Mizuho Upgrades Visa (V) to “Outperform,” Citing Growth in Shift from Cash to Cards

Visa Inc. (NYSE:V) is one of the 11 best performing Warren Buffett stocks in 2025. On June 5, Mizuho upgraded the company’s stock to “Outperform” from “Neutral.” The firm also raised its price target for Visa to $425 from $359.

Mizuho Upgrades Visa (V) to “Outperform,” Citing Growth in Shift from Cash to Cards

siam sompunya

Mizuho argued that the shift from cash to cards in the US still has substantial room for growth. The firm stated that this shift can potentially support another decade of domestic volume expansion for Visa. According to their analysis, Mizuho estimates the actual US card penetration is around 75%, which is lower than the widely assumed 80-90%. The analysts concluded that this lower estimate suggests more significant room for Visa to expand its transaction volumes domestically.

Mizuho noted that Visa’s growth had lagged behind US personal consumption expenditures (PCE) post-COVID, raising concerns about card usage peaking. However, Mizuho attributes the lag to a temporary shift in spending towards less card-dependent categories like fuel and utilities. They believe this trend is now reversing.

Visa Inc. (NYSE:V) is a global payments technology company. It operates one of the world’s largest electronic payment networks. This network connects consumers, merchants, financial institutions, and governments in over 200 countries and territories. Visa’s core products include credit, debit, prepaid cards, and digital payment solutions.

While we acknowledge the potential of V as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 Most Undervalued Financial Stocks to Buy According to Analysts and 12 Best Cryptocurrency and Blockchain Stocks to Buy.

Disclosure: None.