Complete V Stock Valuation Analysis
Comprehensive intrinsic value analysis using 7 different methodologies
V DCF Analysis
V (Visa Inc.) discounted cash flow analysis with multiple scenarios, growth assumptions, and terminal value calculations
Financial Projections
| Metrics | 2022 (Historical) | 2023 (Historical) | 2024 (Historical) | 2025 (Projected) | 2026 (Projected) | 2027 (Projected) | 2028 (Projected) | 2029 (Projected) |
|---|---|---|---|---|---|---|---|---|
| Revenue | $29.3B | $32.7B | $35.9B | $40.5B | $45.2B | $49.9B | $54.5B | $59.1B |
| Revenue Growth % | - | 11.4% | 10.0% | 12.8% | 11.5% | 10.4% | 9.3% | 8.4% |
| EBIT | $18.8B | $21.0B | $23.6B | $16.2B | $18.1B | $19.9B | $21.8B | $23.6B |
| EBIT Margin % | 64.2% | 64.3% | 65.7% | 40.0% | 40.0% | 40.0% | 40.0% | 40.0% |
| Tax Rate % | 17.5% | 17.9% | 17.4% | 19.5% | 20.0% | 20.6% | 21.1% | 21.7% |
| NOPAT | $15.5B | $17.2B | $19.5B | $13.0B | $14.5B | $15.8B | $17.2B | $18.5B |
| NOPAT Margin % | 52.9% | 52.8% | 54.2% | 32.2% | 32.0% | 31.8% | 31.5% | 31.3% |
| Capex | $970.0M | $1.1B | $1.3B | $1.3B | $1.4B | $1.5B | $1.5B | $1.6B |
| Capex / Revenue % | 3.3% | 3.2% | 3.5% | 3.3% | 3.1% | 3.0% | 2.8% | 2.7% |
| Depreciation | $861.0M | $943.0M | $1.0B | $1.2B | $1.3B | $1.4B | $1.6B | $1.7B |
| D&A / Revenue % | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% |
| Change in NWC | $-2.5B | $1.1B | $-2.9B | $-1.5B | $-1.3B | $-1.2B | $-1.0B | $-902.5M |
| NWC Change / Revenue % | -8.6% | 3.3% | -8.1% | -3.7% | -3.0% | -2.4% | -1.9% | -1.5% |
| Unlevered FCF | $17.9B | $16.0B | $22.2B | $14.4B | $15.7B | $17.0B | $18.3B | $19.5B |
| UFCF % Chg. | - | -10.5% | 38.2% | -35.0% | 9.0% | 8.3% | 7.6% | 6.9% |
| FCF / Revenue % | 61.1% | 49.1% | 61.7% | 35.6% | 34.8% | 34.1% | 33.6% | 33.1% |
| Discount Factor | - | - | - | 0.922 | 0.851 | 0.785 | 0.724 | 0.667 |
| Present Value of FCF | - | - | - | $13.3B | $13.4B | $13.3B | $13.2B | $13.0B |
| Sum of PV of UFCF | - | - | - | $13.3B | $26.7B | $40.0B | $53.2B | $66.3B |
WACC Calculation
Weighted Average Cost of Capital used for discounting cash flows.
| WACC Calculation | Value |
|---|---|
| Cost of Debt | 5.5% |
| Tax Rate | 19.5% |
| After Tax Cost of Debt | 4.4% |
| Risk Free Rate | 4.46% |
| Market Risk Premium | 4.3% |
| Beta | 0.94 |
| Cost of Equity | 8.5% |
| Total Debt | $20.8B |
| Market Cap | $709.2B |
| Total Capital | $730.1B |
| Debt Weighting | 2.9% |
| Equity Weighting | 97.1% |
| WACC | 8.4% |
Terminal Value
Choose between perpetuity growth or exit multiple methods.
