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Visa (V) Dips More Than Broader Markets: What You Should Know
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Visa (V - Free Report) closed the most recent trading day at $218.36, moving -0.72% from the previous trading session. This change lagged the S&P 500's 0.47% loss on the day. Meanwhile, the Dow gained 0.02%, and the Nasdaq, a tech-heavy index, lost 15.51%.
Heading into today, shares of the global payments processor had lost 4.46% over the past month, lagging the Business Services sector's loss of 3.34% and the S&P 500's loss of 2.53% in that time.
Visa will be looking to display strength as it nears its next earnings release. In that report, analysts expect Visa to post earnings of $1.97 per share. This would mark year-over-year growth of 10.06%. Meanwhile, our latest consensus estimate is calling for revenue of $7.74 billion, up 7.72% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.43 per share and revenue of $32.24 billion, which would represent changes of +12.4% and +10%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Visa. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.08% higher. Visa is currently sporting a Zacks Rank of #2 (Buy).
Investors should also note Visa's current valuation metrics, including its Forward P/E ratio of 26.1. This valuation marks a premium compared to its industry's average Forward P/E of 14.49.
Meanwhile, V's PEG ratio is currently 1.72. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial Transaction Services was holding an average PEG ratio of 1.17 at yesterday's closing price.
The Financial Transaction Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 83, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Visa (V) Dips More Than Broader Markets: What You Should Know
Visa (V - Free Report) closed the most recent trading day at $218.36, moving -0.72% from the previous trading session. This change lagged the S&P 500's 0.47% loss on the day. Meanwhile, the Dow gained 0.02%, and the Nasdaq, a tech-heavy index, lost 15.51%.
Heading into today, shares of the global payments processor had lost 4.46% over the past month, lagging the Business Services sector's loss of 3.34% and the S&P 500's loss of 2.53% in that time.
Visa will be looking to display strength as it nears its next earnings release. In that report, analysts expect Visa to post earnings of $1.97 per share. This would mark year-over-year growth of 10.06%. Meanwhile, our latest consensus estimate is calling for revenue of $7.74 billion, up 7.72% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.43 per share and revenue of $32.24 billion, which would represent changes of +12.4% and +10%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Visa. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.08% higher. Visa is currently sporting a Zacks Rank of #2 (Buy).
Investors should also note Visa's current valuation metrics, including its Forward P/E ratio of 26.1. This valuation marks a premium compared to its industry's average Forward P/E of 14.49.
Meanwhile, V's PEG ratio is currently 1.72. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial Transaction Services was holding an average PEG ratio of 1.17 at yesterday's closing price.
The Financial Transaction Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 83, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.