#5 - Visa (NYSE:V)
For much of the last 12 months, Visa (NYSE: V) stock was treading water. But analysts and investors now appear to be giving the stock the attention it deserves. After the company reported strong earnings, nine analysts boosted their price targets for the company’s stock. And while the consensus estimate only suggests the stock will gain about 8.5%, the recent price targets suggest there is more growth ahead.
I see two short-term catalysts for Visa. The first is its acquisition of Tink, a European-based open banking platform. The second is the company’s embrace of cryptocurrency. Visa allows consumers to make transactions in USD Coin (CCC: USDC), a stable coin that is powered by the Ethereum (CCC: ETH-USD) blockchain. Using a stable coin means users don’t have to convert cryptocurrency into fiat money.
By itself, the acceptance of cryptocurrency is intriguing. However, traditional banks are already exploring their own digital currencies including stable coins. This puts Visa in the driver’s seat for getting this business.
About Visa
Visa Inc operates as a payment technology company in the United States and internationally. The company operates VisaNet, a transaction processing network that enables authorization, clearing, and settlement of payment transactions. It also offers credit, debit, and prepaid card products; tap to pay, tokenization, and click to pay services; Visa Direct, a solution that facilitates the delivery of funds to eligible cards, deposit accounts, and digital wallets; Visa B2B Connect, a multilateral business-to-business cross-border payments network; Visa Cross-Border Solution, a cross-border consumer payments solution; and Visa DPS that provides a range of value-added services, including fraud mitigation, dispute management, data analytics, campaign management, a suite of digital solutions, and contact center services.
Read More - Current Price
- $312.84
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 25 Buy Ratings, 4 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $329.70 (5.4% Upside)
