PYPL - PayPal Holdings, Inc.
| Previous Close | 101.42 |
| Open | 101.04 |
| Bid | 0.00 x 1300 |
| Ask | 0.00 x 4000 |
| Day's Range | 100.66 - 103.04 |
| 52 Week Range | 75.47 - 121.48 |
| Volume | 5,391,050 |
| Avg. Volume | 6,694,960 |
| Market Cap | 120.554B |
| Beta (3Y Monthly) | 0.96 |
| PE Ratio (TTM) | 48.20 |
| EPS (TTM) | 2.13 |
| Earnings Date | Jan 28, 2020 - Feb 3, 2020 |
| Forward Dividend & Yield | N/A (N/A) |
| Ex-Dividend Date | N/A |
| 1y Target Est | 125.38 |
- Bloomberg
Tencent Should Be Split Up
(Bloomberg Opinion) -- China’s most ubiquitous company is hiding one of its most valuable assets. That needs to change.Tencent Holdings Ltd., best known for the WeChat messenger that almost everyone in the country uses, has a growing fintech business. But it’s getting overshadowed by the games and social media divisions. By spinning it off into a new company, with a move to a separate listing, management could unlock as much as $230 billion in value. That would make the entity China’s fourth-largest listed company and the world’s sixth-biggest financial services firm.Such a move could help Tencent retake some of the limelight that it’s about to share with Alibaba Group Holding Ltd. once that company lists in Hong Kong. Alibaba’s fintech unit, Ant Financial Services Group, already functions as a separate business with the e-commerce giant holding a 33% stake. At Tencent, fintech and business services accounted for 26% of revenue last quarter. The Shenzhen-based company is due to report third-quarter earnings late Wednesday.I estimate that revenue from Tencent’s fintech business grew in excess of 70% last year.(1) The vast majority of that was payments. Yet Tencent also offers other products such as wealth management and has a 30% stake in WeBank, China’s first online-only bank, which was founded five years ago. Data on its fintech profits are hard to ascertain, yet information disclosed by Alibaba shows that Ant Financial was unprofitable last year, so Tencent could be in a similar boat. That’s not necessarily a bad thing. The two rivals are startups in the classic sense, using fast revenue growth driven by marketing and incentives to gain ground fast. A major reason why both have lost money in recent years is due to low take rates, the commissions received from processing payments, because they’ve offered discounts to consumers and merchants. A turnaround could be near, Sanford C Bernstein senior analyst David Dai wrote in a recent series on China’s fintech sector. He estimates that a maturing market will ease cut-throat competition and allow both companies to take a greater share of the money that sloshes through their payments platforms.As a result, Tencent’s payment business (TenPay) alone could be worth $137 billion, compared to $127 billion for Ant’s AliPay, the Bernstein team figures. HSBC Holdings Plc uses two methodologies(2) to come up with an estimated value of around $128 billion. Throw in the other products, and Bernstein calculates a base-case valuation for Tencent’s fintech unit of $160 billion, going as high as $230 billion. This indicates that 40% to 58% of Tencent’s current market cap is locked up in this hitherto hidden division. Bernstein has a base case of $210 billion for Ant, reaching as high as $320 billion.Payments spinoffs have proven to be lucrative in the past. EBay Inc. proved it with PayPal Holdings Inc. in 2015, with the latter posting a 177% normalized return since then, outpacing the 145% rise in the S&P Data Processing sub-index which includes Visa Inc. and Mastercard Inc. PayPal also trounced both eBay (35%) and the S&P 500 (49%). Square Inc., another payments provider, has been one of the hottest stocks of the past decade, returning more than 590% since its initial public offering in 2015.A more recent example comes from India, where Walmart Inc. is reported to be spinning off payments business PhonePe from local e-commerce company Flipkart Group, which it acquired last year. That transaction could turn a $20.8 billion startup into two unicorns with a combined value of more than $30 billion. Tencent doesn’t need to rush to list this fintech unit. Appetite for mega IPOs is likely to be satiated by Alibaba’s Hong Kong listing and that of Saudi Aramco over the next few months. And there’s a long runway of big startups ready for their moment in the sun. By merely making it a separate entity, management can signal intent and allow investors to start re-rating Tencent’s stock accordingly.An offering may not even be necessary, since Tencent is already sitting on more cash than it needs. Instead, the company could distribute shares in Tencent Fintech to existing shareholders, and then directly list the stock. That’s similar to the approach advocated by activist investor Dan Loeb for a Sony Corp. split.Tencent is sitting on a bright light in this fintech unit. Time to let it shine.