UPDATE: Oppenheimer Raising Its Price Target On Visa

Oppenheimer & Co. is out with a research report on Visa V and is raising its price target to $110 from $100, and it is reiterating its Outperform rating. In a note to clients, Oppenheimer & Co. writes, "We reiterate our Outperform ratings on Visa and MasterCard, moderately raise our estimates and raise our price targets to $110 (from $100) for Visa and $345 (from $315) for MasterCard. The PT revisions largely reflect removal of the "Durbin overhang" (Fed's final ruling/interpretation of Durbin was significantly less onerous than its preliminary interpretation) and increased clarity regarding the network's intermediate-term growth potential. We believe investor focus is returning to fundamentals, which we believe remained healthy during the June quarter. Additionally, Visa recently provided a very respectable FY12 growth outlook (in consideration of debit interchange rules), and we anticipate MA will affirm its three-year EPS growth objectives with its upcoming earnings release. We remain confident V/MA and issuers will successfully adapt to the new regulations. Accordingly, we anticipate further multiple expansion, and view shares of both as highly attractive." Shares of V closed at $88.64 yesterday.