Explain this page
Arphra AIPlain-English read on Visa Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Quality composite
A+Top tier
A snapshot of the latest fiscal year’s margins, returns on capital, balance-sheet strength and efficiency, computed from the income statement, balance sheet and cash-flow rows. Source income / balance / cash_flow.
Profitability
Gross margin80.4%
Operating margin60.0%
Net margin50.1%
ROE52.9%
ROA20.1%
ROIC46.3%
Liquidity & leverage
Current ratio1.08×
Quick ratio1.08×
Debt / equity0.66×
Net debt / EBITDA0.19×
Interest coverage41×
Efficiency & per-share
Asset turnover0.40×
Inventory days0
Days sales out.67
FCF / share$10.98
Book value / share$19.28
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | $549.08B | $662.96B | — | — | — | — |
| Enterprise value | — | — | — | $557.94B | $667.98B | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | 15.53 | 16.70 | — | — | — | — |
| EV / FCF | — | — | — | 29.85 | 30.96 | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | +3.60% | +3.03% | — | — | — | — |
| Free cash flow yield | — | — | — | +3.40% | +3.25% | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +79.38% | +80.44% | +79.89% | +80.40% | +80.36% | +78.41% | +79.30% | +81.22% | +80.82% |
| Operating margin | +65.56% | +64.19% | +64.31% | +65.68% | +59.98% | +63.44% | +63.28% | +64.96% | +64.94% |
| EBITDA margin | +72.10% | +66.65% | +69.29% | +71.23% | +65.01% | +68.97% | +68.75% | +66.77% | +68.51% |
| EBIT margin | +68.77% | +63.71% | +66.40% | +68.35% | +61.96% | +63.77% | +66.62% | +64.63% | +65.98% |
| Pre-tax margin | +66.64% | +61.88% | +64.43% | +66.57% | +60.48% | +65.22% | +64.31% | +62.84% | +62.74% |
| Net margin | +51.07% | +51.03% | +52.90% | +54.95% | +50.14% | +53.17% | +51.77% | +52.23% | +52.44% |
| Cost structure | |||||||||
| Cost of revenue / sales | +20.62% | +19.56% | +20.11% | +19.60% | +19.64% | +20.09% | +20.24% | +19.35% | +19.59% |
| R&D intensity | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| SG&A intensity | +10.47% | +10.35% | +9.85% | +10.56% | +10.92% | +10.76% | +10.42% | +10.67% | +10.38% |
| Effective tax rate | +23.36% | +17.53% | +17.89% | +17.45% | +17.10% | +16.77% | +17.48% | +17.22% | +17.78% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +32.75% | +42.04% | +44.60% | +50.45% | +52.91% | +50.52% | +47.78% | +49.36% | +48.09% |
| Return on assets (ROA) | +14.85% | +17.49% | +19.09% | +20.89% | +20.13% | +20.20% | +19.41% | +20.19% | +19.71% |
| Return on capital (ROC) | +26.98% | +32.42% | +35.48% | +39.34% | +38.04% | +37.84% | +36.96% | +38.87% | +38.35% |
| Return on invested capital (ROIC) | +21.02% | +25.77% | +29.18% | +32.92% | +31.80% | +31.71% | +30.24% | +31.25% | +30.97% |
| Asset turnover | +29.08% | +34.28% | +36.08% | +38.01% | +40.15% | +37.99% | +37.49% | +38.66% | +37.58% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +51.07% | +51.03% | +52.90% | +54.95% | +50.14% | +53.17% | +51.77% | +52.23% | +52.44% |
