PayPal Holdings: Fundamentals And Innovation Drive Value

(12min)

Summary

  • PayPal remains a 'strong buy' due to attractive valuation, operational improvements, and ongoing growth initiatives despite mixed financial performance.
  • Recent results show revenue and active accounts growth, improved profitability, and strong contributions from Venmo and branded checkout features.
  • Management's focus on optimizing operations, share buybacks, and launching new products like Venmo Debit Card and PayPal Credit card enhance shareholder value.
  • Compared to peers, PayPal is undervalued, continues to innovate, and is well-positioned for long-term growth, justifying my bullish outlook.
  • Looking for a helping hand in the market? Members of Crude Value Insights get exclusive ideas and guidance to navigate any climate. Learn More »

:Silhouette of upset Australian woman over PayPal logo

chameleonseye

At this time, in this market, I believe that one of the most attractive investment opportunities is payment processing behemoth PayPal Holdings (PYPL). Shares of the company are attractively priced and, while financial performance has been admittedly

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This article was written by

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Daniel is an avid and active professional investor.

He runs Crude Value Insights, a value-oriented newsletter aimed at analyzing the cash flows and assessing the value of companies in the oil and gas space. His primary focus is on finding businesses that are trading at a significant discount to their intrinsic value by employing a combination of Benjamin Graham's investment philosophy and a contrarian approach to the market and the securities therein. Learn more.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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