- PayPal Holdings remains a 'Buy' despite core business pressures, with significant long-term upside potential and a target valuation closer to $100.
- PYPL faces challenges including declining branded checkout growth, margin compression, and competitive pressures, yet maintains robust free cash flow and a resilient economic moat.
- Growth drivers such as Venmo, Buy Now Pay Later, and aggressive share buybacks support bottom-line expansion, even as top-line growth moderates.
- With a current valuation of 10.9x earnings and 8.1x free cash flow, PYPL is undervalued even under zero-growth assumptions, supporting a bullish stance.
https://seekingalpha.com/article/4962175-paypal-still-struggling-but-still-mispriced