Is Visa Inc (V) A Good Stock To Buy?

Judging by the fact that Visa Inc (NYSE:V) has faced falling interest from the smart money, we can see that there were a few hedge funds that elected to close their positions last quarter. Interestingly, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital dumped the largest stake of the 700 funds watched by Insider Monkey, valued at about $163.1 million in stock. First Eagle Investment Management, also said goodbye to its stock, about $157.5 million worth. These transactions are interesting, as total hedge fund interest dropped by three funds heading into the fourth quarter.

Let’s now review hedge fund activity in other stocks similar to Visa Inc (NYSE:V). These stocks are Merck & Co., Inc. (NYSE:MRK), The Home Depot, Inc. (NYSE:HD), The Walt Disney Company (NYSE:DIS), and Comcast Corporation (NASDAQ:CMCSA). This group of stocks’ market caps are closest to Visa’s market cap.

As you can see these stocks had an average of 73 funds with bullish positions and the average amount invested in these stocks was $5.03 billion. That figure was $10.26 billion in Visa’s case. Merck & Co., Inc. (NYSE:MRK) is the most popular stock in this table. On the other hand The Walt Disney Company (NYSE:DIS) is the least popular one with only 51 funds holding shares as of the end of September. Compared to these stocks Visa Inc (NYSE:V) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.