- Barclays analyst sess a modest deceleration in Q1 card-present spending and mixed global online volume growth (both on a 2019 CAGR basis).
- Despite the slowdown, it believes that the card spending environment remains healthy, which should be a plus for networks/acquirers/processors.
- Based on Visa Inc (NYSE:V) intra-quarter filings through Feb 2022 and other macro indicators, Barclays saw the overall global C1Q spend environment remains healthy with a cross-border recovery. But macro, geopolitical concerns remain focused given Ukraine, inflation, rates, and regs.
- Barclays had an Overweight rating with a price target of $260 (21.9% upside) on Visa.
- Amid PayPal Holdings Inc's (NASDAQ:PYPL) strategy shift on new user adds, Barclays thinks investors should be prepared for a harsh result on NNAs, perhaps even negative q/q growth.
- This quarter is the toughest prior year comparable and could represent somewhat of a clearing event for the stock.
- Barclays had an Overweight rating with a price target of $200 (90.2% upside) on PayPal.
- Despite a volatile macro backdrop (Ukraine, Inflation, Fuel Prices, Rates, etc.), the leading indicators indicate a generally healthy spending environment in Q1 for Mastercard Inc (NYSE:MA).
- Omicron cases softened early in the quarter, with the Street now waiting to see if a cross-border recovery largely offsets growing macro pressures.
- Barclays had an Overweight rating with a price target of $420 (18.2% upside) on Mastercard.
- Price Action: MA shares traded higher by 1.28% at $359.70 on the last check Thursday.
- Photo by Republica via Pixabay
