Mon, Mar. 2, 8:13 AM
- Citigroup (NYSE:C) will become the exclusive co-issuer of Costco's (NASDAQ:COST) co-brand credit cards, and Visa (NYSE:V) will replace American Express (NYSE:AXP) as the credit card network for Costco in the U.S. and Puerto Rico, beginning April 1, 2016.
- On CNBC as the news hit, AmEx shareholder Warren Buffett: Citi won't get rich off the Costco deal.
- Source: Press Release
- C +0.6%, V +2.4% premarket
Thu, Feb. 19, 12:07 PM
- "The court's ruling will not provide any benefit to consumers and will, in fact, harm competition by further entrenching the two dominant networks," says American Express (AXP -2.2%), responding to its loss in an antitrust lawsuit, and vowing to appeal.
- Filed in 2010 and heard by a federal judge last year, the case is about AmEx's prohibiting merchants who accept its cards from steering customers towards those cards processed by rivals Visa (V +0.3%) and MasterCard (MA +1.7%), or debit cards.
- “The most damaging thing that can happen to the American Express brand is when our card members are discriminated against at the point of sale,” said company CEO Ken Chenault when he testified at last year's trial.
- It's another 2015 blow for AmEx which last week announced an end to its long-time exclusive partnership with Costco in the U.S. The stock's now lower by about 16% YTD.
- Previously: AmEx lower by 1.9% after losing antitrust suit (Feb. 19)
Mon, Feb. 2, 4:32 PM
Fri, Jan. 30, 11:36 AM
- FBR Capital is putting the brakes on with Visa (V +4.9%).
- The investment firm downgrades shares to Market Perform from Outperform on a valuation call after catching the post-earning rally.
- Shares of Visa are still about $9 short of their 52-week high of $269.32.
- Previously: Visa beats by $0.04, beats on revenue
- Previously: Visa +4.2% on strong Q4 growth, 4-for-1 split on the way
Thu, Jan. 29, 4:20 PM
- Visa (NYSE:V) reports the strong U.S. dollar impacted growth by a full 2 percentage points in Q4.
- Payments volume growth +11% to $1.2T on a constant dollar basis.
- Cross-border volume growth +8%.
- Processed transactions +10% to 17.6B.
- Operating expenses +10% to $1.1B.
- The company announces a 4-for-1 split.
- V +4.2% after hours
Thu, Jan. 29, 4:12 PM
Oct. 30, 2014, 12:35 PM
Oct. 29, 2014, 5:50 PM
- Visa (NYSE:V) is guiding for low-double digit FY15 (ends Sep. '15) constant dollar revenue growth, with forex having a 200 bps negative impact; consensus (based on real dollars) is for 10.2% growth. Free cash flow is expected to be above $6B.
- Op. margin is forecast to be in the mid-60s range; its was at 64% in FY14, and 61% in FY13. Client incentives are expected to equal 17.5%-18.5% of gross revenue, up from FY14 16.9%.
- FQ4 payments volume +11% Y/Y to $1.2T; cross-border volume +10%; processed transactions +9% to 16.9B.
- Service revenue +8% to $1.5B; data processing +14% to $1.3B; international +4% to $938M; everything else +16% to $212M.
- MasterCard (NYSE:MA) is getting a lift from Visa's numbers.
- FQ4 results, buyback, PR
Oct. 29, 2014, 4:11 PM
Oct. 2, 2014, 9:21 AM| 4 Comments
Sep. 2, 2014, 3:48 PM
- Home Depot (HD -2.4%) confirms it's looking into "unusual activity" as it works with law enforcement officials in relation to a possible loss of customer credit card and debit card information.
- Early reports indicate the breach occurred in late April and could involve over 2K Home Depot stores.
- Shares of Home Depot have recouped a bit from their initial slide after the breach report broke. Some retail analysts called the peeling off of $3.5B in market cap somewhat overdone.
- What to watch: If the breach is as large as some banks are reporting, an increased push by the industry toward the adoption of smart card technology could be on the way.
- Related EMV stocks: PAY, NCR, MA, V, OTCQX:IFNNY, NXPI,
Aug. 28, 2014, 7:02 AM| 3 Comments
Jul. 24, 2014, 4:27 PM
- FQ3 net income of $1.4B up 11% Y/Y, with EPS of $2.17 up 15%; net operating revenue of $3.2B up 7% on constant dollar basis.
- Payments volume growth in FQ3 of $1.2T up 11% on a constant dollar basis (was up 12% in FQ2).
- Cross-border volume growth up 7%.
- Total processed transactions of 16.7B, up 11%.
- Total operating expenses of $1.1B off 3%.
- 5.6M shares repurchased during Q at average price of $207.13 each using $1.2B of cash on hand. An additional $1.9B of funds remains available for additional purchases.
- Full-year outlook is affirmed: Revenue growth of 9-10% with an expectation of 200 basis points of negative foreign currency impact; EPS growth of 17.5-18.5%.
- Conference call at 5 ET
- Previously: Visa beats by $0.08, beats on revenue
- V -2.6% AH
Apr. 25, 2014, 3:19 PM
- Visa (V -4.3%) sinks after beating Q1 earnings forecasts but warning that revenue would slow in Q2 due to sanctions imposed on Russia and a stronger dollar.
- But analysts largely remain upbeat for the longer term: Pacific Crest says Q1 results were hurt by "a series of idiosyncratic events," and growth should accelerate in H2 2014, while Stifel says underlying trends are strong and shares should outperform beginning in FY 2015.
- Jefferies calls the results a "modest bump in the road," encouraged by recovery in most April metrics and higher operating margin guidance, but notes that the uncertainty around Russia could weigh on MasterCard’s (MA -4.7%) results when it releases earnings on May 1.
- As the largest component of the Dow, Visa's stock price movement is having an outsized effect; DJIA -141.
Apr. 25, 2014, 10:31 AM
- Visa's (V -4.4%) FQ2 EPS of $2.52 flew past expectations of $2.18, but a disappointing outlook has the stock sharply lower in early action. Previous guidance had called for 2014 revenue growth of 10-13%, but Visa cut the top end of the range down to 11%.
- KBW's Sanjay Sakhrani says not only is this a disappointment, but the company included a $218M tax benefit in its full-year guidance, implying lower growth in H2 than originally hoped.
- Maintaining his Market Perform and $190-$210 PT, Wells' Timothy Willi expects the stock to remain rangebound thanks to those revenue concerns, slower crossborder action, and Russian concern (expected to reduce FY14 EPS by a several pennies). On the bullish side though, credit payments volume growth was a bit stronger, and U.S. PV growth has gotten better thus far this quarter (though Easter may have played a role).
Mar. 21, 2014, 10:53 AM
V vs. ETF Alternatives
Other News & PR