Visa Inc. is a stock corporation and, alongside Mastercard, one of the two major payment card companies and employed around 14,200 people in 2016. The VISA brand is a recursive acronym and stands for Visa International Service Association.
P/E ratio for Visa (V)
P/E ratio as of October 2022 (TTM): 27.3
According to Visa's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 27.3328. At the end of 2021 the company had a P/E ratio of 35.8.
P/E ratio history for Visa from 2008 to 2022
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2021 | 35.8 | -20.58% |
| 2020 | 45.1 | 31.53% |
| 2019 | 34.3 | 21.1% |
| 2018 | 28.3 | -24.76% |
| 2017 | 37.6 | 22.03% |
| 2016 | 30.8 | 8.96% |
| 2015 | 28.3 | -3.17% |
| 2014 | 29.2 | 3.59% |
| 2013 | 28.2 | 52.47% |
| 2012 | 18.5 | -8.13% |
| 2011 | 20.1 |
How to read a P/E ratio?
The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.
Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.