Visa Q3 Preview: Could Credit Card Stock Be 'Poised To Snap Back To Its Winning Ways?'

Core Viewpoint - Visa Inc is expected to report strong fourth-quarter financial results, with analysts predicting revenue growth and earnings per share increase compared to the previous year [1][2]. Earnings Estimates - Analysts forecast Visa's fourth-quarter revenue to be $10.61 billion, an increase from $9.62 billion in the same quarter last year [1]. - Expected earnings per share for the fourth quarter are $2.97, up from $2.71 in the previous year [2]. Recent Performance - Visa has exceeded analyst revenue estimates in four consecutive quarters and in nine of the last ten quarters overall [2]. - The third-quarter results showed a revenue increase of 14% year-over-year and earnings per share of $2.98, with payments volume up 8% and processed transactions up 10% year-over-year [7]. Market Sentiment - Jay Woods, Chief Market Strategist at Freedom Capital Markets, highlighted Visa as a key stock to watch, noting concerns over competition and high valuation expectations [3]. - The stock has not shown significant movement recently, reflecting market apprehension [3]. Key Items to Watch - Investors will be looking for commentary on volume growth and competition from alternative payment methods, as any signs of slowing growth or margin compression could negatively impact stock performance [4]. - The earnings report follows a strong performance from American Express, which may positively influence Visa's results [5][8]. Analyst Ratings - Recent analyst ratings include Citigroup initiating a Buy rating with a price target of $450, Wells Fargo with an Overweight rating and a price target of $412, and Baird raising its price target from $400 to $410 while maintaining an Outperform rating [7]. Stock Performance - Visa's stock was trading at $349.34, with a 52-week range of $281.35 to $375.51, and has increased by 10.5% year-to-date in 2025 [9].