Visa Inc. operates as a payment technology company in the United States and internationally. The company operates VisaNet, a transaction processing network that enables authorization, clearing, and settlement of payment transactions. It also offers credit, debit, and prepaid card products; tap to pay, tokenization, and click to pay services; Visa Direct, a solution that facilitates the delivery of funds to eligible cards, deposit accounts, and digital wallets; Visa B2B Connect, a multilateral business-to-business cross-border payments network; Visa Cross-Border Solution, a cross-border consumer payments solution; and Visa DPS that provides a range of value-added services, including fraud mitigation, dispute management, data analytics, campaign management, a suite of digital solutions, and contact center services. The company also provides acceptance solutions, which include Cybersource that provides modular and value-added services for connecting merchants to payment processing; risk and identity solutions, such as Visa Advanced Authorization, Visa Secure, Visa Risk and Decision Manager, Visa Consumer Authentication Service, and payment-decisioning solutions for fraud prevention; and Visa Consulting and Analytics, a payment consulting advisory services. It provides its services under the Visa, Visa Electron, Interlink, V PAY, and PLUS brand names. The company serves merchants, financial institutions, and government entities. Visa Inc. was founded in 1958 and is headquartered in San Francisco, California.

Visa Inc.

In addition to handling millions of transactions every day, Visa Inc.’s V business also depends significantly on building solid, long-term partnerships with banks, merchants and fintech companies all around the world. The company’s ability to handle renewals and structure incentives is essential to maintain its growth.
Renewals play a crucial role in maintaining long-term brand visibility by securing contracts with issuers and financial institutions, which helps keep Visa cards in the hands of consumers. Similarly, incentives serve as a powerful growth engine, inspiring banks, retailers and fintech companies to further integrate with V’s network. The company offers specific incentives to merchants, acquirers, e-commerce platforms and payment processors to boost card acceptance and encourage routing preference.
Additionally, V is actively involved in co-branding card partnerships with merchants, providing incentives that drive adoption and enhance long-term collaboration. These arrangements fuel both market penetration and transaction growth and help drive net revenue growth. In the third quarter of fiscal 2025, the company reported 14% year-over-year growth in net revenues.
In the third quarter of fiscal 2025, Visa renewed its key partnerships, including its multi-country agreement with Absa in Africa and secured consumer credit deals with HDFC Bank and Axis Bank in India. It also renewed its agreement with ShopeePay.
However, increasing incentive costs can squeeze margins, especially as competition from digital wallets and real-time payment systems intensifies. If executed well, this dual strategy could strengthen its position, even as the payments landscape continues to change.
How Are Competitors Faring?
Some of V’s competitors in the payments space include Mastercard Incorporated MA and Affirm Holdings, Inc. AFRM.
In Argentina, Mastercard has renewed its consumer prepaid agreement with Mercado Libre, an e-commerce and fintech platform. They are also teaming up to launch new credit card programs in the market. Mastercard also expanded its partnership with Sicoob, one of Brazil’s largest credit unions, across credit, debit and commercial.
Affirm extended its exclusive multi-year partnership with Boot Barn. This renewed agreement allows shoppers to continue accessing Affirm’s flexible pay-over-time options both online and in-store. It also renewed its deal with DICK’S Sporting Goods.
Visa’s Price Performance, Valuation & Estimates
Shares of Visa have jumped 8.3% in the year-to-date period compared with the 2.9% rise of the industry.
Image Source: Zacks Investment Research
From a valuation standpoint, V trades at a forward price-to-earnings ratio of 26.83, above the industry average of 21.74. V carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Visa’s fiscal 2025 earnings implies a 13.7% jump from the year-ago period.
Image Source: Zacks Investment Research
Visa stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Can Visa Sustain Global Partnerships Through Renewals & Incentives?

