Where Will PayPal Be in 1 Year?
These are scary times, no doubt. A potentially looming recession, elevated inflation, a recent string of bank failures, and rising interest rates aren't exactly developments that investors cheer. Those who focus on growth stocks like PayPal (NASDAQ: PYPL) have even more to think about in today's market environment. It's worth asking if it's still a good idea to own a business like this.
PayPal's stock is down 36% over the last 12 months, seriously underperforming the S&P 500, which has fallen 11% during the same period. Where will shares of the fintech be in one year? I think it's important to understand where the company has been, and what its outlook is, to answer that question.
Last year was still a healthy one for PayPal, with an 8% increase in sales to $27.5 billion. Total payment volume of $1.36 trillion was up 9% versus 2021. And the business added 8.6 million net new active accounts, bringing the total to 435 million. All things considered, this is respectable growth, albeit not at the rates shareholders saw in 2020 and 2021.
Source Fool.com
