Earnings Results: Visa Stock Gains After Earnings Beat As Volume Rises 9%

Visa Inc. shares gained about 1% in after-hours trading Thursday after the payments giant topped profit expectations for its fiscal fourth quarter and delivered in-line revenue.

The company recorded net income of $3.0 billion, or $1.34 a share, down from $3.3 billion, or $1.47 a share, in the year-earlier quarter. Adjusted earnings per share rose to $1.47 from $1.21 and came in above the FactSet consensus, which called for $1.43.

Visa’s V, +2.83%  revenue climbed to $6.1 billion from $5.4 billion in the year-prior period, matching the FactSet consensus of $6.1 billion.

Visa saw payments volume grow 9% on a year-over-year basis in constant currency. Cross-border volume rose 7% on a constant-dollar basis. The company said that excluding European cross-border transactions, which the company said have revenue yields similar to domestic transactions there, cross-border volume was up 9%.

For fiscal 2020, the current fiscal year, Visa expects low double-digit revenue growth and a negative 1% to 1.5% impact from foreign currency. It also projects a roughly 0.5% positive impact from acquisitions. On earnings, the company is calling for mid-teens growth, a 1% to 1.5% negative foreign-currency impact, and a negative acquisition impact of about 1%.

Shares have gained 34% so far this year, as the Dow Jones Industrial Average DJIA, -0.11%  has risen 15%.

RECENT NEWS

The Penny Drops: Understanding The Complex World Of Small Stock Machinations

Micro-cap stocks, often overlooked by mainstream investors, have recently garnered significant attention due to rising c... Read more

Current Economic Indicators And Consumer Behavior

Consumer spending is a crucial driver of economic growth, accounting for a significant portion of the US GDP. Recently, ... Read more

Skepticism Surrounds Trump's Dollar Devaluation Proposal

Investors and analysts remain skeptical of former President Trump's dollar devaluation plan, citing tax cuts and tariffs... Read more

Financial Markets In Flux After Biden's Exit From Presidential Race

Re-evaluation of ‘Trump trades’ leads to market volatility and strategic shifts.The unexpected withdrawal of Joe Bid... Read more

British Pound Poised For Continued Gains As Wall Street Banks Increase Bets

The British pound is poised for continued gains, with Wall Street banks increasing their bets on sterling's strength. Th... Read more

China's PBoC Cuts Short-Term Rates To Stimulate Economy

In a move to support economic growth, the People's Bank of China (PBoC) has cut its main short-term policy rate for the ... Read more