Is It Time To Reassess Visa (V) After The Recent Share Price Pullback?

Simply Wall St.03-21

If you are wondering whether Visa's current share price offers good value or not, it helps to separate short term noise from what the market is really pricing in. Visa shares last closed at US$301.62,...

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Visa shares last closed at US$301.62,...</p>\n\n<a href=\"https://simplywall.st/stocks/us/diversified-financials/nyse-v/visa/news/is-it-time-to-reassess-visa-v-after-the-recent-share-price-p\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Is It Time To Reassess Visa (V) After The Recent Share Price Pullback?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIs It Time To Reassess Visa (V) After The Recent Share Price Pullback?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-03-21 19:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/diversified-financials/nyse-v/visa/news/is-it-time-to-reassess-visa-v-after-the-recent-share-price-p><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>If you are wondering whether Visa's current share price offers good value or not, it helps to separate short term noise from what the market is really pricing in. Visa shares last closed at US$301.62,...</p>\n\n<a href=\"https://simplywall.st/stocks/us/diversified-financials/nyse-v/visa/news/is-it-time-to-reassess-visa-v-after-the-recent-share-price-p\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4559","symbol_name":"巴菲特持仓","start_time":0,"source_url":"https://simplywall.st/stocks/us/diversified-financials/nyse-v/visa/news/is-it-time-to-reassess-visa-v-after-the-recent-share-price-p","article_id":"2621674987","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/company-cover/38043467-main-header/1756256219926"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/diversified-financials/nyse-v/visa/news/is-it-time-to-reassess-visa-v-after-the-recent-share-price-p","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2621674987","pubTimestamp":1774091403,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"If you are wondering whether Visa's current share price offers good value or not, it helps to separate short term noise from what the market is really pricing in.\nVisa shares last closed at US$301.62, with returns of a 1.8% decline over 7 days, a 5.8% decline over 30 days, and a 12.9% decline year to date. The 1 year return sits at a 9.5% decline, alongside longer term gains of 39.6% over 3 years and 46.5% over 5 years.\nRecent coverage around Visa has focused on its role at the center of...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4559":"巴菲特持仓","LU0528227936.USD":"富达环球人口趋势基金A-ACC","LU2028103732.USD":"ALLIANZ GLOBAL SUSTAINABILITY \"AMG\" (USD) INC","LU0158827781.USD":" ALLIANZ GLOBAL SUSTAINABILITY \"AT\" (USD) ACC","LU0965509283.SGD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"AD\" (SGDHDG) INC","LU1691799644.USD":"Amundi Funds Polen Capital Global Growth A2 (C) USD","LU1037948541.HKD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"A\" (HKD) ACC","LU0234570918.USD":"高盛全球核心股票组合Acc Close","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","V":"Visa","LU0971096721.USD":"富达环球金融服务 A","LU1116320737.USD":"BGF SYSTEMATIC GLOBAL ENHANCED EQUITY YIELD \"A6\" (USD) INC","LU0417517546.SGD":"Allianz US Equity Cl AT Acc SGD","LU0265550946.USD":"BGF SYSTEMATIC GLOBAL ENHANCED EQUITY YIELD \"A5\" (USD) INC","LU2264538146.SGD":"Fullerton Lux Funds - Global Absolute Alpha A Acc SGD","LU1435385759.SGD":"Natixis Loomis Sayles US Growth Equity RA SGD-H","LU2471134952.CNY":"INVESCO GLOBAL EQUITY INCOME ADVANTAGE \"A\" (CNYHDG) INC","LU0256863902.USD":"ALLIANZ US EQUITY \"AT\" (USD) ACC","LU0079474960.USD":"联博美国增长基金A","LU0889565833.HKD":"FRANKLIN TECHNOLOGY \"A\" (HKD) ACC","LU2361044865.SGD":"WELLINGTON US QUALITY GROWTH \"A\" (SGDHDG) ACC","LU1400636657.SGD":"Allianz Europe Income and Growth Cl AMg DIS H2-SGD","LU2265009873.SGD":"Eastspring Investments - Global Growth Equity AS SGD-H","LU0823421416.USD":"BNP PARIBAS DISRUPTIVE TECHNOLOGY \"C\" (USD) INC","LU0345774391.USD":"NINETY ONE GSF AMERICAN FRANCHISE \"A\" (USD) ACC","LU2089284900.SGD":"Allianz Global Sustainability Cl AM Dis H2-SGD","LU0868494617.