Visa's Real Power Is Embedded In Long-term Secular Shift From Paper Currency: Analyst
Portfolio Pulse from Nabaparna Bhattacharya
Oppenheimer analyst Dominick Gabriele reiterated an Outperform rating on Visa Inc. (NYSE:V) with a price target of $297, highlighting the company's potential to benefit from the shift from paper currency to electronic payments. Visa's value-added-service (VAS) growth is expected to remain robust, with a forecasted adjusted EPS of $2.44 for the second quarter. The company's revenue growth was 11.41% in FY23, and its performance is influenced by macroeconomic factors such as interest rates and inflation. Visa's stock has experienced average annual growth of 9.39%, outperforming its peers.
February 12, 2024 | 8:02 pm
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POSITIVE IMPACT
Visa Inc. is poised for growth, backed by a strong shift towards electronic payments and robust value-added-service growth. Analysts predict a positive outlook with a $297 price target and an expected adjusted EPS of $2.44 for Q2.
The reiteration of an Outperform rating and a high price target by Oppenheimer reflects strong confidence in Visa's business model and its potential to capitalize on the shift from paper to electronic payments. The expected robust growth in value-added services and the company's strong performance in FY23 further support a positive short-term impact on the stock.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100