Visa stock: buy or sell
Updated on:
Jan 18th, 2021
2
Visa stock brief
- Visa closed last Friday at $201.59 after just changing a -0.13%.
- The price is currently below the lower Bollinger band, which often indicates a near-term rebound that you better not try to trade
- Visa is just 8.53% below all-time highs
- The stock is configuring an uptrend pattern since last October, when it bottomed at $178.96. This uptrend marked a 12.65% gain
- Deutsche Bank Aktiengesellschaft published a strong bullish rating for Visa last Thursday, forecasting $270.00
- Visa Inc. operates as a payments technology company worldwide.
Should I buy Visa stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $V stock a buy?
Currently, Visa stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean $V will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems
Should I sell Visa stock?
When you are a novel trader and you own stock shares with some profit, it's really hard to decide the correct moment to sell and get your profits. Trading strategies let us to avoid impetuous decisions based on our moods or the buzz that surrounds the market. Our trading system selects very simple setups to guide us on when is a good time to sell a stock. Be aware that these setups are not intended for selling short Visa stock
As a golden rule, you should never keep a trading operation that leads to greater losses than those expected at the time of the buy. When to sell shares should always be ruled by the stop-loss (automatic or manual)
Is it time to sell Visa stock?
Currently, Visa stock doesn't match any of our preferred sell setups, so if you own Visa stock and your operation is in profit probably is not time to sell now
Price broke down below last bottom
Visa ratings
In the last month, 4 brokerage ratings were published for Visa. General sentiment is bullish, with 4 out of 4 publishing positive forecasts
| Brokerage firm | Rating |
|---|---|
| Dec 22nd, 2020 | |
| Barclays | |
| Jan 13th, 2021 | |
| Jefferies Financial Group | Neutral → |
| KeyCorp | Buy |
| Jan 14th, 2021 | |
| Deutsche Bank Aktiengesellschaft | |
Visa stock analysis
Since last October, Visa has been drawing an uptrend that so far marked a gorgeous 12.65%. The chart shows higher highs and higher troughs, and along the way gave some buy points for those who wanted to enter. Latest pullback was in mid-December, when price bounced at $204.50. Last Thursday, the uptrend got broken when price sliced down under the $204.50 support
$V near to All-time Highs
Close to ATH
SMAs overview
Supports and resistances
The current resistances are:
The current support levels are:
Bollinger bands
Price levels both above or below the Bollinger Bands indicate that the price has followed a strong trend that has led to extreme highs or lows. For this case, the price is beneath the upper band, which should mean a near-term bounce off (at least) until it is back above the band
Relative strength index
When the moves for so long below 70 and above 30, without indication of overbought and oversold, the indicator is of little use, and we currently are in one of these situations.
Visa stock price history
Visa started trading priced at an adjusted price1 of $13.59 on Mar 2008. Since then, V stock surged by 1,383.37%, with an average of 115.28% per year. If you had invested $1,000USD in Visa stock on the IPO, it would be valued $14,833.70 today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Visa stock
How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations issue their analysis predicting how a stock will performance in the future.
The following table shows the price target released by analysts in the last month. If you are a small trader you shouldn't invest based on these price targets.
There are 4 price predictions issued for Visa that average $243.75. Visa closed at $201.59 last Friday, so the target price is forecasting a growth by 20.91%.
| Brokerage firm | Price target |
|---|---|
| Dec 22nd, 2020 | |
| Barclays | $230.00 |
| Jan 13th, 2021 | |
| Jefferies Financial Group | $195.00 → $250.00 |
| KeyCorp | $210.00 → $225.00 |
| Jan 14th, 2021 | |
| Deutsche Bank Aktiengesellschaft | $220.00 → $270.00 |
Earnings and financials
Visa ($V) hosted the shareholders event and presented the report last October. Visa reported earnings of $1.12 per share on sales of $5.1 billion. The Wall St estimate was $1.10 per share on revenue of $5.0 billion.
Same quarter last year, reported EPS was $1.47, so current EPS is a decrease of -23.81%. Looking at revenues, figures tanked a -16.88% compared to $61.4B same quarter last year.Visa ($V) is hosting the earnings call on Thursday next week. Expected for this quarter is $1.28, compared to $1.12 that was reported for Q4.
Visa performance
| Company | 1m | 3m | 6m |
|---|---|---|---|
| Visa ($V) | -3.30% | 1.00% | 3.80% |
Important:
The comments expressed in this post are personal and not recommendations for you to buy or sell shares. The author of this document does not have any knowledge of the particular scenarios of the reader, his or her finances or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Opinions are expressed for educative purposes onlyVisa summary
| Friday, January 15th, 2021 | |
|---|---|
| Open | $201.54 |
| Close | $201.59 |
| Day range | $200.43 - $203.26 |
| Previous close | $201.86 |
| Session gain | -0.13% |
| Average true range | $5.79 |
| 50d mov avg | $209.71 |
| 100d mov avg | $205.08 |
| 200d mov avg | $196.31 |
| Earnings date | January 28th, 2021 |