Capital Group Private Client Services Inc. Sells 3,703 Shares of Visa Inc. $V

Capital Group Private Client Services Inc. reduced its position in Visa Inc. (NYSE:V) by 2.9% in the 4th quarter, HoldingsChannel.com reports. The fund owned 122,484 shares of the credit-card processor’s stock after selling 3,703 shares during the period. Visa accounts for 0.7% of Capital Group Private Client Services Inc.’s portfolio, making the stock its 23rd biggest position. Capital Group Private Client Services Inc.’s holdings in Visa were worth $42,956,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also recently made changes to their positions in the company. Clayton Financial Group LLC raised its holdings in shares of Visa by 446.2% in the fourth quarter. Clayton Financial Group LLC now owns 71 shares of the credit-card processor’s stock valued at $25,000 after acquiring an additional 58 shares in the last quarter. PayPay Securities Corp raised its holdings in shares of Visa by 102.7% in the fourth quarter. PayPay Securities Corp now owns 75 shares of the credit-card processor’s stock valued at $26,000 after acquiring an additional 38 shares in the last quarter. Cresta Advisors Ltd. purchased a new position in Visa in the fourth quarter valued at about $26,000. Parvin Asset Management LLC grew its stake in Visa by 200.0% in the third quarter. Parvin Asset Management LLC now owns 75 shares of the credit-card processor’s stock valued at $26,000 after purchasing an additional 50 shares during the last quarter. Finally, Dorato Capital Management purchased a new position in Visa in the fourth quarter valued at about $30,000. 82.15% of the stock is currently owned by institutional investors.

Visa Price Performance

Shares of V stock opened at $324.03 on Friday. Visa Inc. has a fifty-two week low of $293.89 and a fifty-two week high of $375.51. The firm has a market capitalization of $581.24 billion, a price-to-earnings ratio of 28.23, a PEG ratio of 1.73 and a beta of 0.77. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.09 and a current ratio of 1.09. The stock’s 50-day simple moving average is $316.53 and its 200-day simple moving average is $324.49.

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

Visa announced that its board has approved a share buyback program on Tuesday, April 28th that permits the company to buyback $20.00 billion in shares. This buyback authorization permits the credit-card processor to buy up to 3.6% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s leadership believes its stock is undervalued.

Visa Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, June 1st. Stockholders of record on Tuesday, May 12th were paid a dividend of $0.67 per share. The ex-dividend date was Tuesday, May 12th. This represents a $2.68 dividend on an annualized basis and a dividend yield of 0.8%. Visa’s payout ratio is presently 23.34%.

Insider Transactions at Visa

In other news, CFO Chris Suh sold 10,639 shares of the business’s stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $324.81, for a total transaction of $3,455,653.59. Following the sale, the chief financial officer owned 9,872 shares in the company, valued at approximately $3,206,524.32. The trade was a 51.87% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Ryan Mcinerney sold 31,455 shares of the business’s 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 sale, the chief executive officer owned 15,174 shares in the company, valued at $5,161,284.36. The trade was a 67.46% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 42,744 shares of company stock worth $14,356,010. Insiders own 0.12% of the company’s stock.

Wall Street Analysts Forecast Growth

V has been the topic of several analyst reports. Truist Financial set a $371.00 target price on Visa and gave the company a “buy” rating in a research note on Tuesday, May 12th. Loop Capital initiated coverage on Visa in a research note on Tuesday, March 31st. They issued a “buy” rating and a $387.00 target price on the stock. UBS Group lifted their target price on Visa from $390.00 to $410.00 and gave the company a “buy” rating in a research note on Wednesday, April 29th. Cantor Fitzgerald reiterated an “overweight” rating and issued a $400.00 target price on shares of Visa in a research note on Wednesday, April 29th. Finally, Raymond James Financial reiterated an “outperform” rating and issued a $389.00 target price on shares of Visa in a research note on Wednesday, April 29th. Six equities research analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Buy” and an average price target of $387.78.

Visa News Roundup

Here are the key news stories impacting Visa this week:

• Positive Sentiment: Visa is testing private stablecoin settlement with Brale on the Canton Network, a proof of concept aimed at enabling institutional payments with more privacy and efficiency. Investors may see this as evidence that Visa is expanding its payments infrastructure into a potentially high-growth use case. Article: Visa tests private stablecoin settlement with Brale, Canton
• Positive Sentiment: Visa’s new partnership with Brale reinforces its stablecoin strategy and suggests the company is actively building tools for institutional blockchain settlement, which could strengthen long-term growth prospects. Article: How Visa Advances Stablecoin Payment Vision With Brale Partnership?
• Positive Sentiment: Reports that Visa, Mastercard, Stripe and others are collaborating on a new stablecoin platform suggest major payments players are validating the opportunity, which may help Visa if the initiative gains merchant traction. Article: Visa Mastercard Stablecoin Push Tests Circle USDC And Rich Valuation
• Neutral Sentiment: Visa also announced leadership appointments in Asia Pacific to support value-added services and Southeast Asia growth, a positive operating update but likely not a major near-term stock driver. Article: Visa Announces Asia Pacific Leadership Appointments to Scale Value-Added Services and Southeast Asia Growth
• Negative Sentiment: News that Visa and Mastercard payments are being halted in Cuba adds a small regional headwind, though the revenue impact is likely limited compared with Visa’s overall global business. Article: Visa, Mastercard payments to be halted in Cuba amid new US sanctions

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.