On a recent episode of the All-In Podcast, co-host David Sacks discussed two issues facing tech investors: why companies should be cautious about inviting government regulation and how to interpret the reported Stripe and Advent joint takeover offer for PayPal at a price of roughly $60 per share.
Paypal (PYPL) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
Five years ago PayPal was a Wall Street favorite and a leader in digital payments. Since then the stock has plunged, Apple Pay dominates payment services in the U.S. and PayPal is facing a takeover bid it does not like.
Enrique Lores had an ambitious turnaround plan for the payments company. Now, one of its rivals has lobbed a buyout offer.
PayPal (PYPL 0.24%) might be up for sale.
PayPal's board believes the $53 billion takeover offer from Stripe and Advent International offered on July 15 undervalues the company. According to a report from Reuters, the development could potentially open negotiations over price, deal structure and regulatory risk.
In the closing of the recent trading day, Paypal (PYPL) stood at $56.73, denoting a +2.18% move from the preceding trading day.
PYPL faces a $53B+ takeover bid from Stripe and Advent as slowing profitability raises the stakes for a potential deal.
Private equity is moving to scoop up a beaten-down payments company before the market reprices it higher. Stripe and Advent International launched a joint $53 billion acquisition proposal for PayPal Holdings Inc. NASDAQ: PYPL.
Paypal (PYPL) saw its shares surge in the last session with trading volume being higher than average. The latest trend in FFO estimate revisions may not translate into further price increase in the near term.
Stripe and PayPal have spent years expanding across digital commerce from opposite directions. Stripe built its business by selling payments infrastructure to merchants.
PayPal Holdings PYPL shares are trading cheaply, as suggested by the Value Score of A. In terms of forward 12-month price-to-earnings (P/E), PayPal is currently trading at 8.53X, lower than the Zacks Financial Transaction Services industry average of 17.02X.