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Visa (V) Stock Moves -1.17%: What You Should Know

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Visa (V - Free Report) closed the most recent trading day at $133.19, moving -1.17% from the previous trading session. This change was narrower than the S&P 500's 1.82% loss on the day. Elsewhere, the Dow lost 2.21%, while the tech-heavy Nasdaq lost 1.7%.

Prior to today's trading, shares of the global payments processor had lost 4.18% over the past month. This has was narrower than the Business Services sector's loss of 4.41% and lagged the S&P 500's loss of 2.57% in that time.

Wall Street will be looking for positivity from V as it approaches its next earnings report date. This is expected to be February 7, 2019. In that report, analysts expect V to post earnings of $1.24 per share. This would mark year-over-year growth of 14.81%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.40 billion, up 11.02% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.32 per share and revenue of $22.84 billion. These totals would mark changes of +15.4% and +10.83%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for V. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.02% lower. V is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that V has a Forward P/E ratio of 25.35 right now. This valuation marks a premium compared to its industry's average Forward P/E of 18.99.

Also, we should mention that V has a PEG ratio of 1.47. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial Transaction Services industry currently had an average PEG ratio of 1.47 as of yesterday's close.

The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 26, which puts it in the top 10% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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