Card processor Visa Inc. (NYSE:V) announced that President Ryan McInerney will assume the CEO role effective February 1, 2023. The succession planning comes as the current CEO, Alfred Kelly, Jr., is set to retire after successfully leading Visa for six years. Upon his exit, Kelly will become the executive Chairman of Visa’s Board.
Importantly, McInerney is viewed as a suitable successor because Kelly mentored him during Visa’s expansion beyond payments processing. The duo has efficiently steered the company through the pandemic, and even now, consumers are crunched for finances.
Wall Street analysts are also happy with the transition. Keefe, Bruyette & Woods analyst Sanjay Sakhrani commented, “McInerney has been viewed as the heir apparent, and his broad-based experience and track record at Visa makes him well suited for the CEO role.” Sakhrani expects the transition to be smooth.
Similarly, Darrin Peller of Wolfe Research said, “Ryan’s challenge as a CEO during this time is that we’re in inflationary times.” However, Peller believes that McInerney will easily manage the tough times as he has been groomed well during the pandemic.
Commenting on McInerney’s capabilities, Kelly said, “Ryan has boundless energy and passion for this business and in his role as President, and as my close partner for the past six years, he has become intimately familiar with how Visa operates and the exciting opportunities this industry presents. I feel privileged to entrust Ryan with the leadership of this great company and am confident Visa is poised for more success in the years to come.”
Is Visa Stock a Buy, Sell, or Hold?
With 17 Buys and one Hold rating, Visa stock commands a Strong Buy consensus rating. On TipRanks, the average Visa price forecast of $246.33 implies 16.8% upside potential to current levels. Meanwhile, V stock has lost 4% year to date.