SRCE vs V

For growth investors, Visa Inc.

(V) is the stronger pick with 11. 3% revenue growth year-over-year, versus 5. 2% for 1st Source Corporation (SRCE). 1st Source Corporation (SRCE) offers the better valuation at 11. 4x trailing P/E (10. 9x forward), making it the more compelling value choice. Analysts rate Visa Inc. (V) a "Buy" — based on 61 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, 1st Source Corporation (SRCE) is the cheapest at 11.

4x versus Visa Inc. at 31. 3x. On forward P/E, 1st Source Corporation is actually cheaper at 10. 9x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: 1st Source Corporation wins at 0. 71x versus Visa Inc. 's 1. 54x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, 1st Source Corporation (SRCE) delivered a total return of +66.

5%, compared to +42. 0% for Visa Inc. (V). Over 10 years, the gap is even starker: V returned +328. 6% versus SRCE's +155. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Visa Inc.

(V) is the lower-risk stock at 0. 68β versus 1st Source Corporation's 0. 74β — meaning SRCE is approximately 9% more volatile than V relative to the S&P 500. On balance sheet safety, 1st Source Corporation (SRCE) carries a lower debt/equity ratio of 26% versus 66% for Visa Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Visa Inc.

(V) is pulling ahead at 11. 3% versus 5. 2% for 1st Source Corporation (SRCE). On earnings-per-share growth, the picture is similar: 1st Source Corporation grew EPS 20. 5% year-over-year, compared to 4. 8% for Visa Inc.. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Visa Inc.

(V) is the more profitable company, earning 50. 1% net margin versus 26. 4% for 1st Source Corporation — meaning it keeps 50. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: V leads at 60. 0% versus 34. 2% for SRCE. At the gross margin level — before operating expenses — V leads at 80. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, 1st Source Corporation (SRCE) is the more undervalued stock at a PEG of 0. 71x versus Visa Inc. 's 1. 54x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, 1st Source Corporation (SRCE) trades at 10. 9x forward P/E versus 24. 4x for Visa Inc. — 13. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for V: 13. 7% to $362. 45.

All stocks in this comparison pay dividends.

1st Source Corporation (SRCE) offers the highest yield at 2. 1%, versus 0. 7% for Visa Inc. (V).

For long-horizon retirement investors, Visa Inc.

(V) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 68), 0. 7% yield, +328. 6% 10Y return). Both have compounded well over 10 years (V: +328. 6%, SRCE: +155. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: SRCE is a small-cap deep-value stock; V is a large-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.