Visa & Mastercard "An alternative look at the net revenue growth algorit..."

Research evidence excerpt

Visa & Mastercard "An alternative look at the net revenue growth algorit..."

Global Research

22 May 2026ab

Visa & Mastercard Equities

AmericasAn alternative look at the net revenue growth

algorithm; Adding DCF analysis to determine Diversified Technology Services

what's priced in Timothy E. Chiodo,AnalystCFA

timothy.chiodo@ubs.com

+1-415-352 4500

Introducing a net revenue growth algorithm and DCFs to our models: As an Chris Zhang, CFA

Analystaddendum to our original "Visa & Mastercard Growth Algorithm" note, we take a

chris.zhang@ubs.com

different spin on how we approach the net revenue growth algorithm, focused on 5

+1-212-713 4911

different elements of the business, including the domestic portions of Consumer,

Commercial, and Visa Direct, as well as Cross-Border and Value-Added Services revenue Pat Ennis, CFA

Associate Analyst(more on this below). In addition to our segment level build up to net revenue growth,

patrick.ennis@ubs.com

we have also added a DCF to both our Visa & Mastercard models. The impetus here was +1-212-882 0090

to sensitize for several investor concerns surrounding the stocks today (whether merited

or not) and allow investors to input their own assumptions to see what the share price Kyle Crews

Analystimplies in slower revenue growth impacted scenarios (we provide more detail below). All

kyle.crews@ubs.com

Excel available by request and within our Visa & Mastercard model. +1-212-882-0088

Jing Zhang

Net revenue growth algorithm by segment: Historically, we have built up to our net Associate Analyst

revenue growth algorithm by starting with a volume growth bridge (PCE + Cash to Card jing.zhang1@ubs.com

Conversion + New Flows) in tandem with annual yield change dynamics (positive such as +1-212-882 0091