• Visa has just reported its fiscal third-quarter 2026 results, with net revenue of US$11.63 billion and net income of US$5.63 billion, alongside plans to cut about 2,600 jobs, or roughly 7% of its workforce, mainly in technology and product roles.
• At the same time, Visa is accelerating its push into newer payment technologies, including a Stablecoin Platform and AI-enabled efficiency efforts, while continuing large-scale share repurchases under its multi-year buyback programs.
• Now we’ll examine how Visa’s earnings beat and workforce reduction, aimed at funding AI and stablecoin initiatives, may reshape its investment narrative.

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Visa Investment Narrative Recap

To own Visa, I think you need to believe its global card network and value added services can keep compounding transaction volume even as new payment rails emerge. The latest earnings beat and US$5.63 billion in quarterly net income support that view, while the 7% workforce reduction looks aimed at preserving margins rather than changing the near term catalyst, which still centers on how well Visa converts payment growth into profit without eroding its competitive position. The biggest risk in my mind remains regulatory and pricing pressure on fees across key markets.

The launch of the Visa Stablecoin Platform (VSP) feels especially relevant here because it directly touches one of Visa’s central long term questions: does crypto and stablecoin adoption dilute or extend the value of its network. By offering institutions onchain wallet infrastructure and access to Open USD within a Visa managed environment, the company is trying to keep cross border and digital asset flows within its orbit, which connects closely to the current catalyst around expanding higher margin services while card based volumes remain strong.

Yet while the core business looks robust, investors should be aware that regulatory and merchant pressure on interchange and incentives could...

Visa’s narrative projects $58.8 billion revenue and $31.8 billion earnings by 2029.

Uncover how Visa's forecasts yield a $398.83 fair value, a 9% upside to its current price.

Exploring Other Perspectives

Thirty Simply Wall St Community members currently see Visa’s fair value anywhere between US$300 and US$463.49, highlighting very different expectations around its long term potential. Against that spread, the earnings beat and aggressive reinvestment into areas like stablecoins and AI underline how much the company’s future performance may hinge on execution beyond traditional card fees.

Explore 30 other fair value estimates on Visa - why the stock might be worth 18% less than the current price!

Reach Your Own Conclusion

Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

• A great starting point for your Visa research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Visa research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Visa's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.