Visa (NYSE:V) Trading Down 1.2% – Should You Sell?

Visa Inc. (NYSE:V)’s share price dropped 1.2% during mid-day trading on Thursday . The stock traded as low as $317.96 and last traded at $319.2140. Approximately 5,950,024 shares were traded during mid-day trading, a decline of 24% from the average daily volume of 7,781,481 shares. The stock had previously closed at $322.96.

Trending Headlines about Visa

Here are the key news stories impacting Visa this week:

• Positive Sentiment: Visa announced a strategic partnership with OpenAI to enable secure payments inside ChatGPT, positioning the company at the forefront of AI-powered “agentic commerce.” Visa, OpenAI Push AI Agents Into Online Shopping
• Positive Sentiment: The company also unveiled new AI, tokenization, and stablecoin tools, which could broaden Visa’s role in digital and programmable payments over time. Visa Launches AI and Stablecoin Tools to Power Agentic Commerce
• Positive Sentiment: Analysts and market commentary continue to highlight Visa’s earnings growth, pricing strength, and innovation as reasons it remains a stock to watch. Earnings Growth & Price Strength Make Visa (V) a Stock to Watch
• Neutral Sentiment: Visa’s CFO said investors should not overstate the near-term importance of stablecoins and agentic commerce, tempering expectations for immediate revenue impact. Visa’s CFO downplays the importance of stablecoin and agentic commerce to the U.S. payments giant—at least in the short term
• Neutral Sentiment: Visa and Mastercard’s $38 billion swipe-fee settlement received preliminary approval, which may reduce uncertainty, but merchant challenges could still continue. Judge preliminarily approves Visa, Mastercard $38B swipe fee deal

Analyst Ratings Changes

Several equities analysts have recently issued reports on the stock. Bank of America assumed coverage on shares of Visa in a report on Thursday, March 5th. They set a “buy” rating and a $410.00 target price for the company. Raymond James Financial reiterated an “outperform” rating and set a $389.00 target price on shares of Visa in a report on Wednesday, April 29th. Oppenheimer reiterated an “outperform” rating and set a $403.00 target price (up from $391.00) on shares of Visa in a report on Wednesday, April 29th. Cantor Fitzgerald reiterated an “overweight” rating and set a $400.00 target price on shares of Visa in a report on Wednesday, April 29th. Finally, Truist Financial set a $371.00 price target on shares of Visa and gave the stock a “buy” rating in a research note on Tuesday, May 12th. Six investment analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of “Buy” and an average price target of $387.78.

Visa Trading Down 1.2%

The company has a market cap of $572.59 billion, a P/E ratio of 27.81, a PEG ratio of 1.74 and a beta of 0.77. The stock’s 50 day moving average is $317.88 and its 200-day moving average is $324.48. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 0.64.

Visa (NYSE:V) last announced its quarterly earnings results on Tuesday, April 28th. The credit-card processor reported $3.31 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.10 by $0.21. Visa had a net margin of 51.68% and a return on equity of 65.00%. The company had revenue of $11.23 billion for the quarter, compared to analysts’ expectations of $10.75 billion. During the same quarter in the previous year, the business posted $2.76 EPS. Visa’s revenue was up 17.1% compared to the same quarter last year. Research analysts anticipate that Visa Inc. will post 13.09 earnings per share for the current fiscal year.

Visa Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 1st. Investors of record on Tuesday, May 12th were issued a $0.67 dividend. This represents a $2.68 annualized dividend and a yield of 0.8%. The ex-dividend date was Tuesday, May 12th. Visa’s dividend payout ratio (DPR) is presently 23.34%.

Visa announced that its board has approved a stock repurchase program on Tuesday, April 28th that allows the company to repurchase $20.00 billion in shares. This repurchase authorization allows the credit-card processor to purchase up to 3.6% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board believes its shares are undervalued.

Insider Activity

In other Visa news, CEO Ryan Mcinerney sold 31,455 shares of the stock in a transaction dated Wednesday, April 29th. The stock was sold at an average price of $340.14, for a total value of $10,699,103.70. Following the transaction, the chief executive officer owned 15,174 shares of the company’s stock, valued at approximately $5,161,284.36. This represents a 67.46% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Chris Suh sold 10,639 shares of the stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $324.81, for a total value of $3,455,653.59. Following the completion of the transaction, the chief financial officer directly owned 9,872 shares in the company, valued at approximately $3,206,524.32. This represents a 51.87% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.12% of the stock is currently owned by company insiders.

Institutional Trading of Visa

Several hedge funds have recently bought and sold shares of V. Brighton Jones LLC raised its holdings in Visa by 50.1% during the fourth quarter. Brighton Jones LLC now owns 20,635 shares of the credit-card processor’s stock valued at $6,522,000 after acquiring an additional 6,883 shares during the period. Revolve Wealth Partners LLC increased its holdings in shares of Visa by 68.9% in the 4th quarter. Revolve Wealth Partners LLC now owns 11,811 shares of the credit-card processor’s stock worth $3,733,000 after buying an additional 4,817 shares during the last quarter. Nicholas Hoffman & Company LLC. increased its holdings in shares of Visa by 4.6% in the 1st quarter. Nicholas Hoffman & Company LLC. now owns 10,941 shares of the credit-card processor’s stock worth $3,834,000 after buying an additional 477 shares during the last quarter. Matrix Asset Advisors Inc. NY increased its holdings in shares of Visa by 16.9% in the 2nd quarter. Matrix Asset Advisors Inc. NY now owns 1,133 shares of the credit-card processor’s stock worth $402,000 after buying an additional 164 shares during the last quarter. Finally, Schnieders Capital Management LLC. lifted its holdings in shares of Visa by 13.8% in the 2nd quarter. Schnieders Capital Management LLC. now owns 18,367 shares of the credit-card processor’s stock worth $6,521,000 after acquiring an additional 2,230 shares during the last quarter. Institutional investors own 82.15% of the company’s stock.

Visa Company Profile

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.