Is Visa (V) stock a buy ahead of January 30 earnings report?

What's Happening With V View more about V >

Credit card leader Visa (V) reports fiscal first-quarter numbers after the market close January 30. Analysts forecast quarterly earnings of $1.25 per share, up from $1.08 during the same period last year. The stock has rebounded from a December selloff and the stock is now up 4.8% since the end of June.

Technical Analysis

(V) Stock was recently trading at $138.90 down $12.66 from its 12-month high and $27.88 above its 12-month low. InvestorsObserver’s Stock Score Report gives V a 71 long-term technical score and a 86 short-term technical score. The stock has recent support above $132.5 and recent resistance below $145. Of the 26 analysts who cover the stock 23 rate it Strong Buy, 2 rate it Buy, 1 rate it Hold, 0 rate it Sell, and 0 rate it Strong Sell, V gets a score of 79 from InvestorsObserver’s Stock Score Report.

Analysts' Thoughts

Visa stock has held up pretty well during the recent market volatility. Consumer sentiment fell this month as a reaction to the government shutdown, but a temporary deal to reopen the government for three weeks and get federal employees paid will certainly help, and if a permanent deal can be reached consumer sentiment will shoot higher.

Overall economic conditions remain upbeat, retailers for the most part had good holiday seasons, and American households carry record levels of credit card debt. These factors have Wall Street bullish on credit card companies, and analysts forecast Visa will grow profits by 16 percent per annum over the next five years.

Visa has a strong earnings track record, but after straight quarters of revenue beats Visa had slightly weaker than expected sales last quarter. Wall Street was willing to overlook the rare miss, but it may not be so generous if we see another miss on either the top or bottom line this quarter. The street expects better than expected profits with a whisper number of $1.28 per share.

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About Visa Inc.

Visa is the largest payment processor in the world. In fiscal 2018, it processed $8.2 trillion in purchase transactions. Visa operates in over 200 countries and processes transactions in over 160 currencies. Its systems are capable of processing over 65,000 transactions per second.

  • Last Price:
    $162.73
  • Previous Close:
    $161.51
  • Change:
    $1.22 (0.76%)
  • Open:
    $162.75
  • Volume:
    3,549,393
  • Average Volume (100 Day):
    8,162,943
  • Market Capitalization:
    $355.6 B
  • Day's Range:
    $161.72 - $163.41
  • Dividend Yield:
    0.62%
  • 52-week Range:
    $166 - $121.60
  • P-E:
    33.40
  • EPS:
    $4.84
  • Earnings Date:
    7/24/19
  • Ex Dividend Date:
    5/16/19
  • Sector:
    Financial Services
  • Industry:
    Credit Services
  • Analyst Average Recommendation:
    Strong Buy

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