STORY: Shares of Visa fell more than 4% Wednesday morning, wiping out all of its 2024 gains, after the company reported quarterly revenue growth that fell short of Wall Street targets.
It was a rare miss for the payments company, underscoring the challenges the industry faces after more than two years of inflation and high borrowing costs prompted many customers to cut back on purchases.
At least nine prominent Wall Street brokerages on Wednesday lowered their price targets on the stock, which was the biggest drag on the Dow.
Meanwhile, other large U.S. companies such as Coca-Cola, PepsiCo and Domino's Pizza also warned of pressures on lower-income households in their latest quarterly results.
And Visa rival American Express missed its quarterly revenue expectations when it reported earnings last week.
Its shares also dropped on Wednesday, along with fellow payment firms Mastercard, PayPal and Block.
