Capital Group Private Client Services Inc. Reduces Holdings in Visa Inc. $V

Capital Group Private Client Services Inc. lowered its position in Visa Inc. (NYSE:V) by 75.3% during the third quarter, according to its most recent filing with the SEC. The institutional investor owned 126,187 shares of the credit-card processor’s stock after selling 384,296 shares during the period. Visa accounts for approximately 0.7% of Capital Group Private Client Services Inc.’s portfolio, making the stock its 23rd biggest holding. Capital Group Private Client Services Inc.’s holdings in Visa were worth $43,078,000 at the end of the most recent quarter.

A number of other large investors have also modified their holdings of V. Sonoma Allocations LLC purchased a new position in shares of Visa during the 3rd quarter worth $710,000. AQR Capital Management LLC grew its holdings in shares of Visa by 1.8% in the second quarter. AQR Capital Management LLC now owns 1,241,348 shares of the credit-card processor’s stock valued at $438,196,000 after purchasing an additional 21,401 shares during the period. Baltimore Washington Financial Advisors Inc. increased its position in Visa by 5.9% during the second quarter. Baltimore Washington Financial Advisors Inc. now owns 95,150 shares of the credit-card processor’s stock worth $33,783,000 after purchasing an additional 5,295 shares during the last quarter. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA increased its position in Visa by 2.6% during the third quarter. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA now owns 574,043 shares of the credit-card processor’s stock worth $198,596,000 after purchasing an additional 14,581 shares during the last quarter. Finally, Federated Hermes Inc. raised its stake in Visa by 24.1% during the third quarter. Federated Hermes Inc. now owns 823,262 shares of the credit-card processor’s stock worth $281,045,000 after purchasing an additional 159,906 shares during the period. Hedge funds and other institutional investors own 82.15% of the company’s stock.

Visa Price Performance

V opened at $316.03 on Tuesday. The stock’s 50-day moving average price is $328.80 and its 200 day moving average price is $337.05. Visa Inc. has a 12-month low of $299.00 and a 12-month high of $375.51. The firm has a market cap of $573.65 billion, a price-to-earnings ratio of 29.65, a PEG ratio of 1.82 and a beta of 0.78. The company has a current ratio of 1.11, a quick ratio of 1.11 and a debt-to-equity ratio of 0.51.

Visa (NYSE:V) last released its earnings results on Thursday, January 29th. The credit-card processor reported $3.17 earnings per share for the quarter, beating the consensus estimate of $3.14 by $0.03. The company had revenue of $10.90 billion during the quarter, compared to the consensus estimate of $10.69 billion. Visa had a return on equity of 61.74% and a net margin of 50.23%.Visa’s revenue was up 14.6% compared to the same quarter last year. During the same period in the previous year, the company posted $2.75 EPS. As a group, sell-side analysts expect that Visa Inc. will post 11.3 earnings per share for the current year.

Visa Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, March 2nd. Investors of record on Tuesday, February 10th were issued a $0.67 dividend. The ex-dividend date was Tuesday, February 10th. This represents a $2.68 dividend on an annualized basis and a dividend yield of 0.8%. Visa’s payout ratio is 25.14%.

Insider Buying and Selling at Visa

In related news, CEO Ryan Mcinerney sold 10,485 shares of the company’s stock in a transaction that occurred on Friday, January 2nd. The shares were sold at an average price of $349.18, for a total transaction of $3,661,152.30. Following the sale, the chief executive officer directly owned 9,401 shares of the company’s stock, valued at $3,282,641.18. This represents a 52.73% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.12% of the company’s stock.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on V shares. UBS Group reiterated a “buy” rating on shares of Visa in a report on Tuesday, January 13th. HSBC upgraded shares of Visa from a “hold” rating to a “strong-buy” rating in a report on Monday, December 8th. Daiwa Securities Group upgraded Visa from a “neutral” rating to an “outperform” rating and set a $370.00 price objective on the stock in a report on Monday, February 2nd. Piper Sandler set a $160.00 price objective on Visa in a research report on Wednesday, January 28th. Finally, Macquarie Infrastructure reissued an “outperform” rating and set a $410.00 target price on shares of Visa in a research note on Friday, January 30th. Seven investment analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Buy” and a consensus target price of $392.65.

About Visa

Visa Inc is a global payments technology company that facilitates electronic funds transfers and digital commerce by connecting consumers, merchants, financial institutions and governments. The firm operates one of the world’s largest payment networks, providing processing, authorization, clearing and settlement services for credit, debit and prepaid card transactions. Visa’s network-based model enables partner banks and other issuers to offer branded payment products while Visa focuses on the infrastructure, standards and technologies that move money securely and efficiently around the world.

Visa’s product and service portfolio includes card-based payment products for consumers and businesses, real-time push-payment capabilities, tokenization and authentication services, fraud and risk-management tools, data analytics and APIs for fintech and merchant integration.