Visa (V) Valuation Check After Strong Q1 Results And Stablecoin Expansion

Visa (V) just posted fiscal first quarter results that beat expectations, with net revenue up 15% and payments volume near US$4t, while also pointing to more moderate growth in the coming quarter.

See our latest analysis for Visa.

Despite the strong quarter and fresh buyback and dividend activity, Visa’s recent share price performance has cooled, with a 30 day share price return of 8.23% and a year to date share price return of 7.11%. At the same time, the 1 year total shareholder return of 5.17% contrasts with a 3 year total shareholder return of 43.04% and a 5 year total shareholder return of 59.85%. This suggests momentum has softened recently, even though long term holders have still seen meaningful value from price gains and dividends.

If Visa’s latest earnings have you thinking about where payment and fintech trends could head next, it might be worth scanning high growth tech and AI stocks for other names shaping how money moves digitally.

With Visa trading at US$321.83 and screens flagging an estimated 17% intrinsic discount plus a sizeable gap to the average analyst target, you have to ask: is this a genuine entry point, or is the market already baking in future growth?

Most Popular Narrative: 30.6% Undervalued

Visa’s most followed narrative pegs fair value at $463.49 versus the last close of $321.83, which is a wide gap for such a large, established payments company.

At the core of Visa’s strength is its vast and resilient global payments network. This network connects millions of merchants with thousands of financial institutions and their cardholders, creating a powerful moat that deters competition. Why own Visa: 3X capital gain in 10 years. Low risk. Dividend as a bonus. Strong fundamentals. Reliable, predictable growth.

Read the complete narrative.

Curious how that network strength feeds into the valuation math? The narrative leans heavily on steady revenue expansion, very high margins, and a premium profit multiple. The real twist is how those assumptions stack up over time. If you want to see what kind of long run earnings path that implies, the full narrative spells it out.

Result: Fair Value of $463.49 (UNDERVALUED)

Have a read of the narrative in full and understand what’s behind the forecasts.

However, this story can change quickly if Mastercard gains more share or if government support for stablecoins reshapes how value moves across payment rails.

Find out about the key risks to this Visa narrative.

Another View: Rich On Earnings

While one narrative sees Visa as 30.6% undervalued, the P/E of 29.9x tells a different story. It sits well above the US Diversified Financial industry at 15.3x, peers at 15.8x, and even the 20.6x fair ratio our work suggests the market could move toward. That premium hints at less margin for error if growth or margins soften. Is this really a bargain, or more of a quality name at a full price?

See what the numbers say about this price — find out in our valuation breakdown.

NYSE:V P/E Ratio as at Feb 2026 Build Your Own Visa Narrative

If you are not fully on board with these views or you would rather rely on your own research and numbers, you can build a custom thesis in just a few minutes with Do it your way.

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Visa.

Looking for more investment ideas?

If Visa is already on your radar, do not stop there. Use the screener to surface a few more ideas that could round out your watchlist.

This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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