Mastercard Incorporated MA recently solidified ties with a worldwide leader in identity-focused security solutions, Entrust, as a result of which Mastercard Identity insights, driven by Ekata, will be integrated into the Entrust Identity Verification Security Platform. It will provide affordable, risk-based verification by automating processes with real-time fraud scores.
Organizations benefit from smarter and earlier fraud prevention, with machine learning models analyzing key details such as name, phone number, address and email to identify inconsistencies and suspicious behavior. This enables companies to block fraudulent attempts before they advance.
Low-risk customers enjoy faster onboarding, as Entrust adapts verification requirements to each user’s risk profile. During the onboarding process, users provide their basic information, which Entrust securely handles before connecting with Mastercard Identity’s network to produce a fraud risk score. Unlike traditional solutions that rely solely on authoritative records, Mastercard Identity employs a layered approach that combines trusted data sources, historical usage patterns and machine learning to provide deeper insights.
Using these insights, Entrust Identity Verification directs individuals through the most suitable onboarding path. Applicants with low-risk scores move forward with little resistance, while those identified as higher risk are required to complete extra verification steps.
The recent initiative seems to be a time-opportune one since identity fraud is on the rise and fraud tactics have become more sophisticated. Increased usage of Mastercard fraud detection solutions is expected to fetch greater revenues from the increased utilization of its value-added services and solutions suite. Its net revenues improved 17% year over year in the second quarter of 2025.
How are Competitors Faring?
Some of Mastercard’s competitors with enhanced fraud detection tools are American Express Company AXP and Visa Inc. V.
American Express offers fraud detection solutions that leverage AI, machine learning, predictive analytics and behavioral analysis to monitor transactions in real time. These tools work with its global detection platforms and merchant partnerships to identify and prevent suspicious or fraudulent activity. Total revenues, net of interest expense, rose 9% year over year in the second quarter of 2025.
Visa uses AI-driven fraud detection tools like Visa Advanced Authorization, which scores transactions in real time, and Visa Risk Manager, enabling issuers to set tailored controls. It also provides Visa Consumer Authentication Service to verify customers securely. Net revenues advanced 14% year over year in the third quarter of fiscal 2025.
Mastercard’s Price Performance, Valuation & Estimates
Shares of Mastercard have gained 20.2% in the past year compared with the industry’s 14.6% growth.
Image Source: Zacks Investment Research
From a valuation standpoint, MA trades at a forward price-to-earnings ratio of 32.3, above the industry average of 21.74.
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The Zacks Consensus Estimate for Mastercard’s 2025 earnings implies a 11.7% rise from the year-ago period. The consensus mark for revenues indicates 15.1% year-over-year growth.
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MA currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Mastercard and Entrust Expand Ties to Strengthen Identity Verification

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the The Financial Select Sector SPDR Fund (Symbol: XLF) where we have detected an approximate $663.4 million dollar inflow -- that's a 1.2% increase week over week in outstanding units (from 1,002,045,427 to 1,014,545,427). Among the largest underlying components of XLF, in trading today Berkshire Hathaway Inc New (Symbol: BRK.B) is down about 0.6%, JPMorgan Chase & Co (Symbol: JPM) is trading flat, and Visa Inc (Symbol: V) is up by about 0.1%. For a complete list of holdings, visit the XLF Holdings page » The chart below shows the one year price performance of XLF, versus its 200 day moving average:
Looking at the chart above, XLF's low point in its 52 week range is $42.21 per share, with $54.25 as the 52 week high point — that compares with a last trade of $52.86. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
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Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

XLF, BRK.B, JPM, V: ETF Inflow Alert

Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in Tempus AI Inc (Symbol: TEM), where a total volume of 52,300 contracts has been traded thus far today, a contract volume which is representative of approximately 5.2 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 42.3% of TEM's average daily trading volume over the past month, of 12.4 million shares. Especially high volume was seen for the $90 strike call option expiring September 19, 2025, with 12,866 contracts trading so far today, representing approximately 1.3 million underlying shares of TEM. Below is a chart showing TEM's trailing twelve month trading history, with the $90 strike highlighted in orange:
Chewy Inc (Symbol: CHWY) saw options trading volume of 24,824 contracts, representing approximately 2.5 million underlying shares or approximately 41.1% of CHWY's average daily trading volume over the past month, of 6.0 million shares. Especially high volume was seen for the $42.50 strike call option expiring September 05, 2025, with 5,053 contracts trading so far today, representing approximately 505,300 underlying shares of CHWY. Below is a chart showing CHWY's trailing twelve month trading history, with the $42.50 strike highlighted in orange:
And Visa Inc (Symbol: V) saw options trading volume of 22,522 contracts, representing approximately 2.3 million underlying shares or approximately 41% of V's average daily trading volume over the past month, of 5.5 million shares. Especially high volume was seen for the $370 strike call option expiring March 20, 2026, with 750 contracts trading so far today, representing approximately 75,000 underlying shares of V. Below is a chart showing V's trailing twelve month trading history, with the $370 strike highlighted in orange:
For the various different available expirations for TEM options, CHWY options, or V options, visit StockOptionsChannel.com.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Notable Friday Option Activity: TEM, CHWY, V

