Financial services major Visa Inc. (NYSE: V) has reported impressive volume and transaction data for April and May. The results exclude the impact of exiting Russia.
Shares of the company rose 2.4% on Thursday. The stock pared its gains slightly and closed at $215 in the extended trading session.
Volume Data
Visa’s payments volume grew 13% year-over-year in April and 12% year-over-year in May.
Credit payments volume saw yearly growth of 26% and 21% in April and May, respectively. Meanwhile, debit payments volume grew 4% year-over-year each in April and May.
Internationally, cross-border volume excluding intra-Europe transactions (excluding Russia-related Results from Prior Periods) grew 54% in April and 52% in May.
Total cross border volumes clocked in a year-over-year rise of 45% in April and 40% in May. Further, processed transactions witnessed a year-over-year rise of 18% and 17% in April and May, respectively.
Stock Rating
Recently, Jefferies analyst Trevor Williams reiterated a Buy rating on the stock. The analyst, however, lowered the price target from $275 to $235, which implies upside potential of 9.3% from current levels.
Consensus among analysts is a Strong Buy based on 14 Buys and two Holds. Visa’s average price target of $267.81 implies upside potential of 24.5% from current levels. Shares have declined 5.7% over the past year.
Website Traffic
TipRanks’ Website Traffic Tool, which uses data from SEMrush Holdings (SEMR), the world’s biggest website usage monitoring service, offers insight into Visa’s performance this quarter.
According to the tool, the Visa website recorded a 167.97% monthly rise in global visits in April, compared to the same period last year. Further, the footfall on the company’s website has grown 211.28% year-to-date, compared to the previous year.
Conclusion
Visa’s strong fundamentals reflected by its solid volume metrics are expected to allow the company to mitigate the impact of its exit from Russia.
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