Capital International Inc. CA Increases Position in Visa Inc. $V

Capital International Inc. CA increased its holdings in shares of Visa Inc. (NYSE:V) by 5.4% during the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 512,734 shares of the credit-card processor’s stock after buying an additional 26,258 shares during the quarter. Visa accounts for about 1.4% of Capital International Inc. CA’s portfolio, making the stock its 12th largest position. Capital International Inc. CA’s holdings in Visa were worth $179,821,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the business. Capital International Investors grew its stake in Visa by 1.1% during the 4th quarter. Capital International Investors now owns 21,516,371 shares of the credit-card processor’s stock worth $7,547,169,000 after buying an additional 244,085 shares during the last quarter. Tacita Capital Inc grew its stake in Visa by 11.6% during the 4th quarter. Tacita Capital Inc now owns 978 shares of the credit-card processor’s stock valued at $343,000 after purchasing an additional 102 shares during the last quarter. Capital Group Investment Management PTE. LTD. grew its stake in Visa by 18.4% during the 4th quarter. Capital Group Investment Management PTE. LTD. now owns 25,575 shares of the credit-card processor’s stock valued at $8,969,000 after purchasing an additional 3,968 shares during the last quarter. Modus Advisors LLC purchased a new stake in Visa during the 4th quarter valued at about $42,000. Finally, Comprehensive Financial Planning Inc. PA grew its stake in Visa by 16.3% during the 4th quarter. Comprehensive Financial Planning Inc. PA now owns 712 shares of the credit-card processor’s stock valued at $250,000 after purchasing an additional 100 shares during the last quarter. 82.15% of the stock is currently owned by hedge funds and other institutional investors.

Visa Stock Up 1.2%

Visa stock opened at $324.03 on Friday. Visa Inc. has a 1-year low of $293.89 and a 1-year high of $375.51. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.09 and a quick ratio of 1.09. The stock has a market cap of $581.24 billion, a PE ratio of 28.23, a P/E/G ratio of 1.73 and a beta of 0.77. The stock’s fifty day moving average is $316.53 and its two-hundred day moving average is $324.49.

Visa (NYSE:V) last announced its quarterly earnings results on Tuesday, April 28th. The credit-card processor reported $3.31 earnings per share for the quarter, beating 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 firm had revenue of $11.23 billion during the quarter, compared to analysts’ expectations of $10.75 billion. During the same period in the previous year, the company earned $2.76 earnings per share. Visa’s quarterly revenue was up 17.1% compared to the same quarter last year. On average, sell-side analysts expect that Visa Inc. will post 13.09 EPS for the current fiscal year.

Visa declared that its Board of Directors has initiated a stock buyback program on Tuesday, April 28th that authorizes the company to buyback $20.00 billion in shares. This buyback authorization authorizes the credit-card processor to purchase up to 3.6% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Visa Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, June 1st. Investors of record on Tuesday, May 12th were given 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 payout ratio is 23.34%.

Insider Activity at Visa

In other Visa news, CEO Ryan Mcinerney sold 31,455 shares of Visa stock in a transaction that occurred on 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 of the company’s stock, valued at approximately $5,161,284.36. The trade was a 67.46% decrease in their position. The sale was disclosed in a document filed 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, Director Lloyd Carney sold 650 shares of Visa stock in a transaction that occurred on Wednesday, March 11th. The shares were sold at an average price of $309.62, for a total value of $201,253.00. Following the completion of the sale, the director directly owned 2,679 shares in the company, valued at $829,471.98. This represents a 19.53% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 42,744 shares of company stock worth $14,356,010 in the last quarter. Company insiders own 0.12% of the company’s stock.

Analysts Set New Price Targets

V has been the topic of several research analyst reports. Sanford C. Bernstein reissued an “outperform” rating and issued a $450.00 price objective on shares of Visa in a report on Tuesday. Oppenheimer reiterated an “outperform” rating and set a $403.00 price target (up from $391.00) on shares of Visa in a research report on Wednesday, April 29th. Bank of America initiated coverage on Visa in a report on Thursday, March 5th. They set a “buy” rating and a $410.00 target price for the company. Citigroup reduced their target price on Visa from $450.00 to $400.00 and set a “buy” rating for the company in a report on Tuesday, April 14th. Finally, Raymond James Financial reaffirmed an “outperform” rating and issued a $389.00 price target on shares of Visa in a report on Wednesday, April 29th. Six 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. Based on data from MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of $387.78.

Key Stories Impacting Visa

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.