President Donald Trump’s proposal to cap U.S. credit card interest rates at 10% rattled the financial sector, causing bank stocks to drop 1% to 3%. Banks warn that the cap could render parts of the credit card business unviable, impacting margins and possibly limiting credit access.

Visa, known for transaction volumes, fell 1.9% post-announcement. Despite recent volatility, Visa has a market cap of nearly $625.2 billion and operates in over 200 countries. Shares have advanced 6.83% over the past year but pulled back 8.3% recently due to policy-driven uncertainty.

Visa trades at 27.31 times forward adjusted earnings and 14.76 times sales, above industry averages but below its historical multiples. The company boasts a consistent income profile, raising its dividend for 17 consecutive years and paying an annual dividend of $2.68 per share.

In fiscal 2025 Q4, Visa reported revenue growth of 11.5% YOY, surpassing analyst expectations. Service revenue increased 10% YOY, while net income grew 7% to $5.8 billion. Looking ahead, Visa projects low double-digit adjusted net revenue growth, citing opportunities in stablecoin-related capabilities.

Analysts forecast EPS to rise 14.2% YOY in Q1 fiscal 2026 and 11.7% for the full year. Wall Street maintains a “Strong Buy” consensus rating on Visa, with a mean price target of $403.09, implying a potential upside of 22.92%. The highest target of $450 indicates optimism about Visa’s future.

Read more at Yahoo Finance: Should You Buy, Sell, or Hold Visa Stock for January 2026?