Mastercard Incorporated MA is expanding its presence in the global digital payments space with the global launch of GCash’s new ‘Tap to Pay’ services, in partnership with Alipay+ and Philippine fintech leader GCash. This initiative allows GCash users to make contactless payments at over 150 million Mastercard acceptance locations around the world with their Near Field Communications-enabled Android devices.
In today’s world, digital wallets are increasingly shaping the future of consumer payments. With more people using smartphones, financial inclusion is on the rise. MA’s involvement adds an extra layer of trust, security and global acceptance, which is an important factor as mobile payments expand beyond just local markets.
For MA, this collaboration boosts its position as a key player in the world of digital commerce. By teaming up with e-wallets like GCash, the company broadens its transaction network while meeting the rising demand for seamless payment solutions in emerging markets.
This partnership is a timely move as cross-border travel rebounds and digital adoption accelerates. Mastercard is poised to witness a boost in transaction volumes, especially across retail, travel and hospitality sectors. In the second quarter of 2025, the company’s cross-border volume rose 15% year over year on a local currency basis, along with 13% year-over-year growth in payment network net revenues. Additionally, it reported 17% year-over-year growth in its net revenues in the same period.
How Are Competitors Faring?
Some of MA’s competitors in the digital wallet space include Visa Inc. V and PayPal Holdings, Inc. PYPL.
Visa has been aggressive in its digital evolution, particularly through its Visa Token Service. It is partnering with tech giants and focusing on contactless and in-app payments. Visa’s cross-border volume rose 12% year over year in the third quarter of fiscal 2025.
PayPal operates its own digital wallet, with features like PayPal Checkout, Venmo and even crypto trading within the app. PayPal directly connects with users instead of operating behind the scenes. Its total payment volume rose 6% year over year in the second quarter of 2025.
Mastercard’s Price Performance, Valuation & Estimates
In the year-to-date period, MA’s shares have gained 12.6% compared with the industry’s rise of 4.4%.
Image Source: Zacks Investment Research
From a valuation standpoint, MA trades at a forward price-to-earnings ratio of 32.73, above the industry average of 22.11. MA carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Mastercard’s 2025 earnings implies 11.7% growth from the year-ago period.
Image Source: Zacks Investment Research
Mastercard currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Mastercard Strengthens Digital Push With GCash 'Tap to Pay' Launch

Mastercard Incorporated MA recently teamed up with the fintech company, Zain Cash, which offers a secure and user-friendly platform for individuals and enterprises to manage financial transactions, including money transfers, digital payments, bill settlements and mobile wallet top-ups.
Through this latest partnership, MA will support the fintech in unveiling value-added services and advanced platforms and rolling out fast, hassle-free and secure payment solutions throughout the Kingdom. Therefore, the ulterior motive of the alliance remains to accelerate the adoption of digital payments and enhance the fintech firm’s card offerings across Jordan.
The focus will be on expanding Zain Cash’s Mastercard-powered portfolio, which includes prepaid and credit cards, along with specialized solutions for small and medium-sized enterprises (SMEs). Mastercard will also support Zain Cash in launching its Innovation Hub in Jordan — a collaborative space dedicated to co-developing next-generation payment technologies and services.
Mastercard seems to be prudent in strengthening ties with Zain Cash since it has emerged as a major player in Jordan’s prepaid market and currently holds the distinction of being MA’s leading cross-border issuer in the country.
The recent initiative is expected to scale the reach of Zain Cash’s Mastercard-branded card portfolio throughout Jordan. Increased adoption of the card is likely to contribute to a rise in net revenues for the tech giant, which earns fees based on the total gross dollar volume processed through its card payment network. Notably, Mastercard reported a 17% year-over-year increase in total net revenues for the second quarter of 2025.
How are Competitors Faring?
Some of Mastercard’s competitors with an extensive card network are American Express Company AXP and Visa Inc. V.
American Express operates a distinctive, vertically-integrated card payment network, meaning it acts as both the card issuer and the network operator. It directly issues many of its own cards while also partnering with financial institutions globally. Total revenues net of interest expense rose 9% year over year in the second quarter of 2025.
Visa operates a global card payment network through its advanced transaction processing system, known as VisaNet, which facilitates secure and efficient money movement among consumers, merchants, financial institutions and governments across more than 200 countries and territories. Net revenues advanced 14% year over year in the third quarter of fiscal 2025.
Mastercard’s Price Performance, Valuation & Estimates
Shares of Mastercard have gained 22.3% in the past year compared with the industry’s 17% growth.
Image Source: Zacks Investment Research
From a valuation standpoint, MA trades at a forward price-to-earnings ratio of 32.67, above the industry average of 22.11.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Mastercard’s 2025 earnings implies a 11.7% rise from the year-ago period. The consensus mark for revenues indicates 15.1% year-over-year growth.
Image Source: Zacks Investment Research
MA currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Mastercard Ties Up To Advance Zain Cash's Card Suite in Jordan

