Markets
GPN

Visa (V) Partners With Billtrust to Expand in B2B Payments

Visa Inc.V and Billtrust have entered into a strategic partnership to automate B2B payments. The deal will work on improving payment mechanism in the B2B space which is presently riddled with complex and time-consuming process, high levels of bureaucracy and manual reporting, which makes its payment system outdated.

The process involves increased automation of virtual card payments for financial institutions and their corporate customers. These cards provide a unique 16-digit virtual account number for each payment continues, which offers a secure and safe way of making transactions, thereby reducing chances of cyber theft.

However, a pitfall for this increased automation is increased manual data entry and reconciliation challenges for accounts receivable departments. In order to tackle this issue, Visa and Billtrust are partnering to integrate Visa's Straight Through Processing capabilities with Billtrust's Virtual Card Capture solution. This amalgamation of two processes will simplify receipt and reconciliation of B2B payments and bring automation to the accounts receivable function.

Both companies are aiming for frictionless payments for B2B. The business payments sector is expected to have the best profit potential.

Visa perceives this huge growth potential and is making concerted efforts in this direction. Recently, it partnered with Viewpost to expand the availability of virtual credit cards, allowing businesses to make payments with a secure single-use account number rather, which provides relief about risks associated with a physical card.

Year to date shares of Visa have returned 38%, surpassing the industry 's growth of 32%

Additionally, Visa has made a strategic investment in Billtrust, with an intention to speed up the latter's growth strategy.

Some other stocks from the space with the same Zacks Rank as Visa are Global Payments Inc. GPN , MasterCard Inc. MA and Total System Services, Inc. TSS . You can see the complete list of today's Zacks #1 Rank stocks here .

Total System Services provides global commerce solutions. The company facilitates payment exchange between buyers and sellers. It beat earnings estimates in three of the last four quarters, with an average positive earnings surprise of 3.5%.

MasterCard beat earnings estimates in each of the last four quarters, with an average positive earnings surprise of 6.2%.

Global Payments earnings beat estimates last quarter by 8% and grew 24% year over year.

The Hottest Tech Mega-Trend of All

Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.

See Zacks' 3 Best Stocks to Play This Trend >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Mastercard Incorporated (MA): Free Stock Analysis Report

Visa Inc. (V): Free Stock Analysis Report

Total System Services, Inc. (TSS): Free Stock Analysis Report

Global Payments Inc. (GPN): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

GPN V MA

Other Topics

Stocks

Latest Markets Videos

Zacks

Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.

Learn More