1/5/2010 09:45:55 AM
BOSTON (MarketWatch) -- RBC Capital Markets on Tuesday downgraded shares of Visa Inc. to outperform from top pick after the stock gained 67% in 2009 and outpaced the S&P 500 Index by a wide margin. "Our positive views of the company remain unchanged and we continue to recommend purchase of the shares," RBC said in a note to clients. "We believe 2009 was a year that favored the 'safety trade,' which in Visa's case meant a focus on the non-discretionary spending in the debit market. In 2010, we believe the continued deleveraging by U.S. consumers will support debit transaction growth, but would look for the emerging economies to drive the overall revenue growth." RBC raised its target price on Visa shares to $97 from $89, saying despite the stock's strong run in 2009, it continues to believe "premium companies will receive premium multiples."
Mention in report
- Positive views of company,
- recommend purchase,
- Raised target price from $89 to $97,
BUT downgrade the stock........!
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