Visa Valuation.xlsx

	A	B	I
1
2		Model Introduction
3	1
4	1	Key Inputs
5		Units	($ in millions)
6		Company name	Visa
7		Ticker	V
8		Sector	Financial Services
9		Valuation date	11/30/2023
10		Stub period	83.3%
11		Latest shares of outstanding	1,835,646,353
12		Md-year convention	No
13		Fiscal year end	9/30/2023
14		First fiscal year end	9/30/2024
15		Date of latest 10K filing	9/30/2023
16		Date of latest 10Q filing	-
17
18		WACC Information
19		After tax cost of debt	3.77%
20		Cost of equity	10.11%
21		Weighted average cost of capital	10.12%
22
23		First year multiples
24		EV/EBITDA	12.55 X
25		EV/EBIT	13.12 X
26		EV/Revenue	8.44 X
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28		Other assumptions
29		Effective tax rate of Visa as of the latest filing	17.9%
30		Use growth or margins?	Margins
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32
33		Background and operations of Visa:
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35		Visa (V) is one of the world's leaders in digital and electronic payments. Visa serves as a concierge between consumers,
36		retailers, businesses, banks, and governments across 200 countries and territories. Visa has been servicing and facilitating
37		payments and transactions between consumers and businesses since 1958. The company is focused on extending, enhanc-
38		ing, investing in its proprietary transaction network known as VisaNet; the platform acts as a single global point for facilitat-
39		ing payment transactions to multiple endpoints through various factors.
40		Visa's revenues are divided into five categories: Services revenues, Data processing revenues, International transaction
41		revenues, Other revnues, and Client incentive. Client incentives are paid to financial institutions, clients, merchants, and
42		other business partners to grow payments and volume as well as to increase visa product acceptance and win merchant
43		routing transactions.
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47		Case Manager
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49		Active Case	Weak Case
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51
52		Output:
53		Share price as of the valuation	$ 256.31
54		DCF derived share price	$ 165.98
55		Analysis	Overvalued
56
57		Additional notes:
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