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) ACC","LU0861579265.USD":"联博低波幅策略股票基金A","LU1935042215.USD":"MANULIFE GF GLOBAL MULTI-ASSET DIVERSIFIED INCOME  \"AA\" (USD) INC A","LU2471134796.USD":"INVESCO GLOBAL EQUITY INCOME ADVANTAGE \"A\" (USD) INC","LU0957808578.USD":"THREADNEEDLE (LUX) GLOBAL TECHNOLOGY \"ZU\" (USD) ACC","LU0234572021.USD":"高盛美国核心股票组合Acc","LU1046421795.USD":"富达环球科技A-ACC","LU1935042488.USD":"MANULIFE GF GLOBAL MULTI-ASSET DIVERSIFIED INCOME  \"AA\" (USD) INC","BK4534":"瑞士信贷持仓","LU1236620834.HKD":"HSBC GIF GLOBAL SUSTAINABLE LONG TERM DIVIDEND \"AM2\" (HKD) INC","LU1043141123.HKD":"NINETY ONE GSF GLOBAL FRANCHISE \"A\" (HKD) INC 2","LU0823434583.USD":"BNP PARIBAS US GROWTH \"C\" (USD) ACC","IE00B19Z9505.USD":"美盛-美国大盘成长股A Acc","LU0265550359.USD":"BGF SYSTEMATIC GLOBAL ENHANCED EQUITY YIELD \"A2\" (USD) ACC","LU0965509010.AUD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"AD\" (AUDHDG) INC","IE00BZ1G4Q59.USD":"LEGG MASON CLEARBRIDGE US EQUITY SUSTAINABILITY LEADER \"A\"(USD) INC (A)","LU0690374615.EUR":"FUNDSMITH EQUITY \"R\" (EUR) ACC","LU0127658192.USD":"EASTSPRING INVESTMENTS GLOBAL TECHNOLOGY \"A\" (USD) ACC","LU1989772840.SGD":"CPR Invest - Climate Action A2 Acc SGD-H","LU0124676726.USD":"AB SICAV I - SUSTAINABLE US THEMATIC PORTFOLIO \"A\" (USD) ACC","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","BK4535":"淡马锡持仓","LU0353189680.USD":"富国美国全盘成长基金Cl A Acc","LU1815336760.USD":"THREADNEEDLE (LUX) GLOBAL TECHNOLOGY \"AUP\" (USD) INC"},"translate_title":"最近股价回调后，是时候重新评估Visa(V)了吗？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"V":1.5},"content_text":"If you are wondering whether Visa's current share price offers good value or not, it helps to separate short term noise from what the market is really pricing in. Visa shares last closed at US$301.62, with returns of a 1.8% decline over 7 days, a 5.8% decline over 30 days, and a 12.9% decline year to date. The 1 year return sits at a 9.5% decline, alongside longer term gains of 39.6% over 3 years and 46.5% over 5 years. Recent coverage around Visa has focused on its role at the center of global digital payments, along with ongoing discussions about competition, regulation, and how consumer spending trends may affect transaction volumes. This context helps explain why the stock can experience short term swings even when the underlying business model appears relatively consistent to many investors. Visa currently has a valuation score of 3 out of 6, which reflects where it screens as potentially undervalued on some checks but not others. The next sections will walk through the key valuation methods used, while also highlighting a broader way to think about value that ties them all together by the end of the article.  Visa delivered -9.5% returns over the last year. See how this stacks up to the rest of the Diversified Financial industry. AdvertisementApproach 1: Visa Excess Returns Analysis The Excess Returns model looks at how much profit a company is expected to earn above the return that shareholders require, then adds the present value of those excess profits to today’s book value per share. For Visa, the starting point is a Book Value of US$20.03 per share and a Stable Book Value estimate of US$24.52 per share, based on future book value estimates from 8 analysts. On top of that, analysts expect Stable EPS of US$16.99 per share, based on return on equity estimates from 12 analysts. The model assumes a Cost of Equity of US$1.78 per share, which implies an Excess Return of US$15.21 per share. That excess is supported by an average Return on Equity of 69.27%, indicating that projected earnings are high relative to the book value base. When these excess returns are capitalized, the model arrives at an intrinsic value of about US$421.54 per share. Compared with the recent share price of US$301.62, this Excess Returns valuation suggests Visa stock is 28.4% undervalued. Result: UNDERVALUED Our Excess Returns analysis suggests Visa is undervalued by 28.4%. Track this in your watchlist or portfolio, or discover 52 more high quality undervalued stocks. V Discounted Cash Flow as at Mar 2026 Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Visa. Approach 2: Visa Price vs Earnings P/E is often the go to multiple for profitable companies because it ties what you pay directly to the earnings the business is currently generating. For you as a shareholder, it is a simple way to see how many dollars of price the market is asking for each dollar of earnings. What counts as a “normal” P/E depends on what investors expect for future growth and how much risk they see in the business. Higher expected growth or lower perceived