For Visa Inc. V, whose “cash cow” interchange revenues hinge on card-based transactions, the surge of stablecoins represents both a looming threat and a potential growth lever. The payments landscape is evolving rapidly, and stablecoins now sit at the heart of that disruption. With regulators clarifying rules and merchants increasingly open to blockchain-based payments, these tokens have moved well beyond the experimental stage. Their promise of instant settlement and lower transaction costs poses a challenge to traditional payment rails.
Yet, Visa is hardly on the defensive. It has rolled out multiple initiatives with fintech partners to support payouts, cross-border transfers and crypto-to-fiat on-ramps using stablecoins. Building on its early USDC settlement, Visa has expanded its capabilities to cover three more major stablecoins, including PayPal Holdings, Inc.’s PYPL PayPal USD (PYUSD), USDG and EURC, across four blockchains: Ethereum, Solana, Stellar and Avalanche. This multi-chain, multi-currency infrastructure is designed to ensure Visa remains integral to money movement, no matter the form it takes.
While stablecoin-native networks market themselves as faster and cheaper, Visa’s entrenched advantages are hard to match. Decades of experience in fraud prevention, compliance and global interoperability give Visa an edge that crypto networks are yet to replicate. Stablecoins may threaten pricing models, but duplicating Visa’s trust, regulatory standing, and merchant reach is far more challenging than offering lower fees, at least in the near-term.
Competitors are also moving quickly. Mastercard Incorporated MA has tested stablecoin transactions and joined Paxos’ Global Dollar Network, adding support for USDG, USDC, PYUSD and FIUSD. It is also working with wallets such as MetaMask, OKX and Crypto.com while enabling card-based spending through its Multi Token Network and Mastercard Move settlement rails, reaching more than 150 million merchants. PayPal, meanwhile, has gone further by launching PYUSD, its proprietary stablecoin designed for payments and remittances.
As such, stablecoins are less an existential rival and more a new layer of the payments stack. For Visa, the challenge lies in capturing the upside of stablecoins without eroding its highly profitable card-based business. Ultimately, stablecoins may not be strictly a friend or foe but a complex “frenemy” as Visa navigates the digital payments’ next phase.
Visa’s Price Performance, Valuation and Estimates
Shares of Visa have gained 11.3% year to date, outperforming the broader industry and the S&P 500 Index.
Visa YTD Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, Visa trades at a forward price-to-earnings ratio of 27.64X, up from the industry average of 22.28. Visa carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Visa’s fiscal 2025 earnings implies a 13.7% rise year over year, followed by 12.4% growth next year.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Visa's Future in the Stablecoin Era: Friend, Foe, or Frenemy?

