Visa (V) Earnings Preview: What to Expect as Growth Meets Valuation Pressure

Visa Inc. (NYSE: V) is set to release its fiscal third-quarter earnings report today, after the market closes. Markets are keenly watching to see if the payments giant can maintain its impressive growth trajectory amid persistent valuation concerns.

The company's stock has shown remarkable resilience in 2025, gaining 13%, and outperforming many of its peers.

This positive performance is underpinned by robust financial results in previous quarters and strategic capital allocation decisions, most notably the announcement of a new $30 billion share repurchase program.

However, the elephant in the room remains Visa's valuation.

With a current price-to-earnings (P/E) ratio of 30.66, the stock trades at a significant premium compared to both its industry peers and the broader S&P 500 index. This elevated valuation raises questions about whether the company's growth can justify its current price, making the upcoming earnings release all the more critical.

Analysts are looking for EPS of $2.85 on the quarter, a solid rise from the $2.42 in the same period Y/Y. Revenue is expected to come in at $9.85billion, marking a solid double digit growth rate (+10.64%).

Visa's recent financial performance has been impressive. In the fiscal second quarter of 2025, the company reported a 9% increase in net revenue to $9.6 billion, as growth in payments volume, cross-border volume, and processed transactions added to the top line.

Moreover, the payments industry is undergoing a significant transformation, driven by the rise of e-commerce, mobile payments, and digital currencies. As a market leader, Visa appears well-positioned to capitalize on these trends and further solidify its dominance. The company's investments in new technologies and partnerships are aimed at expanding its reach and enhancing its value proposition to merchants and consumers alike.