April 2, 2009

Long Visa

There is a good article on Seeking Alpha this morning that makes a good case for being long in shares of Visa. In summary, Visa and Mastercard are the only two credit card companies that do not assume any credit risk of their customers; they simply charge a fee for the use of their network.

The author argues that Visa has a larger market share, better immunity from litigation and better prospects for growth.

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