For Immediate Release
Chicago, IL – August 29, 2025 – Today, Zacks Equity Research discusses Visa Inc. V, Mastercard Inc. MA, Fiserv, Inc. FI, PayPal Holdings, Inc. PYPL and WEX Inc. WEX.
Industry: Financial Services
Link: https://www.zacks.com/commentary/2743975/5-financial-transaction-stocks-in-focus-amid-strong-cross-border-volumes
The Financial Transaction Services industry is likely to benefit from payment innovations like cryptocurrencies, biometric verification, QR code payments and Buy Now, Pay Later (BNPL) solutions. Cross-border payment platforms are gaining importance amid rising global trade, travel and remittances, helping businesses manage international transactions efficiently.
Strong consumer spending, supported by e-commerce growth and smartphone use, continues to fuel transaction volumes, though inflation and tariffs could dampen momentum. To expand scale and build integrated ecosystems, companies are pursuing mergers and acquisitions (M&A) and tech investments, with potential Fed rate cuts in 2025 expected to lower financing costs and further accelerate strategic expansion. Companies like Visa Inc., Mastercard Inc., Fiserv, Inc., PayPal Holdings, Inc. and WEX Inc. are well-positioned to benefit from the industry's promising growth prospects.
About the Industry
The Zacks Financial Transaction Services industry is part of the Financial Technology or the FinTech space, including companies with diverse natures of businesses. The industry comprises card and payment processing and other solutions providers, ATM services and money remittance service providers, as well as providers of investment solutions to financial advisors.
The players in this segment operate their unique and proprietary global payments network that links issuers and acquirers around the globe to facilitate the switching of transactions, permitting account holders to use their products at millions of acceptance locations. Monetary transactions are done through these networks, offering a convenient, quick and secure payment method in several currencies across the globe. The industry is benefiting from the ongoing digitization movement triggered by the pandemic.
4 Key Trends That Shape the Fate of Financial Transaction Services Space
Digital Payment Innovation: The rapid global adoption of contactless payment methods is steadily making traditional cash and check transactions less relevant. To keep pace, leading players in the financial transaction services sector are rolling out cutting-edge solutions, including cryptocurrencies, biometric verification, QR code payments and BNPL offerings.
These innovations not only expand market penetration but also create new revenue streams while enhancing user convenience. To remain competitive, companies are channeling significant resources into advanced technologies. However, this digital surge also heightens vulnerability to cyber risks such as financial fraud and data breaches, making the establishment of secure infrastructures and strong fraud prevention systems a critical strategic imperative.
Unlocking Growth in Cross-Border Payments: The financial transaction services industry is positioned to benefit from the steady rise in global trade, increasing international travel and stronger demand for remittance solutions. Companies offering advanced cross-border platforms are particularly advantaged, as these systems enable seamless international transactions and efficient currency management.
Such capabilities are essential for businesses handling payments from overseas clients and making timely disbursements to international suppliers. Additionally, the continued expansion of the global workforce is fueling the need for scalable remittance frameworks.
Consumer Spending as a Growth Catalyst: Resilient consumer spending has bolstered financial transaction service providers, driving transaction growth and boosting revenues. The ongoing expansion of e-commerce, supported by broader Internet penetration and widespread smartphone use, will likely sustain strong consumer spending in the days ahead.
Per J.P. Morgan Research's Economics team, overall consumer spending is expected to grow 2.3% on a year-over-year basis in 2025. Nonetheless, persistent inflationary pressures and tariff measures introduced under the Trump administration may weigh on consumer purchasing power, potentially constraining spending activity in the future.
M&A Driving Strategic Expansion: To build fully integrated digital financial ecosystems, companies in this space are increasingly pursuing M&As alongside heavy investments in technology. Such strategies help broaden service offerings, diversify markets, strengthen customer bases and expand global reach. With the Federal Reserve signaling potential rate cuts in 2025, borrowing costs are expected to decline further. This will likely encourage firms to pursue financing for M&A activity, enabling growth opportunities while conserving liquidity.
Zacks Industry Rank Instills Optimism
The group's Zacks Industry Rank, which is the average of the Zacks Rank of all member stocks, indicates bright near-term prospects. The Zacks Financial Transaction Services industry is housed within the broader Zacks Business Services sector. It currently carries a Zacks Industry Rank #57, which places it in the top 23% of 245 Zacks industries.
Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one. The industry's positioning in the top 50% of the Zacks-ranked industries is a result of a positive earnings outlook for the constituent companies in aggregate.
Before we present a few stocks that you may want to buy or retain in your portfolio, let's take a look at the industry's recent stock-market performance and valuation picture.
Industry Outperforms Sector, S&P 500
The Zacks Financial Transaction Services industry outperformed its sector and the Zacks S&P 500 composite in the past year.
In the said time frame, the industry has grown 20.8% compared with the Business Services sector's gain of 9.3%. The S&P 500 has rallied 16.6% in the same time frame.
Industry's Current Valuation
On the basis of the forward 12-month Price/Earnings ratio, commonly used for valuing financial transaction services stocks, the industry is currently trading at 22.24X compared with the S&P 500's 22.84X and the sector's 21.95X.
In the past five years, the industry traded as high as 37.08X, as low as 18.87X and at the median of 23.01X.
5 Stocks to Keep a Close Eye On
We are presenting five stocks from the Financial Transaction Services industry that currently carry a Zacks Rank #2 (Buy) or Zacks Rank #3 (Hold). Considering the current industry scenario, it might be prudent for investors to buy or retain these stocks in their portfolio as these are well-placed to generate growth in the long term.
PayPal: Based in California, PayPal differentiates itself through secure, simple and affordable digital payment solutions, backed by strong risk management and tokenization to prevent fraud. This Zacks Rank #2 company's two-sided platform connects merchants and consumers, enhancing engagement, offering data insights and fostering trusted relationships. Strategic partnerships with Visa, Mastercard, major banks and tech giants like Google, Facebook, and Alibaba have expanded its global reach and strengthened its offerings.
The Zacks Consensus Estimate for PayPal's 2025 earnings is pegged at $5.22 per share, indicating an improvement of 12.3% from the year-ago figure. PYPL's earnings beat estimates in each of the last four quarters, the average surprise being 9.94%.
WEX: Headquartered in Portland, ME, WEX is being aided by an extensive fuel network and service providers, improved transaction volumes, product excellence, marketing prowess, sales force productivity and other strategic revenue generation efforts. This Zacks Rank #2 company's revenue stability is underpinned by its high-quality products and services, along with long-term strategic relationships, multi-year contracts and high contract renewal rates. Acquisitions are a key growth catalyst for WEX.
The Zacks Consensus Estimate for WEX's 2025 earnings is pegged at $15.63 per share, indicating a 2.3% rise from the year-ago figure. WEX's earnings beat estimates in three of the last four quarters and missed the mark once, the average surprise being 2.39%.
Visa: Visa, headquartered in San Francisco, is a prominent global leader in digital payments. This Zacks Rank #3 company continues to broaden its presence through strategic partnerships, renewals of existing agreements and selective acquisitions. Strong performance across Latin America, Canada and the United States has been a key driver of its overall growth. In the third quarter of fiscal 2025, cross-border volumes rose 12% year over year.
The Zacks Consensus Estimate for Visa's fiscal 2025 earnings is pegged at $11.43 per share, indicating an 13.7% rise from the year-ago figure. V's earnings beat estimates in each of the last four quarters, the average surprise being 3.90%.
Mastercard: Based in Purchase, NY, the company continues to strengthen its position in the global payments ecosystem through partnerships with financial institutions and significant strategic investments. Its cross-border payments platform, Mastercard Move, facilitates secure and seamless international money transfers across more than 200 countries and supports more than 150 currencies. This Zacks Rank #3 company has further reinforced its operational capabilities through notable acquisitions.
The Zacks Consensus Estimate for Mastercard's 2025 earnings is pegged at $16.31 per share, indicating an 11.7% rise from the year-ago figure. MA's earnings beat estimates in each of the last four quarters, the average surprise being 3.76%.
Fiserv: Headquartered in Wisconsin, Fiserv provides a comprehensive portfolio of solutions spanning payment processing, core banking platforms and digital banking services. Its business model is anchored in steady recurring revenues and robust incremental margins, supported by its large-scale processing infrastructure. This Zacks Rank #3 company emphasizes delivering strong performance by expanding its client base, strengthening existing partnerships and offering value-driven innovations.
The Zacks Consensus Estimate for Fiserv's 2025 earnings is pegged at $10.21 per share, indicating a 16% rise from the year-ago figure. FI's earnings beat estimates in each of the last four quarters, the average surprise being 2.20%.
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Zacks Names #1 Semiconductor Stock
This under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Zacks Industry Outlook Highlights Visa, Mastercard, Fiserv, PayPal Holdings and WEX

