Visa Inc (V) Delayed Shot At eBay Inc (EBAY)

In order to catch up with the current revolutionary e-commerce segment, Visa Inc (NYSE:V) has finally rolled out ‘Visa Checkout,’ an online payment system to compete with eBay Inc (NASDAQ:EBAY)‘s well established arm PayPal. Following this, CNBC’s “Squawk Alley” group tried to evaluate the impact of Visa’s move on eBay Inc.

Visa Inc (NYSE:V)

It is believed that Visa Inc (NYSE:V)’s Visa Checkout is aimed to make things easy for its users and is more streamlined in comparison to PayPal, but many believe that the move is a little too late for the company. As soon as the service debuted this week, Visa Inc (NYSE:V) quickly rushed to partner with Neiman Marcus, Staples, Pizza Hut and United Airlines.

Highlighting the need to process payments faster online, Visa’s CEO Charlie Scharf said in a statement: “As people around the world spend more time and money online, particularly using mobile devices, they are demanding a fast, secure and frictionless way to shop using the payment cards they already know and trust.”

In any case, the service is seen to take a target at eBay Inc (NASDAQ:EBAY)’s Paypal division, which has quite recently seen the departure of its executive David Marcus, who has joined Facebook Inc (NASDAQ:FB). Moreover, Visa’s move could surely add to eBay Inc (NASDAQ:EBAY)’s existing troubles as it is struggling as a parent holder of PayPal. At the same time, the scale of operation of the two companies are substantially different as Visa processes $4.4 trillion in payments, as against $1.8 billion transactions handled by eBay Inc (NASDAQ:EBAY). Therefore, Visa Inc (NYSE:V) could be a potential threat to eBay Inc (NASDAQ:EBAY).

However, the direction of shares is not convincing for Visa Inc (NYSE:V) so far as they were down by more than 2% on Thursday while eBay’s shares ended a little higher. CNBC further reported that the news of David Marcus’ departure appears to be digested by the market as eBay Inc (NASDAQ:EBAY) has significantly recovered 5% over the last one month.


Disclosure: none

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!