Last year, San Jose, CA-based PayPal facilitated approximately 25 billion transactions, generating $1.5 trillion dollars in purchase value from 425 million users. The company annually produces over $4.2 billion in FCF, with a low 20s operating margin on a $30 billion revenue base. This bellwether alt-payments company has suffered a sharp sell-off in share price over the last two weeks due to lowered 2024 guidance, and the past two years in general as a function of management and strategic plan changes. PayPal’s unique service offering, combined with its size and scale, certainly warrants market participant attention.
Wayne Johnson III, Executive Advisor, Wellesley Hills Financial, Managing Member, Payment Chain Consulting.
