#4 - Visa (NYSE:V)
Sticking with the banking theme for a moment, I heard something on Fox Business that startled me. Namely that Visa (NYSE:V) enjoyed a higher market value than many of the traditional banks including JP Morgan Chase (NYSE:JPM). If there’s a clearer indication of the potential growth of digital banking, I can’t see it.
Visa recently announced its purchase of the open banking platform, Tink, for $2.8 billion. Tink has digital services that connect more than 3,400 banks and financial institutions in Europe. The deal for the Swedish startup will give Visa the opportunity to establish itself in Europe’s fast-growing open banking market.
And although Visa is dipping its toes into what could be the new normal of open banking, this is no desperate pivot. The company has a long history of returning value to its shareholders. Case in point, the company has a 12-year streak of increasing its dividend.
And with V stock up just over 8% for the year, now looks like an ideal time to catch the next leg up.
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
- $310.23
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 25 Buy Ratings, 4 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $321.74 (3.7% Upside)
