Overview
- Two Seeking Alpha contributors upgraded PayPal to Strong Buy on Dec. 23, citing improving fundamentals and an attractive entry point.
- Shares are valued near 10x forward earnings and about 8–9x 2025 free cash flow estimates, a sharp discount to peers and the S&P 500.
- Recent results showed accelerating revenue and earnings, with management raising FY25 guidance and noting momentum in Venmo and BNPL.
- Commentary highlights potential catalysts such as a bank charter, AI partnerships, and faster Venmo monetization, described as possibilities rather than confirmed plans.
- Coverage also notes the stock is down roughly 30% this year and has a record of steep drawdowns, factors that continue to temper investor sentiment.