IPO history was made today with Visa's (V) record $17.9 billion offering. At $60 per share (where the stock opened in the secondary market), Visa's market cap is $58 billion. Below we highlight a chart of Visa's market cap versus MasterCard's (MA) market cap. As shown, Visa's is currently more than double that of MasterCard! In the first quarter of 2008, Visa had revenues of $1.49 billion. MasterCard hasn't released Q1 '08 revenue numbers yet, but current estimates are for $1.06 billion.
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Lots of confusion as to the real market cap of Visa. Why are companies like Reuters disagreeing with the market cap you guys are proposing? I realize you are using the shares outstanding from the SEC S-1, but why isn't everyone using those numbers?
Posted by: Mike | March 19, 2008 at 04:33 PM
Mike,
Good questions. They are probably just multiplying the price by the number of class A shares that are outstanding. Or using the IPO price of $44 and not the price that it is trading at on the secondary market.
Posted by: Justin | March 19, 2008 at 04:40 PM
I have been doing some research and I feel that Mastercard has prospered from the usage of international travelers Can VISA Hope to dominate the international markets?
Posted by: Jameel McCleary | April 21, 2008 at 02:59 PM
Blogs are so informative where we get lots of information on any topic. Nice job keep it up!!
Posted by: Dissertation Abstract | October 21, 2009 at 08:15 AM