(Updates to include reference to third-quarter earnings schedule in third paragraph.)(1) The "others" category includes fintech, cloud, film & TV. Tencent noted that fintech is the major component and gave a figure for cloudbut not content.(2) HSBC Approach 1: valuation per user. Approach 2: Using Tencent operating margins applied to its payments business, then comparing to peers.To contact the author of this story: Tim Culpan at tculpan1@bloomberg.netTo contact the editor responsible for this story: Patrick McDowell at pmcdowell10@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tim Culpan is a Bloomberg Opinion columnist covering technology. He previously covered technology for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
- Benzinga
Why This Analyst Is Increasingly Convinced Of Venmo's Monetization Prospects
Venmo hasn’t yet proven itself a meaningful contributor to PayPal Holdings Inc (NASDAQ: PYPL). Contrary to the analysts’ previous expectations, Venmo has yet to cannibalize PayPal users to a meaningful degree. Venmo is not a net negative — and it may yet prove itself a net positive.
- InvestorPlace
A One Day Earnings Rally Might Be All Square Stock Will Get
Square (NYSE:SQ) had an intriguing bull case heading into its earnings release on Wednesday afternoon. Coming out of the Q3 report, Square stock admittedly still has that bull case.Source: Jonathan Weiss / Shutterstock.com The problem, however, is that earnings don't look quite strong enough to be the huge catalyst for which bulls were hoping.So far, SQ stock has avoided the fate which befell it after the last three quarters. But an 8% rally seems to price in the news for the quarter -- which means hoping for a rally back to 2018 highs of $100 might be too much to ask for.InvestorPlace - Stock Market News, Stock Advice & Trading Tips SQ Stock Holds up After EarningsFrom a headline perspective, earnings would seem bearish for SQ stock, at least if history is any guide. Both adjusted earnings per share (by 5 cents) and revenue (by a little over $5 million) came in ahead of analyst estimates. But guidance for the fourth quarter was below consensus on both lines. * 7 Stocks to Sell Before They Roll Over That's exactly how the last three quarters played out. And each time, Square stock plunged, falling 14% after the Q2 release, 8% after Q1, and 6% (over three sessions) following the Q4 report at the end of February.This time, however, SQ stock actually gained 1.3% in after-hours trading. And the differing response does make some sense. For one, investors may finally have realized that Square guides conservatively. Second, the company's sale of Caviar to DoorDash is having a larger effect on revenue than projected, which explains the soft top-line outlook for the fourth quarter.This time around, the combination of an earnings beat and soft guidance has moved SQ stock up some 8%. That's a nice gain in context: fellow growth name Roku (NASDAQ:ROKU) had a seemingly spectacular quarter and saw its shares plunge in after-hours trading. At least in terms of the initial reaction, investors seem at least content with Square's report. The Details Look MixedIt's also possible that investors are looking beyond the headline numbers -- and there were some interesting developments in the quarter.On the positive side, Square gave yet more detail on its Cash App product. Cash App seems to be competing well against PayPal Holdings' (NASDAQ:PYPL) Venmo, and apparently it still is.According to figures from the Q3 shareholder letter, Cash App revenue excluding bitcoin in the quarter was $159 million. PayPal said after its Q3 that Venmo had reached an annual revenue run rate just shy of $400 million -- or less than $100 million a quarter.Cash App thus seems to be outperforming Venmo. Square is seeing profits on that revenue too, with gross margins near 80%. Meanwhile, Square is adding new functionality to the app including fractional stock ownership, allowing it to compete with well-known start-up Robinhood and traditional discount broker Charles Schwab (NYSE:SCHW), which itself is launching fractional ownership.Cash App performance seems like good news. But initial preliminary guidance for 2020 might shake investor confidence. Square said its EBITDA margins for 2020 would