Visa (V) Gains But Lags Market: What You Should Know

Visa (V) closed the most recent trading day at $313.79, moving +0.45% from the previous trading session. This change lagged the S&P 500's 0.82% gain on the day. Elsewhere, the Dow saw a downswing of 0.22%, while the tech-heavy Nasdaq appreciated by 1.77%.Shares of the global payments processor witnessed a gain of 0.82% over the previous month, trailing the performance of the Business Services sector with its gain of 2.43% and outperforming the S&P 500's gain of 0.8%.Analysts and investors alike will be keeping a close eye on the performance of Visa in its upcoming earnings disclosure. The company is forecasted to report an EPS of $2.67, showcasing a 10.79% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $9.36 billion, indicating an 8.4% increase compared to the same quarter of the previous year.V's full-year Zacks Consensus Estimates are calling for earnings of $11.19 per share and revenue of $39.35 billion. These results would represent year-over-year changes of +11.34% and +9.53%, respectively.Any recent changes to analyst estimates for Visa should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.1% higher. At present, Visa boasts a Zacks Rank of #3 (Hold).In the context of valuation, Visa is at present trading with a Forward P/E ratio of 27.91. This valuation marks a premium compared to its industry's average Forward P/E of 16.33.It is also worth noting that V currently has a PEG ratio of 2.1. 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. As of the close of trade yesterday, the Financial Transaction Services industry held an average PEG ratio of 1.44.The Financial Transaction Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 75, finds itself in the top 30% echelons of all 250+ industries.The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.To follow V in the coming trading sessions, be sure to utilize Zacks.com.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Visa Inc. (V): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks