Banking, finance, and taxes
Visa's Earnings Cheer: "Charge!" (V)
Published:
Last Updated:
Credit card clearing and processing giant Visa Inc. (NYSE: V) just posted earnings with an adjusted $0.59 EPS on $1.6 Billion in revenues. First Call had estimates pegged at $0.48 EPS on $1.55 Billion. Even if you use GAAP estimates for financials, the company posted $0.51 EPS.
Despite a weak consumer, which everyone believes Visa is immune from entirely, Visa is raising its 2008 targets. Its sees adjusted operating margin in the mid-40% range. The company is going out on a limb and calling for 2009 and 2010 to see adjusted operating margins in the mid to high 40% range.
Through 2010 the company is targeting annual revenue growth of 11% to15% and is calling for earnings per share growth of some 20% for thesame period. Also through 2010, we are seeing annual free cash flowtargets of more than $1 Billion. All targets reflect GAAP tax rates of41% in 2008 and 35% to 36% over the next five years.
Visa shares closed up over 3% today at $78.45, and shares are mostly flat after the close.
Jon C. Ogg
July 30, 2008
Travel Cards Are Getting Too Good To Ignore (sponsored)
Credit card companies are pulling out all the stops, with the issuers are offering insane travel rewards and perks.
We’re talking huge sign-up bonuses, points on every purchase, and benefits like lounge access, travel credits, and free hotel nights. For travelers, these rewards can add up to thousands of dollars in flights, upgrades, and luxury experiences every year.
It’s like getting paid to travel — and it’s available to qualified borrowers who know where to look.
We’ve rounded up some of the best travel credit cards on the market. Click here to see the list. Don’t miss these offers — they won’t be this good forever.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.