PayPal has released second-quarter earnings figures on Wednesday that exceeded Wall Street estimates, but third-quarter earnings forecasts are still short.<\/p>\n
These are the company\u2019s results compared to the Wall Street expectations:<\/p>\n
This is a 23% growth in revenue from the $3.14 billion recorded in the first quarter of last year. For the third quarter, PayPal’s earnings forecasts matched with analysts’ forecasts, but its revenue forecasts were missing. The company declared that it expected adjusted earnings per share between 53 cents and 55 cents on revenue of $3.62 billion to $3.67 billion. Analysts had expected third-quarter profit of 54 cents per share on revenue of $3.71 billion, according to Thomson Reuters estimates.<\/p>\n
Shares in PayPal fell more than 4% in after hours trade. The stock continued to fall after hitting an intraday high of $92.35 in Wednesday’s session. PayPal has so far achieved 24 percent profit in 2018, and more than 56 percent in the past 12 months.<\/p>\n
For the second quarter, PayPal’s net income rose to $703 million, or 58 cents per share, from $554 million, or 46 cents a share in 2018. The company also declared that up to $10 billion in stock repurchases was approved by its board.<\/p>\n
The technology and financial services company also raised its expectations for the full year, saying it now forecasts adjusted earnings per share to be between $2.32 and $2.35, and that revenue will be between $15.3 billion and $15.5 billion.\u00a0 In 2017, full year earnings per share were $2.31 to $2.34 on revenue between $15.2 billion and $15.4 billion.<\/p>\n
Daniel Loeb, hedge fund manager at Third Point, said Monday that his fund opened a new PayPal position in the second quarter. He expects the share price to rise to $125 in 18 months, which would be a 43% increase to Friday\u2019s trading session.<\/p>\n
“We see parallels between PayPal and other best\u2010in\u2010class internet platforms like Netflix and Amazon: high and rising market share, untapped pricing power, and significant margin expansion potential,” Loeb said.<\/p>\n
In May, PayPal revealed a $2.2 billion deal to buy the European payment startup iZettle, before their IPO. The Swedish-based company had planned to get listed on the Nasdaq in Stockholm before the announcement.<\/p>\n","protected":false},"excerpt":{"rendered":"
PayPal has released second-quarter earnings figures on Wednesday that exceeded Wall Street estimates, but third-quarter earnings forecasts are still short. These are the company\u2019s results compared to the Wall Street expectations: Earnings per share: 58 […]<\/a><\/p>\n<\/div>","protected":false},"author":1,"featured_media":727,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[63,3,4],"tags":[66,34,48,24,21,14,22,10,70,47,23,46,39],"_links":{"self":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts\/726"}],"collection":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/comments?post=726"}],"version-history":[{"count":1,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts\/726\/revisions"}],"predecessor-version":[{"id":728,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts\/726\/revisions\/728"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/media\/727"}],"wp:attachment":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/media?parent=726"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/categories?post=726"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/tags?post=726"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}