Connect with us

CWEB Business News

PayPal Holdings’ Review, Waiting for E-Commerce to Stabilize

Berenberg Bank analysts provided their views on PayPal Holdings, Inc. (NASDAQ:PYPL), highlighting that e-commerce growth has remained under pressure this year, which will negatively affect the company’s transaction volumes in the near term. At the same time, more customers have been shifting from online shopping to offline because of “post-pandemic” re-openings, while continued supply chain issues have been delaying logistics globally, both of which factors are negatively affecting PayPal.
The analysts, however, noted that PayPal’s level of customer engagement continues to grow, delivering 11% year-over-year growth in transactions per active account in Q1. According to the analysts, this continued engagement growth will support the company’s long-term revenue growth and the cross-selling opportunity as loyal users are more likely to use additional solutions provided by PayPal – for example, PayPal has recently launched saving solutions.
The analysts believe that investors remain on the sidelines and are waiting for the e-commerce growth trend to stabilize before re-entering PayPal.

Follow us on Google news for more updates and News

Full Disclaimer

More in CWEB Business News



Get the most important news and analyses for Free.

Thank you for subscribing.

Something went wrong.