risk can justify paying a higher P/E, while slower growth or higher risk usually points to a lower P/E. Visa currently trades on a P/E of 27.9x, compared with an average of 17.6x for the Diversified Financial industry and a peer average of 18.3x. Simply Wall St’s Fair Ratio for Visa is 20.1x. This Fair Ratio is a proprietary estimate of the P/E that might be reasonable for the company after factoring in its earnings growth profile, industry, profit margin, market cap and risk characteristics. Because it adjusts for these company specific factors, it can give you a more tailored reference point than a simple comparison with peers or the broad industry. On this basis, Visa’s current P/E of 27.9x sits above the Fair Ratio of 20.1x, which points to the shares looking expensive on this measure. Result: OVERVALUED NYSE:V P/E Ratio as at Mar 2026 P/E ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 20 top founder-led companies. Upgrade Your Decision Making: Choose your Visa Narrative Earlier it was mentioned that there is an even better way to understand valuation. Meet Narratives, a simple tool on Simply Wall St’s Community page that lets you connect your view of Visa’s story to a concrete forecast and fair value, then compare that to today’s price to help you assess whether the stock looks attractive or not. In practice, a Narrative is your story behind the numbers. You set assumptions for future revenue, earnings and margins, which then roll up into a fair value that you can line up against the current share price to inform your decision to buy, hold or sell. Narratives respond as new information comes in. When Visa reports earnings or signs a new payments partnership, the forecast and fair value attached to each story are refreshed, keeping your view current without requiring you to rebuild a model from scratch. For Visa, one investor Narrative sets a fair value of about US$243 per share with a lower profit margin and P/E assumption. Another pins fair value closer to US$495 with higher growth and profitability expectations. By comparing those Narratives to the recent price around US$301, you can consider which story, if any, aligns with your own assumptions before taking action. For Visa, we’ll make it really easy for you with previews of two leading Visa Narratives: 🐂 Visa Bull Case Fair value: US$400.20 per share Implied undervaluation vs last close: 24.7% Revenue growth assumption: 10.6%  Focuses on growing digital payments, e commerce, and emerging markets as key supports for Visa's transaction volumes and revenue. Highlights value added services and cross border solutions as important for higher margin revenue and a broader earnings base. Flags real time payments, stablecoins, regulation, competition, and cross border volatility as risks that could challenge margins and growth if they play out differently to expectations.  🐻 Visa Bear Case Fair value: US$284.00 per share Implied overvaluation vs last close: 6.2% Revenue growth assumption: 11.5%  Assumes Visa remains a high margin, dominant network but questions how much of that quality is already reflected in the current share price. Sees inflation, new products like Visa Direct, and ongoing share buybacks as supports for revenue and EPS, but with more modest benefit from older growth drivers such as the move away from cash. Emphasizes regulatory pressure, local payment networks, fintech and crypto competition, and the possibility of weaker global spending as factors that could limit how much investors are willing to pay for the stock.  These two Narratives show how different fair values, growth assumptions, and risk views can lead to very different conclusions using the same company data. This is why it helps to decide which story lines up best with your own expectations before making any move on Visa. Do you think there's more to the story for Visa? Head over to our Community to see what others are saying! NYSE:V 1-Year Stock Price Chart  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.New: Manage All Your Stock Portfolios in One PlaceWe've created the ultimate portfolio companion for stock investors, and it's free.• Connect an unlimited number of Portfolios and see your total in one currency• Be alerted to new Warning Signs or Risks via email or mobile• Track the Fair Value of your stocksTry a Demo Portfolio for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. 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