Analysts Say You Should Buy These 5 Stocks on the Dip

3. Visa Inc. (NYSE:V)

Number of Hedge Fund Holders: 159 

Decrease in Share Price Over Past Month: 3.22%

Visa Inc. (NYSE:V) is a payments technology firm. On May 3, the company announced that it had extended an agreement with Paysafe to integrate Visa Direct on the platforms of the latter. Under the deal, Paysafe will offer Visa Direct to merchants, exchanges, operators, and other online businesses in the UK and Europe. The agreement allows access to a single point of connection to enable push payments to eligible Visa cards for domestic payouts, as well as to eligible Visa cards and accounts for cross-border payments.

On May 17, Goldman Sachs analyst Will Nance initiated coverage of Visa Inc. (NYSE:V) stock with a Buy rating and a price target of $282, identifying the firm as a “global leader” in the payments industry with an attractive leverage to long-term secular growth. 

At the end of the first quarter of 2022, 159 hedge funds in the database of Insider Monkey held stakes worth $28 billion in Visa Inc. (NYSE:V), compared to 142 in the preceding quarter worth $29 billion. 

In its Q1 2022 investor letter, Baron Funds, an asset management firm, highlighted a few stocks and Visa Inc. (NYSE:V) was one of them. Here is what the fund said:

“Shares of global payment network Visa Inc. (NYSE:V) were up 2.5% on strong quarterly results with 24% revenue growth and 27% EPS growth. Payment volume grew 20% with notable strength in cross-border volumes as travel activity rebounded from depressed levels. Management raised full-year guidance to reflect high-teens revenue growth. Shares also likely benefited from a “flight to safety” during a volatile quarter for equities. We continue to own the stock due to Visa’s long runway for growth underpinned by the continued migration from cash transactions to card/digital and strong competitive advantages, operating in a duopoly with Mastercard.”