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Visa (UKEX:V) Cyclically Adjusted PB Ratio : 16.94 (As of May. 26, 2024)


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What is Visa Cyclically Adjusted PB Ratio?

As of today (2024-05-26), Visa's current share price is ₴5393.00. Visa's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was ₴318.27. Visa's Cyclically Adjusted PB Ratio for today is 16.94.

The historical rank and industry rank for Visa's Cyclically Adjusted PB Ratio or its related term are showing as below:

UKEX:V' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 8.07   Med: 14.21   Max: 18.56
Current: 16.66

During the past years, Visa's highest Cyclically Adjusted PB Ratio was 18.56. The lowest was 8.07. And the median was 14.21.

UKEX:V's Cyclically Adjusted PB Ratio is ranked worse than
99% of 301 companies
in the Credit Services industry
Industry Median: 0.9 vs UKEX:V: 16.66

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Visa's adjusted book value per share data for the three months ended in Mar. 2024 was ₴761.731. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is ₴318.27 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Visa Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Visa's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Visa Cyclically Adjusted PB Ratio Chart

Visa Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.34 15.97 16.32 11.82 14.38

Visa Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.58 15.09 14.38 16.20 16.94

Competitive Comparison of Visa's Cyclically Adjusted PB Ratio

For the Credit Services subindustry, Visa's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Visa's Cyclically Adjusted PB Ratio Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Visa's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Visa's Cyclically Adjusted PB Ratio falls into.



Visa Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Visa's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=5393.00/318.27
=16.94

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Visa's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Visa's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=761.731/131.7762*131.7762
=761.731

Current CPI (Mar. 2024) = 131.7762.

Visa Quarterly Data

Book Value per Share CPI Adj_Book
201406 441.554 100.560 578.626
201409 446.493 100.428 585.865
201412 456.593 99.070 607.331
201503 464.443 99.621 614.353
201506 474.002 100.684 620.379
201509 493.677 100.392 648.012
201512 493.322 99.792 651.433
201603 491.860 100.470 645.120
201606 455.706 101.688 590.543
201609 461.001 101.861 596.391
201612 444.846 101.863 575.482
201703 433.544 102.862 555.411
201706 458.492 103.349 584.604
201709 475.536 104.136 601.757
201712 491.239 104.011 622.372
201803 505.582 105.290 632.767
201806 495.757 106.317 614.475
201809 517.795 106.507 640.646
201812 515.187 105.998 640.479
201903 520.641 107.251 639.700
201906 537.448 108.070 655.345
201909 535.434 108.329 651.323
201912 548.427 108.420 666.570
202003 539.855 108.902 653.251
202006 570.405 108.767 691.070
202009 588.460 109.815 706.143
202012 629.235 109.897 754.510
202103 636.630 111.754 750.688
202106 644.762 114.631 741.196
202109 645.585 115.734 735.069
202112 625.750 117.630 701.006
202203 622.651 121.301 676.421
202206 620.312 125.017 653.851
202209 631.131 125.227 664.141
202212 666.138 125.222 701.005
202303 701.586 127.348 725.983
202306 716.565 128.729 733.529
202309 750.885 129.860 761.968
202312 775.284 129.419 789.402
202403 761.731 131.776 761.731

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Visa  (UKEX:V) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Visa Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Visa's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Visa (UKEX:V) Business Description

Industry
Address
P.O. Box 8999, San Francisco, CA, USA, 94128-8999
Visa is the largest payment processor in the world. In fiscal 2022, it processed over $14 trillion in total volume. Visa operates in over 200 countries and processes transactions in over 160 currencies. Its systems are capable of processing over 65,000 transactions per second.