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Visa (V) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Visa (V - Free Report) closed at $226.30, marking a -1.42% move from the previous day. This change lagged the S&P 500's daily loss of 0.45%. Meanwhile, the Dow lost 0.04%, and the Nasdaq, a tech-heavy index, added 3.58%.
Heading into today, shares of the global payments processor had gained 2.02% over the past month, lagging the Business Services sector's gain of 3.74% and the S&P 500's gain of 5.01% in that time.
Wall Street will be looking for positivity from Visa as it approaches its next earnings report date. The company is expected to report EPS of $2.10, up 6.06% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.05 billion, up 10.69% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.59 per share and revenue of $32.52 billion, which would represent changes of +14.53% and +10.96%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Visa. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.05% higher. Visa currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Visa currently has a Forward P/E ratio of 26.74. For comparison, its industry has an average Forward P/E of 13.22, which means Visa is trading at a premium to the group.
Meanwhile, V's PEG ratio is currently 1.76. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Financial Transaction Services industry currently had an average PEG ratio of 1.15 as of yesterday's close.
The Financial Transaction Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 161, putting it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Visa (V) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Visa (V - Free Report) closed at $226.30, marking a -1.42% move from the previous day. This change lagged the S&P 500's daily loss of 0.45%. Meanwhile, the Dow lost 0.04%, and the Nasdaq, a tech-heavy index, added 3.58%.
Heading into today, shares of the global payments processor had gained 2.02% over the past month, lagging the Business Services sector's gain of 3.74% and the S&P 500's gain of 5.01% in that time.
Wall Street will be looking for positivity from Visa as it approaches its next earnings report date. The company is expected to report EPS of $2.10, up 6.06% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.05 billion, up 10.69% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.59 per share and revenue of $32.52 billion, which would represent changes of +14.53% and +10.96%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Visa. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.05% higher. Visa currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Visa currently has a Forward P/E ratio of 26.74. For comparison, its industry has an average Forward P/E of 13.22, which means Visa is trading at a premium to the group.
Meanwhile, V's PEG ratio is currently 1.76. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Financial Transaction Services industry currently had an average PEG ratio of 1.15 as of yesterday's close.
The Financial Transaction Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 161, putting it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.