| Terminal Value Calculation | Value |
|---|---|
| Terminal Growth Rate | 2.5% |
| Final Year FCF | $19.5B |
| Terminal Value | $338.2B |
| PV of Terminal Value | $225.7B |
| Cumulative PV of UFCF | $66.3B |
| Net Debt | $8.9B |
| Equity Value | $283.1B |
| Shares Outstanding | 2029.0M |
| Implied Share Price | $140 |
| Current Share Price | $366 |
| Implied Upside/(Downside) | -61.9% |
Valuation Summary
$139.53
Implied Price
$365.74
Current Price
-61.9%
Upside/Downside
8.4%
WACC
V Dividend Discount Model
V dividend discount model based on historical dividend payments and projected dividend growth rates
DDM Method Selection
Model Assumptions
Historical 5Y CAGR: 16.1%
Cost of equity (risk-free rate + equity risk premium)
Valuation Result
$0.00
Intrinsic Value
$365.74
Current Price
-100.0%
Upside/Downside
Medium Confidence
Dividend History & Growth Analysis
| Period | Dividend per Share | YoY Growth | Growth Rate | Period Type |
|---|---|---|---|---|
2025Q2 2024 - Q2 2025 | $2.29Current | $0.28 | +13.9% | TTM |
2024Q2 2023 - Q2 2024 | $2.01 | $0.28 | +16.5% | TTM Historical |
2023Q2 2022 - Q2 2023 | $1.73 | $0.28 | +19.4% | TTM Historical |
2022Q2 2021 - Q2 2022 | $1.45 | $0.19 | +14.7% | TTM Historical |
2021Q2 2020 - Q2 2021 | $1.26 | — | — | TTM Historical |
TTM Analysis
Average Growth Rate: +16.1%
TTM Methodology
This analysis uses Trailing Twelve Months (TTM) windows for consistent 12-month comparisons. Each period represents dividends paid over a rolling 12-month window ending on the same calendar date, eliminating partial fiscal year distortions and providing accurate growth rate calculations.
Calculation Breakdown
Formula:
Error in calculation
Substitution:
Required return must be greater than growth rate for Gordon Growth Model
Result:
$0.00
V Peer Valuation Analysis
Relative valuation based on comparable company trading multiples
Peer Valuation Analysis
Fair Value Range Analysis
Based on median multiples from 10 peer companies in Financial Services
P/E Ratio
$253.51
-30.7%
Peer Median: 28.1x
EV/EBITDA
$204.10
-44.2%
Peer Median: 15.3x
P/S Ratio
$89.78
-75.5%
Peer Median: 4.6x
Interpretation: Each multiple provides a different perspective on fair value. Consider which multiple is most relevant for V's business model and current situation.
Multiple Comparison
| Multiple | V Current | Peer Median | Peer Average | Premium/Discount | Assessment |
|---|---|---|---|---|---|
| P/E Ratio | 40.5x | 28.1x | 28.3x | 44.3% | Overvalued |
| EV/EBITDA | 27.8x | 15.3x | 17.2x | 81.4% | Overvalued |
| P/S Ratio | 18.9x | 4.6x | 6.7x | 307.4% | Overvalued |
Peer Companies
Click any company to view their valuation
| Company | Market Cap | P/E Ratio | EV/EBITDA | P/S Ratio |
|---|---|---|---|---|
| $709.23B | 40.5x | 27.8x | 18.9x | |
| $523.99B | 40.4x | 30.7x | 18.0x | |
| $89.53B | 28.1x | 12.6x | 4.3x | |
| $69.28B | 15.7x | 10.3x | 2.2x | |
| $42.05B | 51.5x | 15.3x | 4.1x | |
| $39.03B | 15.4x | 20.2x | 1.6x | |
| $24.16B | 159.4x | 139.4x | 4.6x | |
| $23.01B | 23.0x | 13.7x | 5.7x | |
| $18.48B | 12.0x | 7.2x | 1.8x | |
| $17.67B | 0.0x | 76.5x | 5.9x |
V Graham Number
