Fiserv, Inc. (NASDAQ:FISV) is among the 7 Best Digital Payments Stocks to Invest In Now. Fiserv, Inc. (FISV) And Visa Team Up To Promote Agentic Commerce Fiserv, Inc. (NASDAQ:FISV) and Visa announced a strategic partnership on December 22, 2025, to implement the Trusted Agent Protocol throughout the former company’s agentic ecosystem and allow Visa Intelligent Commerce. The collaboration supports AI-driven consumer purchases by combining the firm’s merchant network with Visa’s agentic commerce and authen ...

Core Insights - Fiserv, Inc. has announced a strategic collaboration with Visa to enable Visa Intelligent Commerce and deploy Trusted Agent Protocol across Fiserv's agentic ecosystem, enhancing merchants' ability to engage in automated commerce [1][3] Group 1: Collaboration and Technology - The partnership aims to simplify entry into the Agentic Commerce ecosystem, providing tools for Clover and Fiserv merchants, as well as ISV and ISO partners, to foster trust and safety in transactions [2] - The Trusted Agent Protocol will be deployed to authenticate and process agentic transactions, ensuring secure interactions and protecting payment information during checkout [3][5] Group 2: Enabling Intelligent Commerce - Fiserv and Visa are focused on enabling the full potential of intelligent commerce by providing foundational capabilities for agent-driven experiences, allowing seamless integration into existing workflows [4] - Fiserv's role extends beyond payments to include secure connectivity, scalable integration options, and operational intelligence for automating dispute resolution and optimizing routing in real time [5] Group 3: Commitment to Innovation - Both companies are committed to innovation and merchant success, inviting merchants and partners to explore integration and onboarding opportunities [6]

Visa Inc. (NYSE:V) is one of the most widely held stocks by hedge funds in 2025. Visa Inc. (NYSE:V) announced on December 18 a significant milestone in the evolution of AI-powered commerce, reporting the successful completion of hundreds of secure, agent-initiated transactions in collaboration with partners across the ecosystem. Management stated that the breakthrough points towards 2025 being the final year where consumers shop and checkout alone, with AI agent-driven payments experiencing a rapid transit ...

Visa Inc. (NYSE: V) announced a milestone in the evolution of AI-powered commerce: “hundreds of secure, agent-initiated transactions” have now been successfully completed in collab with partners across the ecosystem. This signals that 2025 will be the final year consumers shop and checkout alone, as AI agent-driven payments “transition from experimentation to mainstream adoption.”Visa research indicates that nearly half “f U.S. shoppers (47 percent)1 now use AI tools for “at least one shopping task—from pri ...

Summary of Key Points from the Conference Call on Agentic Commerce Industry Overview - The discussion centers around the evolution of commerce driven by AI agents, termed "Agentic Commerce," which is expected to transform payment and retail sectors significantly [2][24]. Core Insights and Arguments - **Historical Context**: The evolution of retail from department stores to eCommerce and now to AI-driven commerce is highlighted, indicating a significant shift in how consumers interact with products and services [2]. - **Current State of AI in Commerce**: While a growing number of consumers are using AI tools for product searches, the impact on actual commerce remains minimal, with AI chatbots contributing to only a small fraction of total web traffic [3][30]. - **Future of AI Agents**: The potential for AI agents to autonomously plan and execute tasks on behalf of consumers is discussed, which could lead to a more personalized shopping experience [4][5][44]. - **Impact on Payments**: The rise of AI agents is expected to change payment methods, with traditional card networks likely emerging as winners due to their established trust and governance frameworks [9][10][68]. - **Consumer Behavior**: The shift in consumer behavior towards AI-driven shopping experiences is anticipated to take time, with incremental changes being observed in the near term [7][16]. Important Data and Statistics - **Consumer Usage of AI**: Approximately 47% of consumers in the U.S. have used AI for shopping-related tasks, with the most common use cases being finding gift ideas (21%) and conducting product research (16%) [26][30]. - **Market Potential**: McKinsey estimates that orchestrated revenue from Agentic Commerce within B2C retail could reach $1 trillion by 2030 in the U.S., with a global potential of $3 to $5 trillion [28][29]. Risks and Challenges - **Trust and Governance**: The need for robust governance frameworks and trust in AI agents is emphasized, as these agents will handle sensitive transactions and consumer data [9][68]. - **Disintermediation Risks**: Concerns about disintermediation in eCommerce marketplaces are raised, particularly if consumers begin their shopping journeys on third-party AI platforms [16][60]. - **Fragmentation of Protocols**: The current landscape is characterized by fragmentation and experimentation with various protocols for agent communication and payments, which could complicate the adoption of Agentic Commerce [48][69]. Merchant Responses and Developments - **Cautious Adoption**: Merchants are approaching the integration of AI agents with caution, balancing the potential for increased traffic against risks related to brand recognition and data control [60]. - **Innovative Integrations**: Companies like Etsy and eBay are actively integrating AI capabilities to enhance consumer experiences, while Amazon is taking a more protective stance against external AI agents [61][66]. Conclusion - The transition to Agentic Commerce represents a significant paradigm shift in how consumers shop and how payments are processed, with implications for both traditional and new-age payment networks. The evolution of AI agents will require careful navigation of trust, governance, and consumer behavior dynamics as the industry adapts to these changes [46][70].