| Asset turnover (× revenue / assets) | +29.08% | +34.28% | +36.08% | +38.01% | +40.15% | +37.99% | +37.49% | +38.66% | +37.58% |
| Equity multiplier (× assets / equity) | +220.53% | +240.30% | +233.65% | +241.49% | +262.81% | +250.10% | +246.17% | +244.46% | +244.06% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.29 | 0.34 | 0.36 | 0.38 | 0.40 | 0.38 | 0.37 | 0.39 | 0.38 |
| Fixed-asset turnover | 8.88 | 9.09 | 9.53 | 9.39 | 9.44 | — | — | — | — |
| Inventory turnover | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 6.47 | 7.42 | 7.30 | 5.12 | 5.47 | — | — | — | — |
| Payables turnover | 18.68 | 16.86 | 17.51 | 14.70 | 14.15 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 56.42 | 49.21 | 50.01 | 71.27 | 66.77 | — | — | — | — |
| Days inventory outstanding (DIO) | — | — | — | — | — | — | — | — | — |
| Days payables outstanding (DPO) | 19.54 | 21.65 | 20.84 | 24.83 | 25.79 | — | — | — | — |
| Cash conversion cycle | 36.88 | 27.57 | 29.17 | 46.44 | 40.98 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 1.24 | 1.26 | 1.20 | 1.01 | 1.15 | 1.09 | 1.11 | 1.12 | 1.14 |
| FCF / Net income | 1.18 | 1.20 | 1.14 | 0.95 | 1.08 | 1.07 | 1.07 | 1.06 | 1.07 |
| FCF margin | +60.24% | +61.00% | +60.32% | +52.03% | +53.94% | +56.97% | +55.38% | +55.29% | +55.96% |
| OCF margin | +63.17% | +64.31% | +63.56% | +55.53% | +57.65% | +57.89% | +57.61% | +58.25% | +59.99% |
| CapEx / Revenue | +2.92% | +3.31% | +3.24% | +3.50% | +3.71% | +3.43% | +3.49% | +3.57% | +3.38% |
| CapEx / D&A | 0.88 | 1.13 | 1.12 | 1.22 | 1.21 | — | — | — | — |
| Stock-based comp / Revenue | +2.25% | +2.05% | +2.34% | +2.37% | +2.24% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 5.63 | 7.00 | 8.28 | 9.73 | 10.20 | 13.15 | 14.91 | 16.85 | 19.35 |
| EPS · basic | 5.63 | 7.01 | 8.29 | 9.74 | 10.22 | 13.15 | 15.12 | 16.69 | 19.47 |
| Book value / share | 17.18 | 16.66 | 18.58 | 19.29 | 19.28 | 24.22 | 27.80 | 29.94 | 34.48 |
| Tangible BV / share | -2.76 | -3.40 | -2.57 | -3.30 | -4.89 | 24.22 | 27.80 | 29.94 | 34.48 |
| Sales / share | 11.02 | 13.72 | 15.66 | 17.71 | 20.35 | 23.02 | 25.66 | 28.30 | 31.62 |
| Operating CF / share | 6.96 | 8.82 | 9.95 | 9.83 | 11.73 | 13.33 | 14.78 | 16.48 | 18.97 |
| Free cash flow / share | 6.64 | 8.37 | 9.45 | 9.21 | 10.98 | 13.11 | 14.21 | 15.65 | 17.70 |
| Dividends / share | 1.28 | 1.50 | 1.80 | 2.08 | 2.36 | 2.69 | 2.94 | 3.23 | 3.64 |
| Payout ratio | +22.73% | +21.41% | +21.72% | +21.36% | +23.10% | +22.02% | +22.17% | +21.84% | +21.98% |
| Retention ratio | +77.27% | +78.59% | +78.28% | +78.64% | +76.90% | +77.98% | +77.83% | +78.16% | +78.02% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | +21.59% | +11.41% | +10.02% | +11.34% | +13.92% | +10.60% | +10.28% | +11.53% | +12.53% |
| Gross profit · YoY | — | +23.21% | +10.64% | +10.73% | +11.29% | +11.15% | +11.86% | +12.95% | +10.98% | +12.78% |
