PayPal shares: is it looking vulnerable?
Beyond banks, PayPal is seen as the next safest payment system. However, the $70bn company has had a tough time, with disappointing earnings and languishing shares. Is PayPal ripe for a takeover? IGTV’s @AngelineOng investigates.
(Video Transcript)
Turbulent time for PayPal shares
Now, beyond banks, PayPal is seen as the next safest thing. However, the $70-billion company has had a challenging time. Earnings have disappointed, and this includes finding a new boss as well. It took six months, I think, to find Alex Criss at Intuit, and he is set to step up to retire Dan Shulman.
Just checking on the share price there for you of PayPal, because as you can see, it has had a tumultuous time. Also, Intuit is where its new chief executive is coming from. Now, there's talk that perhaps with PayPal's shares as well not doing as well as it could be, it's looking a bit vulnerable.
Widening the chart now to show you where it's come since August 2022. It's down around 42% since that peak. The payment system, some market watchers say, could fit in nicely with many larger outfits.
Now, let's take a look at JP Morgan, because JP Morgan already has partnered with PayPal. But it'd be a really hard sell to regulators for it to swallow the entire company.
Breaking new ground with digital currencies
Meta, also another interesting one, which is all sessions on the IG platform. The social network's own payment system hasn't been as popular as hoped, a fact probably enjoyed by Tesla's Elon Musk, who sold the then-called x.com, which then became PayPal, to eBay.
Now, what's also curious about this entire thing is that PayPal, some say, could also partner or complement Fiserv.
Now, in the meantime, PayPal is not resting on its laurels. It launched a US dollar stablecoin, and this means PayPal is the first major financial tech firm to adopt digital currencies for payments and transfers.
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