In early February, (NASDAQ: PYPL) Chief Financial Officer Jamie Miller revealed that the company plans to buy back about $5 billion of its own stock in 2024. With a market cap of only $65 billion, the repurchases would represent nearly 8% of the company's equity value.

This is a huge bet for PayPal. Now trading at a depressed valuation, buying back stock could prove a genius move. But if history is any indication, PayPal could end up rapidly destroying shareholder value.

The company has already spent $15 billion in share repurchases since going public in 2015. Most of those stock buybacks ended up destroying shareholder value given the repurchase prices were much higher than today's valuation.

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Source Fool.com