Visa Reports Better FY17 4th Quarter Earnings

VISA logoVisa Inc (NYSE: V), the famous credit card provider, has reported better than expected earnings in quarter 4 of the fiscal year 2017 on October 25, 2017. The company has issued a spectacular revenue growth outlook based on better global economic outlook.

As a result of this impressive performance, the stocks of Visa Inc have shown 3% growth, and it is trading at $111 levels now. It is expected that shares would be showing an uptrend in the coming times and the reasons for the same are discussed below.

This California based company has reported revenues worth $4.855 billion in Q4 2017 as compared to $4.26 billion during the same period last year.

The net income during Q4 has also grown to $2.14 billion or $0.90 per share as compared to $1.93 billion or $0.79 per share during Q4 last year. The market analysts at Wall Street anticipated the credit card company to report earnings of $4.62 billion or $0.86 per share.

The service revenue also witnessed growth from $168 million Y-O-Y to $2.116 billion in Q4 in fiscal 2017. The data processing revenues grew by $83 million to reach $2.067 billion from $1.984 billion last year. The international transaction revenue was at $1.792 billion in 2017 as compared to $1.571 billion in 2016.

Visa

There is a 9.8% growth in Visa’s payment on a yearly basis to $1.93 trillion on permanent Dollar base out of which 43% volume came from the United States. There is a growth of 10% in cross-border volume with the quarter ending in September 2017. The processed transaction showed 13% yearly growth to reach $29.20 billion.

With the quarter ending on September 2017, the cash and cash equivalents of Visa is $9.874 billion as compared to $5.679 billion in September last year.

This credit card company has recently issued its outlook for the fiscal year 2018. Visa is optimistic that the company expects single-digit revenue growth where favourable foreign currency impact to be in the range of 0.5 to 1 percent. The company plans the annual operating margin in the high 60s with a tax rate of 29 percent.

VISA Stock Price Nov 6th, 2017

VISA Stock Price Nov 6th, 2017

From the image, it is clear that the stock is moving in ascending manner. Also, MACD Indicator is above the zero mark, and accumulation indicator is on the rise. Hence, we expect the stocks of Visa to be on the increase shortly.

To make a profit from this possible uptrend, traders should purchase a call option from any reputed Binary Options broker with a trade expiry of 7 days. It is advised to BUY the stock when it is trading around $111 at NYSE.

Rich Archer

Rich Archer

Hi, my name is Rich Archer. I am living in London. Welcome to Binary Manual. Reach to Binary Options broker reviews and market news here.


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