Fly News Breaks for February 24, 2020
PYPL, SQ, V, INTU
Feb 24, 2020 | 07:08 EDT
KeyBanc analyst Josh Beck notes that the Wall Street Journal reported that Intuit (INTU) is nearing a deal to buy Credit Karma for $7B, which he believes illustrates the rising importance of FinApps, a theme that he thinks was also underscored by Visa's (V) $5B purchase of Plaid, as well as Square (SQ)/Cash and PayPal (PYPL)/Venmo initiatives. Strategic rationale behind a Intuit/Turbotax and Credit Karma combination could offer significant data advantages, customer scale, and engagement benefits, while potentially providing a launching pad for future innovative financial services, he adds. Beck acknowledges that he is not familiar with current Credit Karma financials, but provided that it is a well-known brand that we believe could drive organic customer acquisition and sizeable ARPU potential, the profitability could be higher than typical private technology companies.
News For INTU;V;SQ;PYPL From the Last 2 Days
Apr 20, 2021 | 07:24 EDT
Morgan Stanley analyst James Faucette raised the firm's price target on Visa to $258 from $253 and keeps an Overweight rating on the shares. Given incoming issuer data and macro data that point to accelerating spend trends, Faucette is "incrementally positive" on the card networks going into their earnings reports, he tells investors in a research note. Economic conditions exiting March appear strong, setting the networks up well for a strong rebound in Q2 and beyond, contends Faucette.