5 Best Beginner Stocks to Buy Now

2. Visa Inc. (NYSE:V)

Number of Hedge Fund Holders: 165

Visa Inc. (NYSE:V) is a California-based payments technology company. Visa Inc. (NYSE:V) announced on November 25 that its U.S. payments volume in November increased 9% from a year ago, even after the company exited its operations in Russia in March 2022, and was up 10% in October 2022. Global processed transactions rose 10% year-over-year and were 140% of 2019 levels in November.

On November 28, Baird analyst David Koning said Visa Inc. (NYSE:V) offered updated operating metrics through November 21 which indicated that quarter-to-date trends are higher than his Q1 estimates. He said he likes it a lot given numerous benefits amid macro uncertainty including inflation, soaring rates on big cash balances, recovery in Asia-Pacific, and easy comps on Russia in the second half of 2023. The analyst reiterated an Outperform rating and a $250 price target on Visa Inc. (NYSE:V) shares.

According to Insider Monkey’s data, 165 hedge funds were bullish on Visa Inc. (NYSE:V) at the end of the third quarter of 2022, compared to 166 funds in the prior quarter. Chris Hohn’s TCI Fund Management is the leading stakeholder of the company, with roughly 20 million shares worth $3.5 billion.  

Baron Funds made the following comment about Visa Inc. (NYSE:V) in its Q3 2022 investor letter:

“Shares of global payment network Visa Inc. (NYSE:V) fell despite reporting financial results that beat Street forecasts and sustained volume growth in recent months. Revenue grew 19% and EPS grew 33% in the most recent quarter, and double-digit payment volume growth persisted through August. Share price weakness represented a reversal of outperformance earlier this year and may be due to foreign exchange headwinds and concerns about a potential weakening of consumer spending. We continue to own the stock due to Visa’s long runway for growth and significant competitive advantages.”