Core Insights - Visa Inc. is partnering with Amazon Web Services to enhance security and scalability in AI-driven autonomous transactions through Visa Intelligent Commerce [2][5] - The collaboration aims to provide developers with tools for authentication, tokenization, and data personalization, facilitating intelligent workflows across various industries [3][4] Visa and AWS Collaboration - Visa Intelligent Commerce will be available in the AWS marketplace, allowing businesses direct access to essential tools for secure transactions [2] - Blueprints will be released on the Amazon Bedrock AgentCore repository to assist developers in creating intelligent workflows for sectors like retail and travel [3] Industry Impact - The partnership is expected to set a new standard for secure AI transactions, integrating payment security into automated workflows [5] - Early partners such as Expedia Group and Intuit indicate a growing interest in AI-driven transaction models [4][9] Competitive Landscape - Competitors like Mastercard and Affirm are also advancing their AI commerce strategies, with Mastercard's Agent Pay and Affirm's support for Google's Agent Payments Protocol [6][7] - Mastercard reported a 13% increase in net revenues for the first nine months of 2025 [6] Financial Performance - Visa's stock has increased by 5.8% over the past year, contrasting with an 11.9% decline in the industry [8] - The Zacks Consensus Estimate predicts an 11.7% increase in Visa's fiscal 2026 earnings compared to the previous year [10] - Visa's forward price-to-earnings ratio stands at 25.22, above the industry average of 20.37 [12]

Summary of Visa's 2025 Conference Call Company Overview - **Company**: Visa Inc. (NYSE: V) - **Event**: 2025 Conference Call - **Date**: December 02, 2025 Key Industry Insights Q4 Trends - Visa reported stable and strong growth in Q4, with U.S. payment volume growth at **8%** and international growth at **10%** [4][5] - Cross-border payment volume growth was approximately **11%-12%** [4] - For the first three weeks of October, U.S. growth was **7%-8%** and cross-border growth was about **11%** [5] MDL Settlement - Visa reached an agreement in the MDL settlement, providing financial relief and flexibility for merchants [8] - Effective average interchange rates in the U.S. will see a **10 basis point reduction** for five years, with caps on rates for standard consumer credit cards at **125 basis points** [9] - Merchants will have increased flexibility regarding surcharging and card acceptance [10] Agentic Commerce - Visa is optimistic about agentic commerce, which allows consumers to use AI to shop on their behalf [13] - The introduction of Visa Intelligent Commerce aims to enhance consumer experience through secure, tokenized transactions [14][15] - Visa is developing protocols to differentiate between good agents and bad bots in the digital commerce space [18] Tokenization - Visa has seen significant growth in tokenization, reaching **16 billion tokens**, with a goal of achieving **100% tokenization** [21] - Tokenization increases approval rates by **5 percentage points** and reduces fraud by over **35%** [21] - Visa is focusing on monetizing tokenization through value-added services and lifecycle management [22][23] Value-Added Services (VAS) - VAS has grown from **20%** of revenue to nearly **30%**, with growth rates in various segments reaching **20%-40%** [25][28] - Visa is positioned to help clients with their payment-related projects, enhancing partnerships and driving demand for VAS [27][29] Value-in-Kind (VIK) Incentives - VIK converts a portion of cash incentives into coupons for clients to purchase services from Visa, fostering deeper partnerships [32][33] - VIK ensures clients have resources to invest in their business, leading to more substantive conversations and exploration of new services [33][34] Market Models - Visa operates using four market models: cash-rich, high potential, high potential challenger, and digitally mature [43][44] - High potential markets like Japan, Germany, and Mexico are seen as having significant growth opportunities due to high cash transaction volumes [46][47] Cross-Border Capability - Visa's cross-border payment system is considered a significant competitive advantage, built over decades [48][49] - The complexity of establishing a similar system through partnerships highlights Visa's unique position in the market [50][51] Additional Insights - Visa's focus on maintaining strong relationships with clients through incentives is crucial for aligning interests and ensuring long-term partnerships [38][41] - The company is committed to continuous improvement and innovation in the payments ecosystem, welcoming competition as a means to enhance its offerings [52] This summary encapsulates the key points discussed during Visa's 2025 conference call, highlighting the company's performance, strategic initiatives, and market positioning.

