Visa
Inc. is an American financial services corporation facilitating electronic
transfers throughout the world. It basically uses the famous Visa credit and
debit cards to facilitate these transfers. The company offers payment solutions
to financial institutions world over granting them Visa-branded payment
products that can be used to offer debit, credit, prepaid and cash-access
programs to customers. In 2008, Visa had 38.3% market share of the credit card
market and 60.7% of the debit card market in the United States alone. Over the
years, this market share has grown significantly as globalization and
liberalization have increased the free flow of financial capital and moneys
across borders. The need to make electronically efficient payments as well as
the use of plastic money (credit cards) has greatly increased. The evidence of this trend is imminent from
the increase in Visa’s payments volume from $3.7 trillion in 2011 to $4.3
trillion at the end of 2013. Keeping these developments in mind, the growth in
the V Stock Price is fairly
understandable and justified. On May 15th
the Visa Stock Chart read a value of
$207 which is higher than that of last year.
The
company increased its diluted share earnings by 23% to $7.59 in 2013. It claims
that these results were achieved despite political uncertainty and diplomatic
tensions across the world. Throughout early 2014, the Visa Stock Graph fluctuated between values of $190 and $220.
Irrespective of these fluctuations, according to Deutsche Bank the company currently
has a $268 price target on the stock and on May 15th alone the stock
had a trading volume of 1,222,599 shares.
With
respect to recent developments and news, Visa announced the financial results
for the Company’s fiscal second quarter 2014. Visa claimed that their payments
volume grew at a solid rate in this quarter which positively impacted the Visa Stock graphs and Visa Stock Charts. Visa announced that
the cross-border volume growth was 8% for the three months ended 31st
March, 2014. Another notable event that took place was that the directors of
Visa announced a $0.40 per share quarterly cash dividend for class A common
stock. During this period, Visa also repurchased 5.1 million shares of the very
same class A common stock at an average price of $217. Another piece of
relevant information for shareholders as well as other stakeholders of Visa is
the recently announced General Counsel Succession Plan and a new Vice Chairman
role for risk and public policy. This could mean better monitoring and evaluation
of risk as well as public policy in the entire field of Visa operations.
The
payments volume for Visa has increased significantly over the time. Another
development that shareholders need to keep into consideration is the use of
mobile devices around the globe for making payments. Estimates suggest that
there will be a $507 billion rise in this figure. This is the combined net
worth the world’s ten wealthiest billionaires, according to Forbes. For more details regarding these new
developments, Visa’s financial conditions and future prospects please visit Bidnessetc.com.
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