Visa operates as a retail electronic payments network worldwide. The company facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. Visa was founded in 1958 and is based in San Francisco, California.
V Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Visa Inc. To summarize, we found that Visa Inc ranked in the 20th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. As for the metrics that stood out in our discounted cash flow analysis of Visa Inc, consider:
As a business, V is generating more cash flow than 97.33% of positive cash flow stocks in the Financial Services.
The business' balance sheet reveals debt to be 4% of the company's capital (with equity being the remaining amount). Approximately merely 13.51% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
V's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 45.27% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as V, try SCU, VOYA, SUNS, PRA, and WETF.
Until now, consumer fintech has been all the rage, but recent funding rounds and exits including Plaid’s US$5.3 billion sale to Visa, Social Finance (SoFi)’s US$1.2 billion acquisition of Galileo, The post Why B2B Fintechs Are Ready for Prime Time appeared first on Fintech Singapore .
I bumped into this article on The Economist the other day, which postulates that the existing financial system could be replaced. SWIFT, VISA, MasterCard and other regional and national systems like BACS, CHAPS, CHIPS, Fedwire and such like, were all created in the 1970s or thereabouts. They’re fifty years old. …
Shopee, e-commerce platform, and Visa announced a five-year regional strategic partnership intended to encourage greater participation in South East Asia’s digital economy. This partnership is part of Shopee’s mission to The post Shopee and Visa Inks Five-Year Partnership to Boost the Digital Economy appeared first on Fintech Singapore .