Visa Remains Strong Amid Changes In Fintech (NYSE:V)

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I last covered Visa (NYSE:V) in December 2023; it was my first analysis of Visa. I put out a Buy rating at the time, and since then, the stock has gained 7.25% in price. Now, I am reiterating my

Service Revenues Fees from financial institutions based on card activity levels.
Data Processing Revenues Fees for processing transactions through VisaNet.
International Transaction Revenues Fees from cross-border transactions.
Other Revenues Including value-added services like fraud prevention and advisory services.

Transactions Cardholders Merchant Locations
Visa ~212.6B ~4.3B ~130M
Mastercard (MA) ~136B ~3.1B ~60M
American Express (AXP) ~10.3B ~118M ~25M

Mastercard Mastercard is Visa’s most direct competitor, offering similar payment processing services; it has a moderately lower market share.
American Express American Express competes with Visa primarily in premium and business segments; it has an exceptional brand.
PayPal PayPal has robust digital wallet services, peer-to-peer payments, and integration with e-commerce platforms. It offers a growing modern alternative to Visa, although Visa products are embedded in its network.
Block Block is predominantly catered to small and medium-sized businesses, offering point-of-sale systems, digital payment processing, and financial services.

FWD Revenue Growth 5Y Avg 10.8% 13.12% 9.58% 14.84% 51.96%
FWD Diluted EPS Growth 5Y Avg 14.77% 17.63% 17.1% 15.5% 33.37%
FWD Free Cash Flow Growth 5Y Avg 12.44% 15.12% 15.46% 92.56%
TTM Net Income Margin 5Y Avg 51.45% 44.54% 15.35% 14.29% 1.1%
Equity-to-Asset Ratio 0.44 0.17 0.11 0.25 0.53
FWD P/E GAAP Ratio 28 31.5 18.5 17 34.5
FWD P/S Ratio 15 15 2.5 2 1.5

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