Lost your password?
Don't have an account? Sign Up

PayPal Stock Spikes After Earnings Beat!

PayPal Holdings shares rose as much as 5% before retreating!

Only a day after the payment giant reported better-than-expected earnings and Chief Executive Dan Schulman announced his retirement.

The stock was recently up less than 1% as broader markets were mixed.

Tweet on Paypal stock

Factset chart on Paypal

PayPal gave an upbeat profit forecast for the year in its fourth-quarter earnings. On a call with analysts, Mr. Schulman said he would depart the company in December so the company would have ample time to find a successor.

“I wanted to be sure that PayPal had positive momentum and was in a position to deliver a solid year of performance, so I can be sure I wasn’t leaving the company in a difficult position,” he said.

PayPal previously said it would pursue a cost-cutting campaign in response to the fintech rout. In late January, the company said it would lay off 2,000 of its employees, or 7% of its workforce.

“In this current environment with so many of our competitors struggling to make money, we see a path to emerge from this economic downturn in a position of increased strength,” Mr. Schulman said.

PayPal has now rolled out its newest checkout experience to about a third of its top 100 retailers, with 50% targeted in 2023. The company hopes to grab more share in mobile checkout.