Redburn Atlantic has revised its price target for Visa (V, Financial) from $310 down to $300 while maintaining a Neutral rating on the stock. The firm argues that the payments sector is often misunderstood, emphasizing its affordability, minimal earnings risk, and robust cash returns.
Despite the adjusted outlook for Visa, Redburn Atlantic highlights Mastercard and Toast as its preferred investments in the payments industry. The firm suggests that concerns over the cyclical impact on payment companies might be overblown, positioning these businesses as aligned with nominal consumption trends. In Redburn's view, any potential recession will be a reduction in units rather than in nominal terms.
Responding to the economic slowdown, Redburn Atlantic has also reduced estimates across the payments sector, reflecting broader market and economic conditions.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 37 analysts, the average target price for Visa Inc (V, Financial) is $377.82 with a high estimate of $410.00 and a low estimate of $291.22. The average target implies an upside of 14.03% from the current price of $331.33. More detailed estimate data can be found on the Visa Inc (V) Forecast page.
Based on the consensus recommendation from 42 brokerage firms, Visa Inc's (V, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Visa Inc (V, Financial) in one year is $345.41, suggesting a upside of 4.25% from the current price of $331.33. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Visa Inc (V) Summary page.