PayPal Holdings PYPL has seen its stock tumble 17.9% year to date, weighed down by macroeconomic uncertainty and heightened competition in the digital payments space. Concerns over fraud in Europe, softening retail activity in the United States and tariff-related pressures in Asia have added to near-term volatility.
Rivals Visa V and Mastercard MA are steadily broadening their services, challenging PayPal’s dominance in digital payments. Visa stock has gained 10.7%, while Mastercard has advanced 12.1% year to date.
Investors are now questioning whether PayPal’s struggles represent a deeper problem or an opportunity to buy into a long-term recovery story. Let’s delve deeper into this.
Image Source: Zacks Investment Research
PYPL’s Strategic Transformation: Building the Next-Gen Ecosystem
PayPal is no longer just a payments company; it is steadily evolving into a broader commerce platform. The company recently unveiled “PayPal World,” a cloud-native, API-based initiative connecting PayPal, Venmo, Mercado Pago, Tenpay Global and NPCI’s UPI. This network could unlock interoperability across nearly 2 billion global wallet users. For merchants, it offers seamless access to billions of new customers, while consumers gain universal wallet acceptance across borders.
The company is also investing in AI-driven “agentic commerce” experiences in partnership with Anthropic and Salesforce, along with expanding crypto integration through its PYUSD stablecoin and “Pay with Crypto” option. These innovations extend PayPal’s relevance well beyond traditional payments, potentially positioning it as a foundational player in next-generation digital commerce.
PayPal’s Venmo and Branded Payments Drive Growth
Venmo continues to accelerate with revenues jumping more than 20% in Q2, while total payment volume (TPV) grew 12%, accelerating quarter over quarter to the highest growth rate in three years. Venmo debit card monthly active accounts surged 40%, and “Pay with Venmo” TPV soared more than 45%. This shift underscores how Venmo is evolving from a peer-to-peer tool into a mainstream commerce platform. Strategic partnerships, including with Big 12 and Big Ten athletic conferences, are embedding Venmo further into everyday spending.
Branded checkout remains another core driver. New checkout integrations are ramping up, and more than 60% of U.S. branded volume is now on PayPal’s upgraded experience. International rollouts in Germany and the U.K. are underway, promising further prospects. Together, Venmo and branded checkout represent PayPal’s strongest growth pillars, reinforcing its competitive positioning in both digital and in-store payments.
PayPal Shares Trading Cheap
However, with the decline, PayPal shares are trading cheap, as suggested by the Value Score of A. In terms of forward 12-month P/E, PYPL stock is trading at 12.53X compared with the Zacks Financial Transaction Services industry’s 22.19X.
The stock is also cheaper than competitors, including Visa and Mastercard. Shares of Visa and Mastercard are currently trading at P/E of 27.51X and 32.66X, respectively.
Image Source: Zacks Investment Research
PYPL’s Estimate Revisions Exhibit Positive Trend
PayPal’s estimate revisions reflect a positive trend for full-year 2025 and 2026. The Zacks Consensus Estimate for 2025 earnings is pegged at $5.22 per share, suggesting 12.3% growth over 2024. The consensus mark for 2026 earnings stands at $5.77 per share, calling for a 10.5% increase year over year.
Image Source: Zacks Investment Research
PayPal: Opportunity in the Dip
Strategically, PayPal is focusing on four growth pillars: winning checkout, scaling omni and Venmo, driving payment services profitability, and investing in next-gen vectors like AI, ads and stablecoins. Venmo’s integration into mainstream commerce, PayPal World’s global expansion, and innovations in crypto and AI create optionality for revenue diversification in 2026 and beyond.
PayPal’s scale remains unmatched. With more than $443 billion in quarterly TPV, its global reach and merchant network offer resilience even when growth moderates. This combination of profitability, innovation and scale strengthens the long-term investment case.
While short-term risks are real, they do not derail PayPal’s multi-year recovery story. With a fortress balance sheet and multiple innovation levers in play, PayPal offers investors a compelling opportunity. The current weakness appears overdone relative to fundamentals. For long-term investors, PYPL looks more like a buy-the-dip opportunity than a time to exit.
PayPal currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks Names #1 Semiconductor Stock
This under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.
See This Stock Now for Free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

PYPL Stock Down 17.9% YTD: Is It a Buying Opportunity or Time to Exit?

Just because a business is profitable and has an excellent brand doesn't always mean that it's a good investment. In this video, Tyler Crowe explains why he wouldn't put money into Nike's (NYSE: NKE) turnaround while Matt Frankel discusses why, although Visa (NYSE: V) is a tremendous business, you won't find the stock in his portfolio.
*Stock prices used were the morning prices of Aug. 21, 2025. The video was published on Aug. 22, 2025.
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Matt Frankel has no position in any of the stocks mentioned. Tyler Crowe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nike and Visa. The Motley Fool has a disclosure policy. Matthew Frankel is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Visa Inc.

Price history and volume

Shares 360

Investment risk — high

Investment potential — medium

Security parameters