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Visa (V) Gains As Market Dips: What You Should Know
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Visa (V - Free Report) closed the most recent trading day at $239.45, moving +0.62% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.2%. Meanwhile, the Dow lost 0.38%, and the Nasdaq, a tech-heavy index, lost 9.78%.
Heading into today, shares of the global payments processor had gained 4.27% over the past month, lagging the Business Services sector's gain of 5.09% and outpacing the S&P 500's gain of 4.16% in that time.
Wall Street will be looking for positivity from Visa as it approaches its next earnings report date. This is expected to be July 25, 2023. In that report, analysts expect Visa to post earnings of $2.10 per share. This would mark year-over-year growth of 6.06%. 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.
It is also important to note the recent changes to analyst estimates for Visa. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 remained stagnant. Visa currently has a Zacks Rank of #2 (Buy).
Digging into valuation, Visa currently has a Forward P/E ratio of 27.72. This represents a premium compared to its industry's average Forward P/E of 14.67.
We can also see that V currently has a PEG ratio of 1.82. 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 industry currently had an average PEG ratio of 1.22 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 188, putting it in the bottom 26% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Visa (V) Gains As Market Dips: What You Should Know
Visa (V - Free Report) closed the most recent trading day at $239.45, moving +0.62% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.2%. Meanwhile, the Dow lost 0.38%, and the Nasdaq, a tech-heavy index, lost 9.78%.
Heading into today, shares of the global payments processor had gained 4.27% over the past month, lagging the Business Services sector's gain of 5.09% and outpacing the S&P 500's gain of 4.16% in that time.
Wall Street will be looking for positivity from Visa as it approaches its next earnings report date. This is expected to be July 25, 2023. In that report, analysts expect Visa to post earnings of $2.10 per share. This would mark year-over-year growth of 6.06%. 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.
It is also important to note the recent changes to analyst estimates for Visa. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 remained stagnant. Visa currently has a Zacks Rank of #2 (Buy).
Digging into valuation, Visa currently has a Forward P/E ratio of 27.72. This represents a premium compared to its industry's average Forward P/E of 14.67.
We can also see that V currently has a PEG ratio of 1.82. 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 industry currently had an average PEG ratio of 1.22 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 188, putting it in the bottom 26% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.