was a 27.91% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Tullier Mahon sold 57,272 shares of the business’s stock in a transaction dated Thursday, July 30th. The stock was sold at an average price of $364.97, for a total value of $20,902,561.84. Following the sale, the insider owned 49,662 shares of the company’s stock, valued at $18,125,140.14. The trade was a 53.56% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 78,792 shares of company stock valued at $28,863,319. Company insiders own 0.12% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. XXEC Inc. lifted its position in Visa by 153,118.8% during the 2nd quarter. XXEC Inc. now owns 186,260,448 shares of the credit-card processor’s stock worth $63,904,097,000 after acquiring an additional 186,138,883 shares in the last quarter. State Street Corp grew its position in Visa by 0.7% in the second quarter. State Street Corp now owns 82,872,209 shares of the credit-card processor’s stock valued at $28,432,626,000 after acquiring an additional 566,194 shares in the last quarter. Capital International Investors raised its stake in shares of Visa by 1.1% during the fourth quarter. Capital International Investors now owns 21,516,371 shares of the credit-card processor’s stock valued at $7,547,169,000 after purchasing an additional 244,085 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of Visa by 13.0% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 15,720,068 shares of the credit-card processor’s stock worth $5,393,398,000 after purchasing an additional 1,808,496 shares in the last quarter. Finally, Franklin Resources Inc. boosted its stake in shares of Visa by 9.2% in the fourth quarter. Franklin Resources Inc. now owns 8,843,623 shares of the credit-card processor’s stock valued at $3,101,547,000 after purchasing an additional 746,917 shares during the period. 82.15% of the stock is owned by institutional investors and hedge funds.

About Visa

(Get Free Report)

Visa Inc is a global payments technology company that operates one of the world’s largest electronic payments networks. Through its VisaNet platform, the company facilitates the authorization, clearing and settlement of payment transactions between consumers, merchants, financial institutions and governments.

Visa provides payment products and services for credit, debit, prepaid and commercial transactions. Its offerings also include digital payment capabilities, tokenization, fraud prevention, risk management and other value-added services designed to support secure electronic commerce and contactless payments.

Further Reading

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