Visa Stock Forecast: Where Will Visa Be In 10 Years?

Visa Inc (NYSE:V) has been a dominant player in the payment processing industry for decades, and its stock has consistently outperformed the broader market. As we look ahead to the next decade, we explore where Visa stock might be in 10 years, considering the company's strategic initiatives, market trends, and analyst opinions.

Visa's stock has rallied nearly 380% over the past 10 years, while the S&P 500 index rose less than 190%. This impressive performance can be attributed to Visa's consistent growth, wide moat, and resilience during economic downturns. As we consider the next decade, it's essential to examine the factors that could drive Visa's stock price higher or present challenges to its growth.

Growth Drivers and Strategic Initiatives:

1. Expanding Reach and Services:
- Visa has expanded its global reach through strategic partnerships and acquisitions. For instance, its acquisition of Visa Europe in 2016 allowed it to strengthen its position in the European market. Additionally, its partnership with Walmart in 2021 enabled it to offer Walmart Pay, a mobile payment service, to Walmart customers. These moves have helped Visa grow its revenue and customer base, contributing to its stock price growth.
- Visa has also invested in digital payment technologies to stay ahead of market trends. It has developed services like Visa Token Service, Visa Direct, and Visa B2B Connect, which facilitate digital wallet integrations, real-time push payments, and cross-border payments, respectively. These services have enhanced Visa's offerings and helped it maintain its competitive edge.

2. Analyst Projections:
- Analysts expect Visa's revenue and EPS to grow at a CAGR of 10% and 13%, respectively, from fiscal 2024 to fiscal 2027. This growth projection aligns with the secular growth of the card-based payments market, as reported by Allied Market Research. From 2023 to 2032, the global credit card payments market is expected to grow at a CAGR of 8.8%.
- Over the next decade, investors can conservatively expect Visa to grow its EPS at a CAGR of 10% from 2024 to 2035. Assuming Visa achieves this stable growth trajectory and still trades at 28 times forward earnings by the final year, its stock could rally 145% to roughly $784 per share over the next decade. This would be less impressive than its gains from the past 10 years but would still make Visa a solid stock to buy, hold, and forget.

Challenges and Regulatory Pressures:

1. Regulatory Pressures:
- Visa and Mastercard have faced constant pressure to reduce their swipe fees over the past two decades. In March 2024, they agreed to reduce their fees in a preliminary deal with several merchant groups, but a U.S. judge rejected the settlement in June, indicating ongoing pressure to cap their pricing power. This regulatory pressure could potentially throttle Visa's long-term growth potential.
- Additionally, Visa faces competition from fintech companies and other payment processors, such as Affirm, PayPal, Zelle, and the Fed's instant payment system, FedNow. These competitors offer alternative payment methods, such as "buy now, pay later" (BNPL) platforms and direct tethering to bank accounts, which could erode Visa's defenses and gradually lure away some of its businesses and consumers.

Visa Stock Prediction for the Next Decade:

Based on the provided data and analysis, Visa stock is expected to continue its upward trajectory over the next decade, driven by its strategic initiatives, market trends, and analyst projections. However, regulatory pressures and competition from fintech companies and other payment processors could present challenges to Visa's market position and stock performance.

Investors should keep an eye on these headwinds but remain optimistic about Visa's long-term prospects. The company's strong fundamentals, strategic partnerships, and investments in digital payment technologies position it well to maintain its competitive edge and continue to grow its stock price over the next decade.

As of December 2024, Visa stock closed at $318.98. The following table provides a forecast for Visa's stock price over the next decade, based on the provided data and analysis:

| Month | Open | Low-High | Close | Total % |
| --- | --- | --- | --- | --- |
| Dec 2024 | 315 | 292-342 | 317 | 0.6% |
| Jan 2025 | 317 | 290-355 | 315 | 0.0% |
| Feb 2025 | 315 | 314-368 | 341 | 8.3% |
| Mar 2025 | 341 | 328-386 | 357 | 4.7% |
| Apr 2025 | 357 | 330-388 | 359 | 0.6% |
| May 2025 | 359 | 343-403 | 373 | 3.9% |
| Jun 2025 | 373 | 345-405 | 375 | 0.5% |
| Jul 2025 | 375 | 351-413 | 382 | 1.9% |
| Aug 2025 | 382 | 355-417 | 386 | 1.0% |
| Sep 2025 | 386 | 357-419 | 388 | 0.5% |
| Oct 2025 | 388 | 365-429 | 397 | 2.3% |
| Nov 2025 | 397 | 388-456 | 422 | 6.3% |
| Dec 2025 | 422 | 394-462 | 428 | 6.2% |
| Jan 2026 | 428 | 423-497 | 460 | 7.5% |
| Feb 2026 | 460 | 439-515 | 477 | 3.7% |
| Mar 2026 | 477 | 447-525 | 486 | 2.0% |
| Apr 2026 | 486 | 463-543 | 503 | 3.5% |
| May 2026 | 503 | 467-549 | 508 | 1.0% |
| Jun 2026 | 508 | 493-579 | 536 | 5.6% |
| Jul 2026 | 536 | 514-604 | 559 | 4.3% |
| Aug 2026 | 559 | 528-620 | 574 | 2.7% |
| Sep 2026 | 574 | 523-613 | 568 | 1.8% |
| Oct 2026 | 568 | 542-636 | 589 | 3.9% |
| Nov 2026 | 589 | 589-704 | 652 | 11.4% |
| Dec 2026 | 652 | 583-685 | 634 | 3.1% |
| Jan 2027 | 634 | 560-658 | 609 | 5.0% |
| Feb 2027 | 609 | 477-609 | 518 | 18.0% |
| Mar 2027 | 518 | 516-606 | 561 | 8.6% |
| Apr 2027 | 561 | 541-635 | 588 | 4.8% |
| May 2027 | 588 | 544-638 | 591 | 0.5% |
| Jun 2027 | 591 | 566-664 | 615 | 4.0% |
| Jul 2027 | 615 | 552-648 | 600 | 1.6% |
| Aug 2027 | 600 | 563-661 | 612