be roughly flat to the ~18% it expects this year.Combined with a guided revenue increase in the "low 30s" on a percentage basis, that suggests EPS growth next year likely below current Street estimates, which project a 41% increase.That projected revenue growth is about in line with expectations (the consensus estimate is for 33% growth). But part of the pressure on SQ stock, which still is down 38% from 2018 highs, has come from increasing fears that competition is catching up.Square management positioned the lower margins as due to sales and marketing spend needed to drive growth -- an investment that will pay for itself in a matter of quarters. But some investors may worry that the spend is what's needed to differentiate the company in an increasingly crowded space. The Bottom Line on Square StockAgain, Square stock is cheaper, but one concern at the moment is that it isn't necessarily cheap. The 2020 consensus EPS still suggests a 60x forward multiple, and next year's estimates may come down after this quarter's commentary.Even backing out cash, price to 2020 revenue is over 4x on a GAAP basis, and around 8x using the company's 'adjusted' figure which will be discontinued after Q3. Adjusted revenue excludes transaction costs and bitcoin revenue, both of which offer minimal gross profit. In fact, Square made just $2 million in gross profit on bitcoin sales in the quarter.In the market of the last few years, those multiples don't necessarily stand out. But clearly investors have had some worries about SQ's valuation of late -- and those worries have spread to other growth stocks. Shopify (NYSE:SHOP), to which SQ stock often is compared, trades 25% below late August highs. Formerly high-flying cloud names have pulled back as well.For that reason, I argued ahead of earnings that the relatively flat trading in Square stock was bullish. It certainly seemed to give Square an opportunity to deliver an earnings release that could re-ignite optimism toward its stock. An 8% rally suggests that case did play out. The problem is that I'm skeptical there's enough in Q3 to keep that rally going.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Sell Before They Roll Over * 5 Beaten-Up Stocks to Buy That Could Be Saved By An Acquisition * 4 Startup Stocks Getting Smashed The post A One Day Earnings Rally Might Be All Square Stock Will Get appeared first on InvestorPlace.
- InvestorPlace
Should Long-Term Investors Buy Square Stock?
On Nov. 6, digital payments company Square (NYSE:SQ) released its third-quarter financial results.Source: Jonathan Weiss / Shutterstock.com Square stock has been at the forefront of the fintech (financial technology) revolution. Both the company and the owners of SQ stock have been benefiting from the disruptive shift from physical money to digital financial services and products.In 2019, the SQ share price is up about 15%. In the wake of the Q3 results, I believe that the owners of Square stock may have to reset their overly optimistic growth and share price expectations for the rest of the year. In the coming weeks, I'd be a buyer of SQ stock below $60, especially if Square stock approaches or goes below $55. Here are the important fundamental and technical issues that are affecting SQ stock.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Analyzing Square's Q3 ResultsSquare's Q3 revenue and earnings came in above analysts' average outlook. However, the company lowered its full-year guidance. * 3 Positive Market Signals for the Rest of 2019 Its total revenue increased 44% year-over-year to $1.27 billion. Its earnings per share, excluding certain items, was 25 cents, beating the average forecast of 20 cents.The company's quarterly gross payment volume (GPV), or the total volume of payments the company processes, increased 25% YoY to $28.2 billion.Management noted that Square Terminal and Square Register, SQ's newest hardware solutions, are enabling the company to cater to larger businesses, helping drive up Square's GPV. When SQ reports its Q4 results, investors are likely to continue to pay attention to this number.The Q3 report once again confirmed that SQ stock is growing rapidly, thanks to its seller ecosystem and Square Cash, the company's consumer digital money transfer service.In general, growth stocks are far more volatile than market indices or mature companies. Whenever investors feel expectations for growth names need to be toned down, they sell the companies' stocks first and ask questions later.For fiscal year 2020, SQ's management expects low-30% YoY adjusted revenue and gross profit