PYPL deepens its push into agentic commerce with Copilot Checkout, linking AI-driven shopping, branded checkout and payments inside Microsoft's Copilot.
Recently, Zacks.com users have been paying close attention to Paypal (PYPL). This makes it worthwhile to examine what the stock has in store.
Shares of PayPal ( NASDAQ:PYPL ) slipped 1.0% on January 9th to close at $57.66, coinciding with extreme negative sentiment on Reddit that has persisted for weeks.
PayPal is working with Microsoft to support the launch of the tech giant's Copilot Checkout. This service allows shoppers to browse and pay without needing to leave Copilot, the companies said in a Thursday (Jan. 8) news release.
We believe that PayPal (PYPL) stock has the potential to be a strong value purchase. It is presently trading at a lower than average valuation, is experiencing growth, albeit modest, and boasts robust margins in conjunction with its low valuation.
Paypal (PYPL) reached $58.51 at the closing of the latest trading day, reflecting a -2.18% change compared to its last close.
PayPal remains a global payments leader, yet stock is ~75% below 2021 highs despite revenue +53% since 2020 and EPS up 120% on growth. Despite branded checkout stagnation and rising competition, PYPL's partnerships and AI-driven initiatives offer significant upside for 2026 and beyond. Venmo's accelerating TPV growth and margin improvements, along with BNPL presentment shifts, are expected to drive transaction volume and profitability.
PayPal announced in a press release Tuesday (Jan 6) the launch of its Transaction Graph Insights & Measurement program, designed to give merchants a “full-funnel” view of consumer spending habits across the internet.
In the closing of the recent trading day, Paypal (PYPL) stood at $58.38, denoting a -1.22% move from the preceding trading day.
PayPal (PYPL) receives a cautious buy rating due to attractive valuation and ongoing efforts to reinvent its ecosystem despite competitive pressures. PYPL's core business faces commoditization and a deteriorating moat, but initiatives like BNPL, Venmo, and value-added services offer growth potential. Current valuation at 11x earnings and a projected 9.8% earnings yield is fair enough, not great, reflecting slower revenue growth and industry headwinds.
Paypal (PYPL) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
We believe PayPal (PYPL) stock may represent a good value buy. It is presently trading below its average valuation, is experiencing growth, albeit modestly, and boasts strong margins alongside its low valuation.