Visa (NYSE:V) FY Conference Summary Industry Overview - The conference focused on Visa's proposed settlement regarding long-standing merchant litigation, which has been ongoing for over 20 years [2][3] - The settlement aims to provide merchants with more flexibility and options in payment acceptance [2] Key Points from the Proposed Settlement - **Interchange Reduction**: The proposed settlement lowers the U.S. average combined credit effective interchange rates by 10 basis points and caps credit interchange rates at 125 basis points for five years [3][4] - **Merchant Flexibility**: Merchants will have increased options for surcharging and the ability to choose which card categories to accept [4] - **Merchant Education**: Visa plans to offer education programs to merchants of all sizes to help them manage payment acceptance and costs [4] Financial Performance Insights - Visa reported strong Q4 performance with stable payment volumes and transactions compared to Q3 [16][18] - Discretionary and non-discretionary spending remained stable, with credit and debit transactions both increasing [18][19] - Cross-border volumes showed consistent growth, with 11% growth in both Q3 and Q4 [20] Guidance for FY 2026 - Visa anticipates low double-digit constant currency revenue growth for FY 2026, with operating expenses expected to grow at the same rate [21] - The company is focused on client success and operational efficiency to maintain its industry-leading margin profile [23][29] Investment Priorities - Visa is investing in innovation areas such as stablecoin and agentic commerce, with over 130 card issuance programs for stablecoin across 40 countries [26][27] - The company aims to leverage its sponsorships in major events like the FIFA World Cup and the Olympics to create marketing opportunities and enhance cross-border travel [45][49] Value-Added Services (VAS) Performance - VAS grew 23% in FY 2025, contributing $10.8 billion, which is about 27% of Visa's business [31] - The growth is driven by various portfolios, including Issuing Solutions, Acceptance Solutions, Risk and Security Services, and Advisory Services [38] Commercial Money Movement Insights - Visa Direct transaction growth was robust, up 27% for FY 2025, although it decelerated slightly in Q4 [62] - The commercial volume growth accelerated to 10%, indicating a positive trajectory for Visa's commercial money movement strategy [57][59] Conclusion - Visa remains well-positioned to compete in the evolving payments landscape, with a strong focus on innovation, client relationships, and strategic investments to drive long-term growth [6][29]

