Current EV
Historical EV

Visa Inc., current enterprise value calculation

Current share price (P)	$229.01
No. shares of common stock outstanding	2,049,144,694
US$ in millions
Common equity (market value)¹	469,275)
Add: Series A, Series B and Series C convertible participating preferred stock (preferred stock), $0.0001 par value (per books)	2,324)
Total equity	471,599)
Add: Current maturities of debt (per books)	2,250)
Add: Long-term debt, excluding current maturities (per books)	20,200)
Total equity and debt	494,049)
Less: Cash and cash equivalents	15,689)
Less: Restricted cash equivalents, U.S. litigation escrow	1,449)
Less: Investment securities	2,833)
Less: Customer collateral	2,342)
Enterprise value (EV)	471,736)

Based on: 10-K (reporting date: 2022-09-30).

¹ Common equity (market value) = Share price × No. shares of common stock outstanding
= 229.01 × 2,049,144,694

Visa Inc., EV calculation

	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017
Share price^1, 2	$210.14	$203.33	$207.57	$179.75	$140.18	$109.82
No. shares of common stock outstanding¹	2,061,687,546	2,108,549,451	2,133,541,039	2,155,629,545	2,206,760,802	2,268,806,703
US$ in millions
Common equity (market value)³	433,243)	428,731)	442,859)	387,474)	309,344)	249,160)
Add: Series A, Series B and Series C convertible participating preferred stock (preferred stock), $0.0001 par value (book value)	2,324)	3,080)	5,086)	5,462)	5,470)	5,526)
Total equity	435,567)	431,811)	447,945)	392,936)	314,814)	254,686)
Add: Current maturities of debt (book value)	2,250)	999)	2,999)	—)	—)	1,749)
Add: Long-term debt, excluding current maturities (book value)	20,200)	19,978)	21,071)	16,729)	16,630)	16,618)
Total equity and debt	458,017)	452,788)	472,015)	409,665)	331,444)	273,053)
Less: Cash and cash equivalents	15,689)	16,487)	16,289)	7,838)	8,162)	9,874)
Less: Restricted cash equivalents, U.S. litigation escrow	1,449)	894)	901)	1,205)	1,491)	1,031)
Less: Investment securities	2,833)	2,025)	3,752)	4,236)	3,547)	3,564)
Less: Customer collateral	2,342)	2,260)	1,850)	1,648)	1,324)	1,106)
Enterprise value (EV)	435,704)	431,122)	449,223)	394,738)	316,920)	257,478)

Based on: 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30).

¹ Data adjusted for splits and stock dividends.

² Closing price as at the filing date of Visa Inc. Annual Report.

³ 2022 Calculation
Common equity (market value) = Share price × No. shares of common stock outstanding
= 210.14 × 2,061,687,546

The financial trajectory from 2017 to 2022 is characterized by a period of sustained growth peaking in 2020, followed by a phase of stabilization in the enterprise valuation and equity components.

Enterprise Value (EV) Evolution: Enterprise value demonstrated significant growth over the first four years of the period, increasing from 257,478 million US$ in 2017 to a peak of 449,223 million US$ in 2020. A subsequent contraction is noted in 2021, where the value declined to 431,122 million US$, before reaching a plateau of 435,704 million US$ by September 30, 2022.
Equity Market Value and Book Value Correlation: A strong positive correlation is observed between common equity market value and total equity. Market value rose from 249,160 million US$ in 2017 to 442,859 million US$ in 2020, mirroring the trend seen in total equity, which grew from 254,686 million US$ to 447,945 million US$ in the same timeframe. Both metrics experienced a slight decline in 2021 and remained relatively flat through 2022, indicating a stabilizing valuation relative to book value.
Capital Structure and Debt Impact: Total equity and debt followed the general upward trend of the other valuation metrics, increasing from 273,053 million US$ in 2017 to 472,015 million US$ in 2020. The minimal variance between total equity and the combined total of equity and debt suggests a capital structure with low leverage, where equity remains the primary source of financing.
Analysis of Enterprise Value Composition: The close proximity between the enterprise value and the market value of common equity across the entire six-year period indicates that net debt has a negligible effect on the total enterprise valuation. The enterprise value movements almost exclusively track the fluctuations in market equity, suggesting that the company's total value is driven by equity market perceptions rather than debt obligations or significant cash holdings.

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Visa Inc. (NYSE:V)

Enterprise Value (EV)

Current Enterprise Value (EV)

Historical Enterprise Value (EV)