Visa Earnings: Growth Slows Modestly

Visa’s fiscal first-quarter results showed growth slowing a bit but remaining solid. We think that as postpandemic tailwinds abate, the company’s growth will move more in line with our long-term expectations, and this quarter supports that view. While growth may moderate near-term, we still see the long-term outlook for Visa as quite bright, given the company's wide moat and ongoing secular tailwinds. We will maintain our $260 fair value estimate and see the shares as fairly valued.