Core Insights - Visa is positioned as a "hyperscaler" in the payments industry, facilitating partners to leverage its network, with stablecoin settlements surpassing a $2.5 billion annualized run rate [1][4]. Financial Performance - Visa's fiscal fourth quarter results indicated an 8% increase in U.S. payments volume, with both credit and debit spending also rising by 8% [2][8]. - Value-added services revenue grew by 25% in constant dollars, reaching $3 billion, driven by issuing solutions [4]. - Full year fiscal 2025 commercial payments volume increased by 7% in constant currency to $1.8 billion, with cross-border volumes up 11% and eCommerce up 13% [8]. Market Trends - There is broad-based strength in spending categories, including retail services, travel, and fuel, with both discretionary and nondiscretionary spending increasing from Q3 [3][10]. - The number of Visa tokens issued has risen to over 16 billion, up from 10 billion in May 2024, with a goal of 100% of e-Commerce transactions being tokenized [6]. Technological Advancements - Visa is deploying a next-generation VisaNet with a cloud-ready microservices architecture, over half of which was developed using generative AI [5]. - The company is enhancing its support for four stablecoins, allowing conversions to over two dozen fiat currencies [4]. Consumer Behavior - Contactless payments have gained traction, with 79% of face-to-face transactions being tap-to-pay, an increase of 8% year-over-year; in the U.S., this figure stands at 66% [7]. - Higher spending cardholders are driving growth, indicating consumer resilience in the current economic climate [10]. Future Outlook - Visa anticipates adjusted net revenue growth in the low double digits for the current fiscal year, reflecting positive market conditions [9]. - The company is focusing on "agentic commerce," which could lead to increased transactions as consumers engage with a broader range of merchants [12].

Financial Data and Key Metrics Changes - Fiscal fourth quarter net revenue grew 12% year-over-year to $10.7 billion, with full-year net revenue growth of 11% to $40 billion [5][34] - EPS increased by 10% year-over-year, resulting in a full-year EPS growth of 14% to $11.47 [5][34] - Total full-year payments volume reached $14 trillion, up 8% year-over-year in constant dollars, with processed transactions totaling 258 billion, up 10% year-over-year [5][34] Business Line Data and Key Metrics Changes - Consumer payments revenue was driven by strong payments volume, cross-border volume, and processed transaction growth [31] - Commercial and money movement solutions revenue grew 14% year-over-year in constant dollars, with commercial payments volume growing 10% [31] - Value-added services revenue grew 25% in constant dollars to $3 billion, driven by issuing solutions and advisory services [32] Market Data and Key Metrics Changes - Total international payments volume was up 10% year-over-year in constant dollars, with U.S. payments volume up 8% [28][29] - Cross-border volume, excluding intra-Europe, was up 11%, with e-commerce up 13% and travel improving to 10% [28][29] - In Latin America, there was a slight deceleration in volume growth due to moderating inflation in Argentina, but the region remains high-growth [77] Company Strategy and Development Direction - The company is focused on innovation and building the future of payments through the Visa-as-a-Service stack [5][25] - Investments in the next generation of VisaNet are aimed at enhancing product development speed and adaptability to market changes [72][73] - The company is expanding its stablecoin capabilities and enhancing cross-border money movement solutions [38] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in consumer resilience and stable macroeconomic conditions as assumptions for 2026 [47][48] - The company anticipates continued strong performance in 2026, driven by major events like the Olympic and Paralympic Games and the FIFA World Cup [37][41] - Management expects adjusted net revenue growth in the low double digits for 2026, with a focus on maintaining strong client relationships and expanding service offerings [36][39] Other Important Information - The company bought back approximately $4.9 billion in stock and distributed $1.1 billion in dividends in Q4 [33] - The tax rate for the quarter was 18.8%, in line with expectations, and the company expects to maintain a similar tax rate in 2026 [32][40] - The Visa Trusted Agent Protocol was introduced to enhance security in agentic commerce transactions [55][84] Q&A Session Summary Question: Concerns about economic choppiness and consumer spending habits - Management noted strong momentum exiting FY25 and emphasized the diversification of Visa's business, which supports resilience in consumer spending [46][47][48] Question: Role of Visa in agentic commerce and expected milestones - Management highlighted Visa's leadership in setting standards for agentic commerce and the introduction of the Visa Trusted Agent Protocol to ensure secure transactions [52][53][55] Question: Sustainability of data processing yield growth - Management confirmed that data processing revenue growth was driven by pricing and mix, with expectations for continued benefits from new pricing implemented in FY2025 [65][66] Question: AI's role in Visa's services and VisaNet rollout - Management affirmed that Visa is building infrastructure to support agentic commerce and that the new VisaNet will enhance product development speed and adaptability [70][72][73] Question: Deceleration in Latin America volume growth - Management acknowledged a slight slowdown in Latin America, primarily due to moderating inflation in Argentina, but remains optimistic about the region's growth potential [76][77]