UPDATE: Oppenheimer Raises Visa and Mastercard's PT
In the report, Oppenheimer said, “In consideration of strong quarterly volume trends we are raising our estimates for V and MA. We believe fundamentals are benefiting from solid US retail sales trends and continued x-border volume strength. We raise our FY12/FY13 estimates for both companies, and expect both to affirm their respective forward outlooks. Given our favorable fundamental view as well as a waning of extraneous valuation overhangs (Durbin, Merchant Litigation) we are raising our PTs for V to $140 (from $126) and for MA to $475 (from $400). Shares remain attractive, in our view, although we expect share appreciation to largely track earnings growth from here with limited further multiple expansion.”
Oppenheimer reaffirms its Outperform ratings on Visa and Mastercard. Visa closed yesterday at $118.98. Mastercard closed yesterday at $430.94.
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