Visa projected to have strong performance in 2025 with potential for double-digit growth

From Investing.com: 2024-12-13 19:01:02

Visa Inc is forecasted for a strong 2025 with robust growth potential and structural drivers, making it a top pick in the payments sector, according to Wolfe Research. The company’s diversified growth areas like value-added services and tokenization are key factors supporting its potential for double-digit growth in the medium term.

Visa expects to leverage pricing opportunities in 2025 and focus on innovation with expansions like its Pismo platform and enhanced fraud capabilities through Featurespace. The company maintains an “outperform” rating with a price target of $350, suggesting an upside of over 11% from current levels, outpacing U.S. personal consumption expenditure growth.

Analysts note Visa’s strong consumer trends, resilient U.S. volume performance, and cross-border transaction growth, with early indicators pointing to a strong initial U.S. volume performance. VAS and New Flows continue to be accretive to growth, implying potential for long-term double-digit growth.

Visa’s CFO and head of IR conveyed confidence in Visa’s growth trajectory for FY25, with elements of conservatism intact. The company is expected to continue expanding its fraud/risk capabilities through Featurespace and capitalize on opportunities for growth in the medium term.



Read more at Investing.com: Why Visa stock should outperform in 2025, Wolfe Research By Investing.com