Global payments technology company Visa (NYSE: V) will be reporting earnings this Tuesday after market hours. Here’s what investors should know.
Visa beat analysts’ revenue expectations last quarter, reporting revenues of $11.23 billion, up 17.1% year on year. It was a very strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates.
Is Visa a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Visa’s revenue to grow 11.9% year on year, slowing from the 14.3% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Visa rarely misses Wall Street’s revenue estimates.
Looking at Visa’s peers in the credit card segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Bread Financial delivered year-on-year revenue growth of 6.9%, beating analysts’ expectations by 3.5%, and Capital One reported revenues up 25.8%, in line with consensus estimates. Bread Financial traded up 2.4% following the results while Capital One was down 2.9%.
Read our full analysis of Bread Financial’s results here and Capital One’s results here.
There has been positive sentiment among investors in the credit card segment, with share prices up 5.4% on average over the last month. Visa is up 4% during the same time and is heading into earnings with an average analyst price target of $403.26 (compared to the current share price of $355.58).
ONE MORE THING: The $21 AI Application Stock Wall Street Forgot. While Wall Street obsesses over who’s building AI, one company is already using it to print money. And nobody’s paying attention.
AI chip stocks trade at ridiculous valuations. This company processes a trillion consumer signals monthly using AI and trades at a third of the price. The gap won’t last. The institutions will figure it out. You need to see this first. Read the FREE Report Before They Notice.