growth. That was viewed as disappointing by investors.Therefore, SQ stock is likely to be choppy in the next few days. Analyzing the Price Action of SQ StockBy analyzing the price action of SQ stock, we can obtain a better view of what to expect from the shares in the coming weeks.SQ stock went on a big tear during the summer of 2018, baking in plenty of euphoria. As a result, the shares have been weak since reaching their all-time high of $99 in late September 2018. Yet, by late December 2018, SQ was hovering around $50.After a highly volatile first half of 2019, on Aug. 1 Square stock hit a recent high of $83.20.However, the rest of August was not a good month for Square stock. That was partly due to its weak Q3 guidance, which surprised investors. On Sep. 24, the shares hit a recent low of $54.41.On Nov. 6, prior to the release of its Q3 earnings, Square stock closed at $61.34. Now the shares are hovering around $65.From a technical perspective, I'm not expecting Square stock to make another significant leg up any time soon. In the next few weeks, SQ stock is likely to be range-bound between $60 and $67.5.The next rally will occur only when long-term investors feel that the price of SQ stock is justified by its future growth expectations. Consequently, investors need to be careful about chasing Square stock at this point. Square Stock Is Still Richly ValuedAlthough the recent decline of SQ stock has made its valuation more attractive, the shares are still richly valued.While SQ already serves many small businesses, Wall Street has questions about whether it can maintain its growth. Especially if the U.S. economy slows, Square's growth may start to decelerate rather quickly.SQ's competition has also increased. Square must now compete with many well-capitalized companies, including the global online-payments company PayPal (NASDAQ:PYPL), Visa (NYSE:V) and Fiserv (NASDAQ:FISV), which is becoming a global-payments giant.The forward price-earnings ratio of SQ stock is over 54. On the other hand, the forward P/E ratios of PYPL, V and FISV stocks are about 29, 28 and 23 respectively.Similarly Square stock's current price-sales ratio is over 6,3. Analysts prefer a low P/S multiple, ideally below 1x. However, a P/S number between 1x and 2x is more common. To put the metric into perspective, the S&P 500's average price-sales ratio is 2.2x.In short, investors are still paying a hefty premium to own SQ stock. Thus, I do not think there is much room for Square stock's valuation to head higher in Q4. Sooner or later, SQ stock's valuation and its revenue growth will be more balanced. So Should Investors Buy SQ Stock Now?Fintech is still developing rapidly in terms of total market capitalization as well as the products and services it offers. And the fintech app revolution is quickly changing the way traditional banks, credit-card issuers and mobile-payments companies work with businesses as well as with their retail customers.Therefore, over the long-term, I would not bet against SQ stock. The shares have generated solid long-term returns, especially for those who invested early in SQ. The company is likely to grow further as the fintech market matures.In the short-term, though, the owners of SQ stock shouldn't expect smooth sailing. I believe the markets are likely to be volatile in the rest of November. Like many momentum plays, Square stock will probably be a battleground between two camps: investors and traders.SQ stock has a high beta of 3.3. The stock market has a beta of 1.0. SQ stock's beta measures its volatility in relation to the market. In other words, SQ rises more than the market in bullish conditions and decreases more when markets are falling.Short-term traders should exercise caution if they want to participate in SQ stock's wide daily swings. The hype surrounding fintech stocks, including SQ, can easily cause them to rise quickly and become overvalued.It is likely that Square stock may fall toward $60 or even $55, At that point, I'd expect SQ stock to start to stabilize and then trade sideways until its next earnings release, expected to occur in early February.In other words, I' wouldn't rush to buy Square stock yet. However, I'd get ready to initiate a position in SQ as the price declines further towards $55.At the time of writing, Tezcan Gecgil did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Sell Before They Roll Over * 5 Beaten-Up Stocks to Buy That Could Be Saved By An Acquisition * 4 Startup Stocks Getting Smashed The post Should Long-Term Investors Buy Square Stock? appeared first on InvestorPlace.
