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Visa (V) Stock Moves -0.27%: What You Should Know

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Visa (V - Free Report) closed at $176.19 in the latest trading session, marking a -0.27% move from the prior day. This change was narrower than the S&P 500's daily loss of 0.48%. Meanwhile, the Dow lost 0.43%, and the Nasdaq, a tech-heavy index, lost 0.78%.

Prior to today's trading, shares of the global payments processor had gained 5.84% over the past month. This has outpaced the Business Services sector's gain of 4.66% and lagged the S&P 500's gain of 5.97% in that time.

Investors will be hoping for strength from V as it approaches its next earnings release, which is expected to be July 23, 2019. On that day, V is projected to report earnings of $1.33 per share, which would represent year-over-year growth of 10.83%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.70 billion, up 8.78% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $5.37 per share and revenue of $22.75 billion, which would represent changes of +16.49% and +10.4%, respectively, from the prior year.

It is also important to note the 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.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.06% higher within the past month. V currently has a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that V has a Forward P/E ratio of 32.9 right now. This valuation marks a premium compared to its industry's average Forward P/E of 24.42.

Meanwhile, V's PEG ratio is currently 2. 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. Financial Transaction Services stocks are, on average, holding a PEG ratio of 2 based on yesterday's closing prices.

The Financial Transaction Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 66, which puts it in the top 26% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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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