The credit card company is scheduled to report second-quarter earnings on May 2. Analysts, on average, anticipate earnings of $1.50 a share on $2.48 billion in revenue."We expect strong results this quarter, following growth in purchase volumes through the first three months of the calendar year," Trefis analysts wrote in a report Wednesday. "Visa reported strong results last quarter with a net income of $1.0 billion or $1.49 per diluted share. These results can be attributed to the renewed optimism following the economic recovery across the U.S., as retail customers are regaining confidence to spend more. This trend has continued this quarter as Visa reported a 10% increase in total payments volume in February 2012 from the previous year. Increased spending by customers will also have a positive effect on Visa's main competitors MasterCard (NYSE:MA), Discover Financial (NYSE:DFS) and American Express (NYSE:AXP)." Shares of Visa hit a 52-week high Friday of $124.21. The stock's 52-week low of $73.11 was set on June 27. Visa's forward P/E is 17.6 times; the average for consumer finance companies is 10.04. For comparison, American Express (AXP) has a lower forward P/E of 12.62. Thirty-two of the 41 analysts who cover Visa rated it buy; nine analysts gave the stock a hold rating. TheStreet Ratings gives Visa an A+ grade with a buy rating and $159.06 price target. The stock has risen 21.53% year to date.
Toll Brothers Shares of Toll Brothers hit a 52-week high Friday of $25.80. The stock's 52-week low of $13.16 was set on Oct. 4. Toll Brothers' forward P/E is 34.4; the average for home construction companies is 44.64. For comparison, D.R. Horton (DHI) has a lower forward P/E of 19.05. Twelve of the 24 analysts who cover Toll Brothers rated it hold. Ten analysts gave the stock a buy rating and two rated it sell. TheStreet Ratings gives Toll Brothers a C+ grade and hold rating. The stock has risen 25.42% year to date.