Visa Inc. (V) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-29.0%

$302.40

vs $426.11 price

Levered DCF

$324.62

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

9.65

Safe zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	28.89×	33.4×	28.23×	27.75×	25.34×	39.56×	40.81×	32.33×
P/B	16.81×	17.49×	14.03×	12.38×	10.66×	12.62×	11.82×	10.86×
P/S	13.22×	16.57×	15.28×	14.69×	12.95×	19.69×	19.59×	16.39×
EV / EBITDA	20.36×	25.8×	21.8×	21.38×	19.77×	27.56×	28.95×	23.98×
Gross margin	80.4%	80.4%	80.4%	79.9%	80.4%	79.4%	79.3%	81.9%
Operating margin	61.2%	60.0%	65.7%	64.3%	64.2%	65.6%	64.5%	65.3%
Net margin	51.2%	50.1%	55.0%	52.9%	51.0%	51.1%	49.7%	52.6%
Current ratio	0.97×	1.08×	1.28×	1.45×	1.45×	1.75×	1.91×	1.56×
Debt / equity	0.61×	0.66×	0.53×	0.53×	0.63×	0.56×	0.68×	0.48×
Interest coverage	37.08×	40.74×	36.81×	32.61×	34.97×	30.81×	27.29×	28.14×
Dividend yield	0.8%	0.7%	0.8%	0.8%	0.8%	0.6%	0.6%	0.6%
Payout ratio	21.7%	23.1%	21.4%	21.7%	21.4%	22.7%	24.5%	18.8%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	65.1%	52.9%	50.4%	44.6%	42.0%	32.8%	30.0%	34.8%
Return on invested capital	35.9%	28.4%	28.6%	25.6%	23.2%	17.8%	16.0%	20.6%
Return on assets	24.9%	20.1%	20.9%	19.1%	17.5%	14.9%	13.4%	16.6%
Free cash flow yield	3.6%	3.3%	3.4%	4.1%	4.7%	3.1%	2.3%	3.2%
Earnings yield	3.9%	3.0%	3.6%	3.6%	3.9%	2.6%	2.5%	3.2%
Enterprise value	$616B	$671B	$557.9B	$483.7B	$386.2B	$479B	$436.3B	$385.5B
Net debt / EBITDA	0.3×	0.31×	0.35×	0.18×	0.35×	0.26×	0.55×	0.55×
Cash conversion cycle (days)	21	41	46	29	28	37	34	59