Visa (NYSE: V) Stocks slightly outperformed a weak market last month, declining 11% from a drop of S&P 500, according to data provided by S&P Global Market Intelligence.
The move has helped keep the financial services giant just ahead of wider markets so far in 2020, with a loss of 19% to date.
Visa was caught up in the general market turmoil after COVID-19 forced the temporary slowdown in economic activity around the world last month. With major spending categories like restaurants, travel, and retail nearly halted, the credit card giant likely experienced a significant drop in business last month. Still, Wall Street’s main concern is that this temporary dip is turning into a recession that hurts the business for more than a single quarter.
Visa said in early March that it has had only a minor impact on its operations to date, but before conditions worsened in the middle of the month. As a result, investors may have to wait until the company’s second quarter results are released – likely in late April – to hear details about how the coronavirus affects spending trends, and when this crisis may give way to recovery. Sales.