Earnings Preview: Visa's EPS, Revenue Expected to Rise
Earnings and Revenue:
Analysts are predicting an EPS reading of $1.25/share and revenues of $2.39 billion. Visa's latest numbers will no doubt be compared with the company's year-ago quarter, when it reported a profit of 95 cents/share on revenues of $2.12 billion. We'll know on Wednesday whether Visa has managed the estimated 31.6% increase in EPS and 12.7% rise in revenues on a year-over-year basis.
Here's how the company's reported EPS has stacked up against analyst estimates in the past:
At last check, shares of Visa were trading at $91.35. Since January 1st, shares of Visa have given investors a return of 30.5%. For a full 12 months, the return has risen by 18.4%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.
- Long-term shareholders are already enjoying 12-month gains prior to the announcement
Average Stock Rating:
The average rating by analysts for Visa is a Moderate Buy. The strength of this rating has declined slightly over the past three months.
Want to check out the performance of Visa closest competitors? Take a look at some of the company's peers in the information technology sector.
- Alliance Data Systems (NYSE: ADS): Moderate Buy with a $1.56 recent quarter EPS
- American Express Company (NYSE: AXP): Moderate Buy with a $1.07 recent quarter EPS
- Discover Financial Services (NYSE: DFS): Moderate Buy with a $1.18 recent quarter EPS
- CompuCredit (NASDAQ: CCRT): Moderate Sell
The financial transaction services company's industry has seen price/earnings growth of 1.1% during the current fiscal year.
Finally, a description of the company's main areas of operation: Visa is a global payments technology company that connects consumers, businesses, banks and governments around the world.
Now that you have reviewed all the numbers, be ready to move if the upcoming Visa earnings report has any surprises. Also, come back to Benzinga after the announcement for a full recap and a guide to your next steps.