Visa: Attractiveness Of The Stock Depends On Your Investment Goals

Summary:

  • Visa Inc. is likely to continue to perform in line with the large cap growth stocks, and this is not necessarily good news.
  • An upward multiple repricing appears limited once we consider the drivers behind it.
  • As growth slows down, market-wide forces should be in the driver’s seat for Visa’s returns going forward.

Chase Introduces Bank Cards With "Blink" Technology

Thomas Cooper

Visa Inc. (NYSE:V) is among my favorite picks in the electronic payments space, but as an investor looking to outperform the market, I have a hard time considering the stock as a high conviction idea.

In spite


Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Please do your own due diligence and consult with your financial advisor, if you have one, before making any investment decisions. The author is not acting in an investment adviser capacity. The author's opinions expressed herein address only select aspects of potential investment in securities of the companies mentioned and cannot be a substitute for comprehensive investment analysis. The author recommends that potential and existing investors conduct thorough investment research of their own, including a detailed review of the companies' SEC filings. Any opinions or estimates constitute the author's best judgment as of the date of publication and are subject to change without notice.

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