Bullish on PYPL: not likely to make large acquisitions
$PayPal(PYPL.US$ PayPal already officially denied it was seeking to acquire $Pinterest(PINS.US$ on October 24. CEO Dan Schulman further played down the likelihood of such a large acquisition on the earnings call, and made it clear that PayPal's 2025 outlook could be met without acquisitions:
We have never done a really large acquisition so far ... they have a much higher hurdle rate than our smaller acquisitions ... We fully understand what it means to do a large acquisition versus a small acquisition and in seven years (since Schulman became CEO) we haven't done a single large acquisition because they haven't met any of our hurdles.
We don't need to do something large, or small, frankly, to deliver on our medium-term guidance. All of our acquisitions are supplemental to our medium-term guidance
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I am ur Dog : The reason Paypal is down is due to emerging fintech companies. Paypal was rightly cut down to size. Paypal will do fine in the long run.
yokim I am ur Dog: I disagree. What is your evidence?
Mooncity yokim: I read your analysis, but paypal is bloated in value. There is attacks from agile Fintech such as Sofi, Upstart and Lending Club and more on the way. Paypal has been coasting and they need to up their game to survive. Paypal is going to get eaten alive if they do not innovate. Paypal needs to do a full online bank, credit cards and full crypto currency exchange.
Panda stack : I like paypal. I have paypal on my S & P 500 ETF. There is no way to not have paypal on a broadbase ETF. I'm just saying paypal needs to amp it up. Elon Musk and Max Levchin is gone from paypal. Paypal needs to step it up.
dreamstocker Panda stack: I disagree.
The big future for PayPal is to be the only other payment ecosystem of scale outside Visa/Mastercard and American Express, but with PayPal owning both sides of the transaction and much more value-add services
There is no need for PayPal to be "a full online bank, credit cards and full crypto currency exchange"; nor will it (or anyone) be able to if it tries.
Sweety Reality dreamstocker: Paypal is the "only" ecosystem other than Visa, Mastercard and Amex? Paypal is getting attacked and destroyed. The barbarians are at the gate and they are pounding down the gate. I agree with you, Paypal is a great, fundamental company but not a major holding.