PayPal shares are an interesting option . The low valuation and declining share price attract many buyers who make acquisition offers, which is reflected in the share price.
But does PayPal stock make sense for investors at current market prices ? This is the question I want to answer in this video, by looking at the company’s performance over the past few years, comparing it to its valuation, and determining whether it represents an attractive buying opportunity now.
PayPal. Yes, this name, you know, some might say: " Be careful with this name , especially with the collapse of the deal or the potential collapse of the Stripe deal." Yes. Why do you prefer PayPal? This looks scary. Why do you prefer PayPal?
Stripe? It doesn't matter. That was a cheap offer. It was a joke. Look, this is a golden opportunity, Tom. Here's why: The stock price is down 80% from its 2021 highs. The stock is undervalued.
Price, value, profits and revenue have increased by 50% since a peak of over $300. Free cash flow exceeds $6 billion annually. They own 15% of the company, and have already bought nearly 30% of the shares. Therefore, free cash flow increased by 27%.