- InvestorPlace
There Is Still Opportunity in eBay Stock
Just over a month ago, eBay (NASDAQ:EBAY) was thrust into yet another major transition. CEO Devin Wenig announced Sept. 25 that he was stepping down amid differences with the board. As this transition unfolds, the company will look to sell more assets, leaving it with its core online auctions and e-commerce business.Source: BigTunaOnline / Shutterstock.com However, after years of losing ground to other players, many wonder if the company can save itself.Still, with the online auctions industry growing at a respectable rate, EBAY stock should generate some degree of growth despite changing conditions.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Losing GroundEBAY stock was a darling of the 1990's tech boom. It built an iconic brand based around its online auctions. Founder Pierre Omidyar became a billionaire the day the company launched its IPO, and the stock was among the most revered equities during that decade. * 7 Stocks to Sell Before They Roll Over However, its performance after the boom has brought little reason to celebrate. Its core auctions and e-commerce business has taken an obvious backseat to Amazon (NASDAQ:AMZN). Moreover, resellers have not responded well to the fee structure eBay imposes, leaving little incentive to choose it over the online retail giant. According to Inc.com, eBay's share of the e-commerce and online auctions market stands at just 0.8%.Also, due to the spinoff of the aforementioned ventures, it has not become a conglomerate like today's Amazon. The company acquired PayPal (NASDAQ:PYPL) in 2002 only to spin it out in 2015. StubHub is met with the same fate as the company seeks a buyer.Moreover, gross merchandising volume for eBay fell almost 5%, the worst performance in several quarters. Interim CEO Scott Schenkel blamed this on the recently implemented internet sales tax. This requires the company to collect sales taxes on behalf of some out-of-state sellers. This adds cost to doing business on eBay. However, it adds costs to everyone else too. Hence, it should become less relevant as the e-commerce industry adapts. Global Online Auctions GrowthDespite these signs of continued struggle, eBay stock bulls have one key sign for hope. Orbis Research predicts that the global online auction market will grow at a compound annual growth rate of 7.2%. This bodes well for eBay stock as its name recognition remains high.Moreover, profit forecasts for eBay stock reflect this growth. After average earnings declines over the last five years, analysts expect profits to increase by 19.4% this year. Though they forecast only 5.8% earnings growth in fiscal 2020, Wall Street believes profit growth will return to the double-digits on average.Also, investors can buy this growth cheaply. At the current EBAY stock price of around $35 per share, the forward price-to-earnings ratio stands at just 12.1. With average annual profit growth reaching the double digits, I cannot argue against a mild bull case for eBay stock.No, I do not see the kind of outsized multiples that have benefitted Amazon. Nor should investors expect its dot-com valuation or notoriety to come back. However, it enjoys high name recognition in a niche that still drives respectable CAGR growth. At current levels, I see a trade short term and modest gains over a longer time horizon. My Final Thoughts on eBay StockDespite struggles in the e-commerce industry, eBay stock should continue a pattern of modest growth. Without question, the company has lost much of its prestige it gained in the dot-com boom. It has also struggled to expand its offerings through acquisition. This leaves it primarily an auction and e-commerce business, where it has declined relative to competitors in recent years.However, analysts expect the online auctions business to grow at a 7% rate. They also predict average earnings increases in the low double-digits. This and a low P/E ratio should make eBay stock a profitable trade. Longer term, investors probably will not own the highest-growth name in e-commerce, but they will see growth nonetheless.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Sell Before They Roll Over * 5 Beaten-Up Stocks to Buy That Could Be Saved By An Acquisition * 4 Startup Stocks Getting Smashed The post There Is Still Opportunity in eBay Stock appeared first on InvestorPlace.
- Investopedia
Square Stock's Upside Appears Limited After Earnings
Shares of the payment processor are trading higher after earnings but remain stuck in a range that could persist well into 2020.
- Investopedia
What does Elon Musk's Portfolio Look Like?
Read about the narrow and ambitious investment portfolio of Elon Musk, the enigmatic and genius founder of Tesla Motors, SpaceX and SolarCity.
- Yahoo Finance
As Uber shares hit new lows, analysts see no road to profits
Uber’s stock sank to a record low Wednesday, as early investors and employees took advantage of the first opportunity they had to unload the stock since the ride-hailing giant’s disastrous IPO six months ago.
