New York, Feb 3, 2026, 19:35 EST — After-hours
- Visa shares slipped 1.47% during regular trading but barely moved in after-hours.
- Visa announced that Visa Direct will connect with UnionPay International to broaden cross-border payouts into mainland China.
- Daiwa Securities raised Visa to Outperform, maintaining a $370 price target.
Visa shares dipped 1.47% to close at $328.93 on Tuesday, holding steady in after-hours trading. Investors balanced the news of a fresh cross-border money-movement deal in China against a generally weak market backdrop.
The drop is significant as payments stocks rely heavily on stable consumer spending and cross-border transactions, while traders remain quick to back away from any hint of a slowdown. Visa’s newer offerings, particularly real-time payouts, have sparked debate about the growth potential remaining in its core card network.
Visa announced that its Visa Direct platform will integrate with UnionPay International’s MoneyExpress to facilitate cross-border remittances and business-to-consumer payouts into mainland China. The launch is planned for the first half of 2026. “Money hasn’t always kept pace,” Vira Platonova noted, while Larry Wang described remittances as “a key livelihood link.” Visa Investor Relations
The stock drop echoed wider risk concerns toward the session’s end, as tech shares dragged Wall Street down while oil surged amid fresh geopolitical tensions, according to a Reuters markets wrap.
Daiwa lifted Visa to Outperform, setting a $370 price target, citing recent dips as a better long-term risk-reward play despite ongoing regulatory and legal concerns. The firm forecasts medium-term underlying EPS growth around 13% to 14%, driven by Visa Direct and value-added services. Mastercard also received an Outperform rating.
Visa lagged behind Mastercard today, with its trading volume surpassing the recent average. This suggests investors were still adjusting their positions following last week’s earnings report and the newest analyst updates.
Visa posted fiscal first-quarter net revenue of $10.9 billion last week, marking a 15% increase. Adjusted earnings per share came in at $3.17. CEO Ryan McInerney described the results as “a very strong fiscal first quarter.” The company also returned $5.1 billion to shareholders via buybacks and dividends, including a $0.670 quarterly dividend set for March 2 to investors on record as of Feb. 10.
The new China corridor isn’t a straightforward, instant trigger. Cross-border payouts often face hurdles like compliance reviews, banking system issues, and local restrictions. Yet, the market has shown little patience for any hiccups in payment processing.
Traders will be eyeing whether Visa can hold steady near the $330 mark in the next session and if it gains traction as risk appetite improves. Attention will also remain on developments around the Visa Direct story and any signals from peer companies.
The next major macro checkpoint is the U.S. labor data. The U.S. Bureau of Labor Statistics announced that the January jobs report won’t come out on Friday as planned. It will be delayed until government funding is restored — a hiccup that could rattle interest rates and ripple into high-multiple defensive stocks like Visa.
