PayPal Holdings remains a "Strong Buy" despite recent underperformance, with improving profitability, growing revenue, and bullish operational metrics. Active accounts and payment volumes are rising, while management's focus on profitable PSP transactions is driving healthier business fundamentals. PayPal trades at a significant discount to peers, with attractive valuation multiples and robust profitability supporting aggressive share buybacks.
Investors looking for stocks in the Financial Transaction Services sector might want to consider either Paypal (PYPL) or MasterCard (MA). But which of these two companies is the best option for those looking for undervalued stocks?
I believe PayPal is deeply undervalued, offering a 14-15% IRR based on discounted cash flow analysis and improving fundamentals. Norbert Lou's high-conviction investment in PYPL aligns with my value approach, reinforcing my confidence to build a substantial position. The company's focus on cost efficiencies, margin improvement, and disciplined buybacks enhances shareholder value and long-term free cash flow.
One way to earn strong returns over the long run is to invest in stocks that are leaders or pioneers (or both) in industries experiencing significant growth due to technological progress or other developments. That description applies to PayPal (PYPL -0.35%) and Fiverr (FVRR 1.54%) pretty well.
PayPal Holdings, Inc. (NASDAQ:PYPL ) Jefferies 2025 Global FinTech Conference September 4, 2025 10:00 AM EDT Company Participants Jamie Miller - Executive VP and Chief Financial & Operating Officer Conference Call Participants Trevor Williams - Jefferies LLC, Research Division Presentation Trevor Williams Senior Analyst Okay. We're going to get into it.
PYPL users to get early access to Perplexity's new AI browser, plus a free year of Perplexity Pro via its new subscriptions hub.
PayPal and Venmo users in the U.S. and some global markets will receive early access to Perplexity's new AI-powered Comet browser through a 12-month trial of the startup's Pro subscription, the digital payments company said on Wednesday.
Several banks in Germany have halted PayPal transactions following a technical issue, according to a report.
PayPal's stock has come under pressure, reflecting deteriorating fundamentals including margin contraction and flat EPS guidance for 3Q FY2025. In 2Q FY2025, TPV growth remained weak, with branded checkout rising only 5% on a constant currency basis due to Asia tariffs, while PSP growth stayed muted. Management guided 3Q FY2025 revenue growth to the lower end of mid-single digits, or approximately 4%, indicating a continued slowdown.
PayPal is positioned for strong growth with its PYUSD stablecoin and the PayPal World global wallet platform as major catalysts. The company is leveraging its vast user base and partnerships to expand PYUSD's adoption, aiming to capture a larger share of the potential for a multi-trillion-dollar stablecoin market. PayPal is delivering solid financial results, with 5% revenue growth, 18% EPS growth, and aggressive share buybacks enhancing shareholder value.
Fed Chair Powell's dovish stance signals a likely September rate cut, providing a relief rally for PayPal Holdings, Inc. investors. PayPal faces near-term headwinds from competition and economic uncertainty, but management's margin-focused strategy and strong platform fundamentals support medium-term recovery. Emerging threats from stablecoins and evolving digital payments create long-term uncertainty, yet PayPal's free cash flow and buybacks remain robust.
PYPL's BNPL gains momentum with 20% payment volume growth, global scale, and strong merchant adoption amid rising competition and credit risks.