Visa (NYSE:V) Stock Price Down 3.1% – Here’s Why

Visa Inc. (NYSE:V) fell 3.1% during trading on Friday . The company traded as low as $312.82 and last traded at $314.1270. 11,625,592 shares changed hands during mid-day trading, an increase of 36% from the average session volume of 8,544,014 shares. The stock had previously closed at $324.18.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on V shares. HSBC upgraded Visa from a “hold” rating to a “strong-buy” rating in a research report on Monday, December 8th. Raymond James Financial restated an “outperform” rating and set a $408.00 price objective (up previously from $398.00) on shares of Visa in a report on Wednesday, October 29th. Robert W. Baird set a $425.00 price target on shares of Visa in a research report on Wednesday, October 29th. Bank of America upgraded shares of Visa from a “neutral” rating to a “buy” rating and set a $382.00 price objective for the company in a research report on Thursday, December 11th. Finally, Macquarie Infrastructure reaffirmed an “outperform” rating and set a $410.00 price objective on shares of Visa in a research note on Friday, January 30th. Six equities research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average target price of $392.21.

Visa Price Performance

The business has a 50-day moving average of $338.32 and a 200 day moving average of $340.18. The company has a current ratio of 1.11, a quick ratio of 1.11 and a debt-to-equity ratio of 0.51. The firm has a market capitalization of $570.19 billion, a P/E ratio of 29.47, a price-to-earnings-growth ratio of 1.89 and a beta of 0.79.

Visa (NYSE:V) last announced its quarterly earnings data on Thursday, January 29th. The credit-card processor reported $3.17 EPS for the quarter, beating analysts’ consensus estimates of $3.14 by $0.03. Visa had a return on equity of 61.74% and a net margin of 50.23%.The firm had revenue of $10.90 billion during the quarter, compared to analysts’ expectations of $10.69 billion. During the same quarter last year, the firm posted $2.75 earnings per share. The company’s revenue for the quarter was up 14.6% compared to the same quarter last year. On average, sell-side analysts predict that Visa Inc. will post 11.3 earnings per share for the current fiscal year.

Visa Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, March 2nd. Investors of record on Tuesday, February 10th will be given a dividend of $0.67 per share. The ex-dividend date of this dividend is Tuesday, February 10th. This represents a $2.68 annualized dividend and a dividend yield of 0.9%. Visa’s payout ratio is presently 25.14%.

Insider Buying and Selling at Visa

In other news, insider Paul D. Fabara sold 2,172 shares of the company’s stock in a transaction that occurred on Friday, November 21st. The stock was sold at an average price of $325.93, for a total value of $707,919.96. Following the completion of the transaction, the insider directly owned 26,413 shares of the company’s stock, valued at $8,608,789.09. This represents a 7.60% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Ryan Mcinerney sold 10,485 shares of Visa stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $349.18, for a total value of $3,661,152.30. Following the sale, the chief executive officer owned 9,401 shares in the company, valued at $3,282,641.18. This trade represents a 52.73% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.12% of the company’s stock.

Institutional Investors Weigh In On Visa

A number of hedge funds have recently modified their holdings of the stock. Clayton Financial Group LLC increased its holdings in Visa by 446.2% in the 4th quarter. Clayton Financial Group LLC now owns 71 shares of the credit-card processor’s stock worth $25,000 after acquiring an additional 58 shares during the last quarter. PayPay Securities Corp boosted its position in Visa by 102.7% during the fourth quarter. PayPay Securities Corp now owns 75 shares of the credit-card processor’s stock worth $26,000 after purchasing an additional 38 shares during the period. Cresta Advisors Ltd. purchased a new position in shares of Visa in the fourth quarter worth about $26,000. Parvin Asset Management LLC increased its stake in shares of Visa by 200.0% in the third quarter. Parvin Asset Management LLC now owns 75 shares of the credit-card processor’s stock worth $26,000 after purchasing an additional 50 shares in the last quarter. Finally, Harbor Asset Planning Inc. bought a new stake in shares of Visa in the second quarter valued at approximately $29,000. Institutional investors own 82.15% of the company’s stock.

About Visa

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.