Visa (V) Stock Price Target Lowered at BMO Capital Markets

Visa's (V) price target was lowered to $83 from $84 at BMO Capital Markets on Tuesday.
By Amanda Albright ,

NEW YORK (TheStreet) -- BMOCapitalMarkets lowered its price target on Visa (V) - Get Reportstock to $83 from $84 on Tuesday. The firm maintained its "outperform" rating on the stock.

The Foster City, CA-based payments technology company reported 2015 fourth quarter earnings of 62 cents per share on Tuesday, missing analysts projections by one cent. Revenue of $3.57 billion was in-line with analysts' expectations.

Visa also announced that it was buying VisaEurope for $23.4 billion in cash and stock.

Higher revenue growth from Europe is offset by interest costs from new debt, higher share count from preferred stock conversions and a higher tax rate, BMO Capital said. 

BMO Capital analysts lowered their 2016 earnings forecast for Visa to $2.79 per share from $3 per share and their 2017 earnings forecast to $3.26 per share from $3.42 per share.

Shares of Visa were up by 3.51% to $77.86 in early afternoon trading on Tuesday.

Separately, TheStreet Ratings team rates VISA INC as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:

We rate VISA INC (V) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share, expanding profit margins and good cash flow from operations. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook.  

You can view the full analysis from the report here: V

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