Visa Stock Buy

If you're a reader of my blog, you know that I typically invest in companies with dividend yields above 2%. Visa Stock doesn't fit this investment strategy. I do on occasion take chances on riskier investments regardless of yield, or in companies with a fantastic growth opportunity regardless of yield. In this case it's the latter. I bought 25 shares of Visa Stock at a per share price of $79.11. The total invested amount of this purchase is $1,977.75. Visa Stock pays a very low yield of 0.69%. There's not much near-term dividend income with this purchase. But there's growth; Visa has some of the strongest fundamentals of any company in any sector. The future is very bright for Visa.

Visa Stock Buy - Investmenthunting.com

Visa Company Overview

Visa Inc. is a payments technology company. The Company is engaged in operating a processing network, VisaNet, which facilitates authorization, clearing and settlement of payment transactions across the world. The Company provides its services to consumers, businesses, financial institutions and governments in more than 200 countries and territories for electronic payments. The Company offers fraud protection for account holders and rapid payment for merchants. The Company provides a variety of payment solutions that support payment products that issuers can offer to their account holders, such as pay now with debit, pay ahead with prepaid or pay later with credit products. The Company offers a suite of digital, eCommerce and mobile products and services. Source: schwab.com

Visa Stock Dividend History

  • Annual Dividend Yield of 0.69%
  • Annual Dividend Rate (IAD) $0.56
  • Payout Ratio (TTM) of 18.25%
  • Dividend Coverage Ratio (TTM) of 547.95%
  • 3 Year Dividend Growth Rate of 29.7%
  • 5 Year Dividend Growth Rate of 30.9%

The chart below shows above average annual dividend yield increases. However, it not overly impressive considering the stock started at a near 0% yield in 2008. Even if Visa continues to average its 5-year CAGR of 30.9%, the stock is still years away from being above a 2% yield. This is fine with me because I'm not buying Visa Stock for dividends. I'm buying Visa Stock because Visa is the undisputed worldwide leader in credit card transactions.

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Disclosure: Long V.

I am not a certified financial planner.  I am a personal investor and blogger who writes about my personal investing strategies.  Nothing I write should be used by ...

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