-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
Visa posted excellent Mar-Q results with adj. EPS of $3.31 vs. $2.76 a year ago, beating consensus by $0.21. Revenue of $11.2B rose 17% Y/Y, beating consensus by 4% and marking the strongest growth since 2022. We view this as an excellent result, as concerns surrounding AI disruption or geopolitical uncertainty did not manifest in Visa's performance. Adjusted operating margin held firm at 68.0%, a good result given prior guidance indicated likely margin compression. Strong performance was broad based with data processing revenue up 18% to $5.5B and other revenue surging 41% to $1.3B, reflecting successful expansion in value-added services. Cross-border volume excluding intra-Europe advanced 11% on a constant currency (CC) basis while payments volume grew 9%. Geographic strength was led by LAC (+14% CC), CEMEA (+13% CC), and Europe (+11% CC), with encouraging acceleration in the U.S. to 8%. We applaud the board's authorization of a new $20B multi-year share repurchase program given Visa's muted valuation.