Visa (V) — This credit card company has the largest network of retail electronic payments in the world. Credit Suisse analysts have an “outperform” rating on the stock.
It is also a favorite of InvestorPlace Editor Jeff Reeves who wrote for MarketWatch about owning alternative financial stocks as opposed to traditional banks. He said: “So what better way to tap into this cashless craze than with a company like Visa, who takes a tiny fee for each transaction? More transactions mean more profits — which is why Visa’s stock is up 35% in 2013, and up about 220% from its 2008 IPO.”
Technically speaking, shares broke to a record closing high on Friday and followed through with a small gain on Monday and another new closing high, clearing resistance at the October peak. This breakout follows a long series of bullish patterns dating back to its bottom in July 2011. At that time it established a support line, which has never given way in four years.
Buy Visa for a trade to $220 or as a long-term position in the financial services group.
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Serge has worked for InvestorPlace for years now, and has filled in for me on the rare occasion I take a few days off. Every time I return, I see plenty of reader compliments about Serge’s work.
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– Sam Collins, InvestorPlace Chief Technical Analyst