Visa Continues to Bounce Back in Fiscal First Quarter

Visa’s fiscal first-quarter results largely maintained the trends we’ve seen in recent quarters, and were roughly in line with what we saw from peer Mastercard this quarter. We think the relatively quick recovery supports our wide moat rating and a positive view on the long-term secular trend for Visa. While some near-term uncertainty remains given the rise of new variants and the fact that cross-border volumes have yet to completely recover, we think the company should be able to continue to achieve outsize growth in the near term as headwinds abate. We will maintain our $221 fair value estimate.