- TipRanks
3 ‘Strong Buy’ Payment Stocks from Oppenheimer’s Top Analyst
The corps of Wall Street stock analysts numbers in the thousands, but at the top stand a select few, those analysts with the experience and savvy to pull together the facts and discern the probable path of the markets. You can find these top analysts, the best of the best, at TipRanks Top 25 Analysts, a list of the Street’s top performing stock watchers.Among these top analysts, there is a standout. Glenn Greene, ranked 3 overall, is also the top analyst from Oppenheimer, the New York City-based investment bank. The big Wall Street firms are also rated at TipRanks, and Oppenheimer holds the 4 spot among the Top Research firms. This combination of a top individual rating with a top institutional rating gives extra weight to Greene’s stock ratings.In the last two weeks, Greene has applied his expertise to the major players in the payment processing sector. Let's take a closer look:Mastercard (MA)We’ll start with Mastercard, by market cap, at $271.4 billion, the second largest credit card company in the world. Strictly speaking, MA is not truly a credit card company; it’s a payment processor. The actual cards are issued by banks or other financial institutions, and branded with Mastercard’s logo. Mastercard, the parent company, collects royalties on the logo and branding use, as well as buyer and seller transaction fees every time such a card is swiped.It’s a solid and profitable business model, as evidenced by Mastercard’s appreciation since the market bottomed last December. MA shares are up 42.6% year-to-date, far outperforming the broader markets. For comparison, the S&P 500 gain this year is 22.7%. In its Q3 earnings, reported late last month, MA showed an EPS of $2.15 against a forecast of $2.01, and reported a 14% yearly increase in gross dollar volume of transactions, to $1.7 trillion.Greene noted, “Mastercard delivered strong 3Q19 results with ~16% CC revenue growth and EPS of $2.15... MA modestly increased core FY19 guidance, which now anticipates the high end of low-teens CC revenue growth... We update our estimates to reflect strong quarterly results and now estimate ~18% EPS growth in FY19, which anticipates continued solid broad-based volume momentum.” Greene’s $312 price target on MA suggests an upside potential of 16% to the stock.Greene is not the only analyst giving MA some love. The shares have a unanimous analyst consensus of Strong Buy, based on 18 recent buy ratings. The average price target of $316 represents a 17% upside from the share price of $269. (See Mastercard stock analysis on TipRanks)Visa, Inc. (V)Visa is Mastercard’s bigger twin. Like MA, Visa no longer issues cards itself – it uses the same model of collecting royalties for branding, plus transactions fees on card use. And like Mastercard, Visa finds the model profitable. In its fiscal Q4, reported last month, Visa showed a 13% yearly gain in revenue, to $5.43 billion for the quarter, and an impressive 21% yearly gain in non-GAAP EPS, to $1.21. Quarterly net income, at $3.03 billion, was also up, gaining 6.3% from the $2.85 billion reported last year. Payment volume – the standard metric of total Visa card use – was up 9% from the year-ago quarter.Visa’s strong growth in all metrics reflects both the increasing use of digital payments and continued high consumer confidence and spending in the US. The first factor is likely to continue supporting Visa into the indefinite future; the second is fickle, but likely to continue for the next 6 to 12 months. Even if consumer confidence declines, Visa, with over $20 billion in total revenues in the last fiscal year, and more than $10 billion in net income, has the resources to hold fast.Those resources were Greene’s mind when he titled his recent note on Visa, “V Finishes Year on Solid Note; Provides Encouraging Outlook.” In the note, Greene pointed out that the company gave an optimistic outlook for FY2020, guiding on low-double-digit credit card revenue growth. He wrote in his bottom line, “We are highly attracted to Visa's powerful brand, vast global acceptance network and strong business model. We believe the company is well positioned to benefit from the long-term secular shift from paper currency to plastic, consumer spending growth and increased globalization.” Greene’s $202 price target on V indicates his confidence in 14% growth.Overall, V stock gets another unanimous Strong Buy consensus rating. No less than 8 analysts have up-checked this stock in recent weeks. Shares sell for $178, and the average price target of $206 suggests an upside potential of 16%. (See Visa stock analysis on TipRanks)PayPal (PYPL)With PayPal, we move away from traditional card companies into the truly digital world. This company led the way in online digital payments, and in the four years since it spun off of eBay as an independent entity, it has grown to $15.5 billion in annual