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Visa is setting up for a perfect buying opportunity

Visa is setting up for a perfect buying opportunity

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Visa is setting up for a perfect buying opportunity

Visa is setting up for a perfect buying opportunity
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An unlikely name is doing well

An unlikely name is doing well Up next

An unlikely name is doing well

Visa has Barron’s seal of approval.

The credit card company topped Barron’s annual 500 list over the weekend, which honors companies based on their performance. Visa moved up the ranks from eighth place in 2013 after seeing strong revenue growth and cash-flow returns.

Ecolab, MasterCard, AmerisourceBergen and Qualcomm are among the other top contenders

(Read: The Barron's 500)

Yet despite the love fest, shares of Visa are down 7 percent this year, so is it as good a buy as Barron’s thinks?

“Visa is one of these stocks that got caught in the general downdraft of the market selling growth names,” said Jason Kupfenberg, managing director of equity research at Jefferies of the company’s recent selloff.

But despite a rocky quarter, Kupfenberg thinks when you separate the short-term from the long-term picture, Visa is a strong company.

“If you look at the stock in a longer term context, they are still very powerful and positive secular growth drivers,” he noted. “Visa is a very strong buy here.”

(Read: US sanctions may be inflicting limited pain on Russia)

Chief Market Technician at FBN Securities, JC O’Hara said the recent pullback is the perfect buying opportunity.

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Shares of Visa are down 7% this year, but is the recent pullback a buying opportunity?

“What I like about this pullback is that is has been orderly. It stopped right around level of $200 dollars per share, a key level on my chart,” O’Hara pointed out. “There are many catalysts to push this name higher. It has a good uptrend. I’d like to be a buyer right here.”

Should you give Visa some credit? Check out the video and make the call.

Disclosures:

Jefferies has a “buy” rating on Visa (V)

Jefferies has a price target on Visa (V) of $268 per share

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