Benjamin Graham's conservative valuation formula for defensive investors
Input Data
| EPS (TTM) | $9.03 | Latest 10-K |
| Book Value per Share | $19.29 | Latest 10-K Balance Sheet |
| Graham Constant | 22.5 | Benjamin Graham's formula |
Graham Number Result
$62.59
Intrinsic Value
$365.74
Current Price
-82.9%
Upside/Downside
Confidence: High
Conservative value investing approach
Calculation Breakdown
Formula:
√(22.5 × EPS × BVPS)
Step 1: Multiply constant by EPS
22.5 × 9.03 = 203.10
Step 2: Multiply by Book Value per Share
203.10 × 19.29 = 3917.63
Step 3: Take square root
√3917.63 = 62.59
Graham Number Result:
$62.59
V Graham Intrinsic Value
Growth-adjusted intrinsic value with two formula variants
Formula Selection
V = EPS × (8.5 + 2g)
Graham's original P/E shortcut for growth, no interest-rate adjustment
V = [EPS × (8.5 + 2g) × 4.4] / Y
Graham's 1974 refinement: adds rate-environment sensitivity
Active Formula: Base-Growth
9.03 × (8.5 + 2 × 20.0%)
Input Data & Growth Assumptions
Current EPS (TTM)$9.03
Latest 10-K • 2024-09-30T00:00:00
Historical 3Y20.0%
Financial statements
Historical 5Y12.9%
Financial statements
Custom
%
Enter a positive growth rate estimate (0-50%)
Graham Intrinsic Value Result
$438.64
Intrinsic Value
$365.74
Current Price
+19.9%
Upside/Downside
Base Formula
Growth: 20.0%
V Peter Lynch Fair Value
Growth-based valuation using PEG ratio analysis for growth stocks
Fair Value Calculation
EPS (TTM)$9.03
Latest 10-K • 2024-09-30T00:00:00
Historical 3Y20.0%
3-year earnings growth
Historical 5Y12.9%
5-year earnings growth
20.0%
1%50%
Fair Value Formula: EPS × Growth Rate
$9.03 × 20.0% = $180.96
$180.96
Fair Value
$365.74
Current Price
-50.5%
Upside/Downside
PEG Analysis
40.5x
Current P/E
20.0%
Growth Rate
2.02
PEG Ratio (P/E ÷ Growth Rate)
Significantly Overvalued
PEG Ratio Interpretation:
• PEG < 1.0: Undervalued (growth exceeds P/E)
• PEG = 1.0: Fairly valued (ideal Lynch ratio)
• PEG > 1.5: Overvalued (paying premium for growth)
Peter Lynch's Rule:
"The P/E ratio of any company that's fairly priced will equal its growth rate." A stock with 15% growth should trade at a P/E of 15 (PEG = 1.0).
V Earnings Power Value (EPV)
Normalized earnings-based valuation for sustainable earning power assessment
Earnings Normalization
| Earnings Component | Amount ($B) | Description |
|---|---|---|
| Reported Earnings | 19.7 | Base earnings from financial statements |
| Normalized Earnings | 19.7 | Final normalized earning power |
One-time Items: Remove non-recurring gains/losses
Cyclical Adjustment: Normalize for economic cycle position
EPV Result
$107.32
EPV per Share
$365.74
Current Price
-70.7%
Upside/Downside
9.1%
WACC: 9.1% (calculated from market data)
Confidence: High
Normalized earnings approach
EPV Calculation Breakdown
Enterprise Value Calculation
| Normalized Earnings | $19.7B |
| Cost of Capital | 9.1% |
| Enterprise Value | $217.8B |
Per Share Value
| Enterprise Value | $217.8B |
| Shares Outstanding | 2.0B |
| EPV per Share | $107.32 |
WACC Components
| Cost of Equity | 9.2% |
| After-Tax Cost of Debt | 3.5% |
| Equity Weight | 97.3% |
| Debt Weight | 2.7% |
| WACC | 9.1% |