2 Reasons to Be Bullish on Visa in 2023
Visa (NYSE: V) is one of the few notable S&P 500 companies that saw its stock price increase over the past 12 months. After losing more than a quarter of its value from July 2021 to September 2022, Visa stock has rallied more than 30% since then -- including more than 10% year to date.
Unlike companies in most industries, Visa actually benefited from the elevated inflation levels over the past year. Its simple business model -- when somebody uses a Visa card to execute a payment, the company takes a percentage -- got a boost because higher inflation means larger transactions to benefit from. Those larger transactions helped Visa bring in more than $29.3 billion in revenue in fiscal 2022 (ended Sept. 30). This was a sizable increase from the $24.1 billion and $21.8 billion, respectively, in revenue generated in fiscal 2021 and 2020, respectively.
Aside from its current financial success, Visa is primed to be a great long-term investment. Here are two reasons to be bullish on it in 2023 and beyond.
Source Fool.com
