Quick Takeaways:
- William Blair analysts see stablecoins driving Visa’s next growth phase, especially in cross-border B2B payments.
- Visa CEO confirms support for four stablecoins across four blockchains, with card spend quadrupling year-over-year.
- Analysts project a “slingshot recovery” in Visa’s stock after a year of underperformance.
Visa Poised for a Turnaround Amid Stablecoin Momentum
Visa’s muted stock performance in 2025 could soon reverse, according to analysts at William Blair. The investment bank sees stablecoins as a powerful new growth catalyst for the global payments leader.
During Tuesday’s earnings call, Visa CEO Ryan McInerney confirmed plans to support four stablecoins on four blockchains, converting them to more than 25 fiat currencies. He added that stablecoin-linked card spend has quadrupled from last year, with over $140 billion in crypto and stablecoin flows processed since 2020.
Analysts See Cross-Border Payments as the Real Opportunity
William Blair analysts Andrew Jeffrey and Cristopher Kennedy said Visa’s stablecoin integration positions it for renewed growth as blockchain adoption expands.
While domestic stablecoin payments remain limited, they noted the real opportunity lies in cross-border commerce. Stablecoins could cut transaction costs, speed up settlements, and reduce errors for B2B payments.
“Stablecoins can reshape cross-border B2B commerce,” the analysts wrote. “They bring faster settlement and higher efficiency compared to traditional banking.”
Cross-Border Payments: A $20 Trillion Market Target
Currently, cross-border transactions represent less than 15% of Visa’s total volume. However, analysts believe Visa could capture a growing share as traditional banking systems fragment.
They expect regulatory clarity and improved infrastructure to shift the percentage of the $20 trillion B2B market toward blockchain-based payments.
In September, Visa began a pilot for cross-border stablecoin transfers, establishing the sector faster and chintzy global payment option.
From Laggard to Leader: A ‘Slingshot Recovery’ Ahead
William Blair called Visa’s slow performance “unsustainable.” The firm projects that Visa’s stablecoin and tokenization initiatives will complement its core payments business and drive a strong rebound.
Visa’s lineage has mounted only 10% year-to-date, equating to the S&P 500’s 17% gain. Analysts reiterated their outperform rating, predicting 15%+ upside over 12 months.
“Stablecoins are not replacing Visa’s network,” the analysts wrote. “They’re expanding it.”
Conclusion: Stablecoins as Visa’s Next Growth Engine
Visa’s deep integration of stablecoins marks a strategic evolution, not disruption. As blockchain rails become mainstream, the company could bridge traditional and digital finance more effectively than its competitors. If William Blair’s projections hold, Visa’s “slingshot recovery” could signal the start of a new growth era powered by stablecoin adoption and cross-border innovation.
