Visa: Another Solid Quarter – Still A Buy


  • Visa delivered solid quarterly results and managed to beat both top and bottom line estimates by Wall Street.
  • Payment volume continued to increase, but growth is slowing down compared to previous quarters, although as expected.
  • Visa continues to be a cash flow machine with close to $4 billion in free cash flow which it fully returned to shareholders during the quarter.
  • Visa is trading at a P/E of above 27, but is still not too expensive to buy as I calculate a price target of $252, leaving investors with 9% upside potential.

This has become the standard way of paying



Visa (NYSE:V) released its 1Q23 results aftermarket on January 26, 2022. The company managed to beat both top and bottom-line estimates by Wall Street analysts and shares jumped up about 1.5% aftermarket. At first sight, results looked decent as growth

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Returns to shareholders during fiscal 1Q23

Returns to shareholders during fiscal 1Q23 (Visa)

Visa Revenue estimates

Visa Revenue estimates (Seeking Alpha)

Visa EPS estimates

Visa EPS estimates (Seeking Alpha)

Disclosure: I/we have a beneficial long position in the shares of V either through stock ownership, options, or other derivatives. 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.

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