| Profit | ||||||||||
| Operating income · YoY | — | +19.04% | +11.62% | +12.36% | +1.69% | +20.48% | +10.32% | +13.22% | +11.50% | +12.40% |
| EBITDA · YoY | — | +12.40% | +15.81% | +13.11% | +1.61% | +20.86% | +10.24% | +7.11% | +14.44% | +11.82% |
| Net income · YoY | — | +21.49% | +15.48% | +14.30% | +1.60% | +20.79% | +7.68% | +11.26% | +11.98% | +12.90% |
| Operating | ||||||||||
| EBIT · YoY | — | +12.66% | +16.10% | +13.27% | +0.92% | +17.26% | +15.54% | +6.99% | +13.85% | +11.95% |
| R&D · YoY | — | — | — | — | — | — | — | — | — | — |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +24.33% | +18.29% | +17.51% | +4.83% | +28.96% | +13.32% | +13.02% | +14.86% | +16.69% |
| EPS · basic · YoY | — | +24.51% | +18.26% | +17.49% | +4.93% | +28.71% | +14.94% | +10.40% | +16.63% | +16.78% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $20.98B | $22.45B | $20.46B | $20.84B | $25.17B | $28.45B | $31.66B | $34.09B | $37.37B |
| Net debt | $4.49B | $6.76B | $4.18B | $8.86B | $5.02B | $7.68B | $8.65B | $9.49B | $9.75B |
| Net debt / EBITDA | 0.26 | 0.35 | 0.18 | 0.35 | 0.19 | 0.24 | 0.25 | 0.26 | 0.23 |
| Debt / equity | 0.56 | 0.63 | 0.53 | 0.53 | 0.66 | 0.59 | 0.58 | 0.58 | 0.55 |
| Debt / assets | +25.31% | +26.26% | +22.61% | +22.05% | +25.27% | +23.72% | +23.55% | +23.71% | +22.65% |
| Equity / assets | +45.34% | +41.61% | +42.80% | +41.41% | +38.05% | +39.98% | +40.62% | +40.91% | +40.97% |
| Coverage | |||||||||
| EBITDA / interest expense | 33.88 | 36.31 | 35.13 | 39.92 | 44.15 | 38.64 | 39.55 | 39.22 | 38.52 |
| Operating income / interest | 30.81 | 34.97 | 32.61 | 36.81 | 40.74 | 35.54 | 36.40 | 38.15 | 36.51 |
| Interest expense | $513M | $538M | $644M | $641M | $589M | $813.45M | $876.14M | $946.31M | $1.1B |
| Liquidity | |||||||||
| Current ratio | 1.75 | 1.45 | 1.45 | 1.28 | 1.08 | — | — | — | — |
| Quick ratio | 1.41 | 1.08 | 1.07 | 0.84 | 0.84 | — | — | — | — |
| Cash ratio | 1.05 | 0.75 | 0.71 | 0.45 | 0.58 | — | — | — | — |
| Working capital | $11.87B | $9.35B | $10.43B | $7.52B | $2.72B | — | — | — | — |
| Working capital / revenue | +49.23% | +31.91% | +31.95% | +20.92% | +6.79% | — | — | — | — |
Sourced from key_metrics + financial_ratios (loaded by load_fundamentals_extended.py).
Valuation
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| P / E | — | — |
| P / B | — | — |
| EV / EBITDA | — | — |
| EV / Sales | 16.70x | 15.53x |
| Earnings yield | 3.0% | 3.6% |
| FCF yield | 3.3% | 3.4% |
Returns
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Gross margin | — | — |
| Operating margin | — | — |
| Net margin | — | — |
| ROE | 52.9% | 50.4% |
| ROA | 20.1% | 20.9% |
| ROIC | 28.4% | 28.6% |
Leverage & liquidity
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Debt / equity | — | — |
| Net debt / EBITDA | 0.19 | 0.35 |
| Interest coverage | — | — |
| Current ratio | 1.08x | 1.28x |
| Quick ratio | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).