Home Stock & Shares Following better than market expectations performance, PayPal shares jump 18.1 per cent

Following better than market expectations performance, PayPal shares jump 18.1 per cent

by Jonathan Adams

PayPal Holdings Inc. reported a better-than-expected 18.1 per cent rise in quarterly revenue and its margin forecast allayed concerns over costs associated with its payment network deals with MasterCard Inc. and Visa Inc. PayPal’s shares were up 4.2 per cent at $41.78 (£34.15) in after-hours trading.

The payments processor said in presentation slides that it expects adjusted operating margin to be stable or higher in the next three years.

According to BTIG analyst, Mark Palmer, “With one slide in its deck, PayPal largely addressed investors’ concerns about the impact of the Visa and MasterCard deals on its margins”.

PayPal signed deals with Mastercard Inc. and Visa Inc. earlier this year for store payments, leading to some concerns that they would result in higher transaction expenses for the company.

Important
This article is for information purposes only.
Please remember that financial investments may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.
There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.

Related News

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More