- Visa‘s adjusted EPS for 2Q stands at $2.51, an increase from last year’s $2.09 and higher than the estimated $2.44
- The EPS for 2Q increased to $2.29 from $2.03 from the previous year
- Payment volumes at constant currency experienced an increase of 8%, just exceeding the estimate of 7.99%
- There was a 16% increase in cross-border volumes at constant currency, higher than the estimate of 14.8%
- Total Visa processed transactions were reported as $55.5 billion, an increase of 11% compared to last year and higher than the estimated $54.91 billion
- The net revenue amounted to $8.78 billion, marking a 9.7% increase since last year and surpassing the estimated $8.62 billion
- Total operating expenses reached $3.42 billion, showing a 29% increase compared to last year and higher than the estimated $2.89 billion
- Client incentives revenue shows a reduction of 12% to -$3.26 billion from last year, which is less of a decrease than the estimated -$3.39 billion
- Recent ratings inform that Visa received 38 buys, 8 holds, and 0 sells from investment analysts
Visa on Smartkarma
Analysts at Baptista Research on Smartkarma have published insightful reports on Visa Inc. One report titled “Visa Inc.: Strong Cross-Border Business Performance To Set Off US Slowdown! – Major Drivers” highlights Visa‘s solid start to fiscal year 2024, with an 8% year-on-year increase in payments volume. The report emphasizes Visa‘s commitment to excellent customer service, new partnerships, innovative solutions, and brand amplification to support partners.
Another report by Baptista Research, “Visa Inc.: Key Moves That Cemented Their Reign in Payments! – Major Drivers,” praises Visa for delivering strong results in the face of economic uncertainties. Despite concerns about a potential recession and disruptions like the Omicron variant, Visa achieved substantial growth. The report also notes Visa‘s advancements in new flow capabilities, total commercial volume growth, and the expansion of Visa Direct.
A look at Visa Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Visa Inc., a global leader in electronic payments, demonstrates a promising long-term outlook based on its Smartkarma Smart Scores. With solid ratings in Growth, Resilience, and Momentum, Visa is positioned well for future success. The company’s emphasis on innovation and expansion contributes to its positive momentum score, reflecting strong potential for continued growth. Additionally, Visa‘s resilience score signifies its ability to weather market fluctuations and challenges, providing stability for investors. While its value and dividend scores are moderate, the strong performance in growth-related factors bodes well for Visa‘s overall outlook.
Visa‘s core business of facilitating global financial transactions and fostering commerce sets a strong foundation for its future prospects. The company’s innovative approach to payments and its extensive network connecting various financial entities, merchants, and consumers worldwide underpin its growth potential. With solid ratings in key areas crucial for long-term success, investors may find Visa to be a compelling option for sustained growth and value in the electronic payments sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