revenue and more than $2 billion in net income. Looking at other metrics of success, PayPal has over 286 million active users across 202 separate markets worldwide. Customers can hold, send, or receive funds in 25 different currencies.Like its more traditional peers, PayPal reported earnings in late October. The company showed a 195 gain in revenue, hitting $4.38 billion for the quarter, and a 25% gain in total payment volume – one of the company’s key metrics – to $178.67 billion. Both revenues and total payment volume beat the pre-earnings forecasts. PayPal’s net income for the quarter was $462 million, or 39 cents per share. The EPS was up 8% from one year ago.Green acknowledged both PayPal’s current strong quarter and its recent headwinds in the opening of his recent note on the stock: “After a disappointing 2Q, PayPal delivered strong 3Q results as revenue grew 19%.” In his bottom line, he wrote, “PayPal has an attractive business model characterized by transaction-related fees, relatively low capital requirements, and strong free cash flow generation... We think PYPL is particularly well positioned to benefit as retail activity continues to migrate from brick-and-mortar stores toward online and mobile venues.” Greene gave PYPL a $125 price target, implying an upside of 24%.Green is certainly not the first analyst with an optimistic outlook for the online payment giant, as TipRanks analytics showcasing PayPal stock as a Strong Buy. With an average stock-price forecast of $127.22, analysts are predicting an upside of nearly 26%. In total, the stock has received 17 'buy' ratings vs. just 4 'hold' ratings in the past three months. (See PayPal stock analysis on TipRanks)
- Zacks
The Zacks Analyst Blog Highlights: Facebook, PayPal, eBay and MasterCard
The Zacks Analyst Blog Highlights: Facebook, PayPal, eBay and MasterCard
- Zacks
Facebook Getting a New Face
As the government continues to struggle with whether Facebook (FB) should be separated from all its parts, the company has taken another measure to ensure that it's virtually impossible.
- GuruFocus.com
US Indexes Close Mostly Higher Tuesday
Dow Jones closes at a new record high of 27,492.63 Continue reading...
- Market Realist
The UK’s Labour Party: Block the Google-Fitbit Deal
The UK’s Labour Party wants to stop Google’s acquisition of Fitbit. The UK previously delayed PayPal’s closing of the iZettle acquisition.
- Zacks
Square Q3 2019 Earnings Preview: Buy Struggling SQ Stock on the Dip?
Square (SQ) is set to report its quarterly financial results after the closing bell on Wednesday, November 6. The fintech firm has struggled over the last year. Now the question is will earnings be the positive catalyst that Square stock needs?
- GuruFocus.com
Smead Value Fund Exits Johnson & Johnson, Trims Paypal
Fund's largest sales of the 3rd quarter Continue reading...
- MarketWatch
Credit cards have gone out of style in China — will the U.S. be far behind?
WeChat and Alipay are the most widely accepted forms of payment in China which has allowed merchants to avoid paying credit card fees
- Zacks
Time to Buy Facebook (FB) Stock After Earnings Despite Political Worries?
Facebook (FB) shares have jumped 11% in the past month and the social company recently topped quarterly estimates amid ongoing political scrutiny. The question is should investors buy Facebook stock right now?
- Market Realist
Are Cryptocurrencies and PayPal a Risk for Banking?
Alternative options, such as cryptocurrencies or payment platforms like PayPal (PYPL), may impact banks in the long term. They are here to stay.
- Zacks
Western Union (WU) Q3 Earnings Beat, Revenues Miss Estimates
Western Union (WU) third-quarter results reflect growth in revenues and rise in expenses.
- Barrons.com
The eBay of Latin America Lost More Than Expected. Here’s the Good News.
MercadoLibre stock fell as its quarterly loss was $2.97 a share, while analysts expected a loss of 3 cents.
- American City Business Journals
PayPal makes first minority investment in a Japanese company
PayPal’s venture capital arm announced it had made a minority investment in post-pay credit provider Paidy.
- American City Business Journals
How big companies like PayPal cash in on success of Epic Games' 'Fortnite'
“Fortnite” isn’t just making money for its developer, Cary-based Epic Games. “Clearly 'Fortnite' has been a strong performer,” says Hasbro CEO Brian Goldner on a call with analysts Oct. 22. Hasbro’s NERF brand, for example, has either grown or gained share every month since March “in part through the strength of our ‘Fortnite’ line, where we are delivering more innovation this holiday.” That’s as the category was actually down through August, he said.
- MoneyShow
Put PayPal at the Top of your Buy List
PayPal Holdings (PYPL) is one of our biggest 3Q19 winners so far, up 10% after beating estimates across the board, observes Todd Shaver, growth stock expert and editor of Bull Market Report.
