4-Star Blue Chips Poised to Outperform: Visa

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, credit card giant Visa (NYS: V) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Visa's business and see what CAPS investors are saying about the stock right now.

Visa facts

Headquarters (founded)

San Francisco (1958)

Market Cap

$94.7 billion

Industry

Data processing and outsourced services

Trailing-12-Month Revenue

$10.4 billion

Management

CEO Charles Scharf (since October 2012)
CFO Byron Pollitt, Jr. (since September 2007)

Return on Equity (average, past 3 years)

11.5%

Cash/Debt

$2.8 billion / $0

Dividend Yield

0.9%

Competitors

American Express (NYS: AXP)
Discover Financial
(NYS: DFS)
MasterCard
(NYS: MA)


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 95% of the 5,092 members who have rated Visa believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star Chemdawg, succinctly summed up the Visa bull case for our community:

Who uses cash anymore? [V]isa is among the few pieces of plastic you can carry. ... They get paid when you swipe. ... Steadily profitable and they have raised the dividend hand over fist lately. [It's] a high P/E, zero debt company but the money just keeps on coming in. Stability in a world lacking it.

If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Visa may not be your top choice.

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The article 4-Star Blue Chips Poised to Outperform: Visa originally appeared on Fool.com.

Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of MasterCard. Motley Fool newsletter services recommend American Express Company and Visa. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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