Dow 30 component, Visa (V) reported declining sales and transactions as COVID-19 pandemic has taken over consumer spending including shoppers and cross-border travel-related spending.
“As countries have imposed social distancing, shelter-in-place or total lock-down orders, domestic spending, most notably in travel, restaurants, entertainment, and fuel, has sharply declined week on week,” stated the world’s largest payments network.
The company has forecasted mid-single-digit percentage revenue growth for the second quarter as currently, as it witnessed a 4% fall in March in U.S. payments volume in comparison to a year earlier. Analysts have forecasted revenue of $5.83B and an EPS of $1.36 in Q2 ending March 31.
Mastercard Inc (MA), American Express (AXP), and PayPal Holdings Inc. (PYPL) have also raised concerns over slow revenue growth due to the outbreak.
Visa Inc. (NYSE: V) is the world’s leader in digital payments. Their mission is to connect the world through the most innovative, reliable and secure payment network – enabling individuals, businesses and economies to thrive. Their advanced global processing network, VisaNet, provides secure and reliable payments around the world and is capable of handling more than 65,000 transaction messages a second. The company’s relentless focus on innovation is a catalyst for the rapid growth of connected commerce on any device, and a driving force behind the dream of a cashless future for everyone, everywhere. As the world moves from analog to digital, Visa is applying its brand, products, people, network and scale to reshape the future of commerce. To learn more about Visa (V) and to track its ongoing progress please visit the Vista Partners Visa (V), Coverage Page.
Vista Partners LLC (”Vista”) is a California Registered Investment Advisor based in San Francisco. Vista delivers timely and relevant insights via the website: www.vistapglobal.com with daily stories, weekly market updates, monthly macroeconomic newsletters, podcasts, & Vista’s proprietary equity and market research to help you stay informed and stay competitive. Vista’s mission is to invest partner capital while arming investors with a comprehensive global financial perspective across all market sectors. Vista also seeks to provide select issuers with actionable advice regarding fundamental development, corporate governance, and capital market directives.
Stay Informed! Stay Competitive! Please join us at Vista Partners and receive our FREE email updates throughout the week and view our exclusive content and research.