Final Recommendation

After analyzing every aspect of Visa's company from profit, costs, assets, liabilities, to even stock price, it is clear that Visa is a dominating, top preforming company in its industry. As seen on "Profitability Analysis" they generate income and profits more efficiently than their competitors. Along with their current success, Visa will continue to grow in the market and generate income by adapting to the industry changes. With the boom with the FinTech Industry and Visa's priority to enhance contactless payments, their adaptation to the new industry will continue to make them a top competitor in the industry.

The table below is a summary of Visa's stock price using different valuation methods. I chose to average the Free Cash Flow value and the Market Multiples value, therefore concluding Visa's stock price is $175.61. I did not include the ROPI and the Dividend Discount model because their values were too far off the others and the current stock price. In conclusion, I believe that this $175.61 is the true value of Visa.

Figure 1: Visa Final Valuation

Using Factset I was able to see other analysts opinions about Visa's stock price. Majority believe that the stock will gain value in the future and to buy it now. Although I believe that Visa's current stock price is overvalued at $205.97 (5/5/2022), I do believe that Visa's stock price will rise in the future. Given the strength of the company, and the emergence of the Fintech industry, buying Visa's stock now would be a smart decision, yielding high payoff in the future.

Sources:

https://www.google.com/finance/quote/V:NYSE?sa=X&ved=2ahUKEwi50La-jMv3AhU8jIkEHf0eDz0Q3ecFegQIERAi