PayPal surges 23% this week on $60.50/share buyout offer from Stripe and Advent International

Published Jul 17, 04:16 PM UTC

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PayPal shares surged 23% this week after payments peer Stripe and private equity firm Advent International offered to buy the company for $60.50 per share. However, PayPal's board reportedly believes the offer undervalues the company's long-term potential amid its turnaround strategy. Famed investor Michael Burry also argues the deal greatly undervalues PayPal, estimating its intrinsic value at $110-$115 per share. The article notes PayPal trades at just 10.5 times earnings even after the rise, and highlights Venmo's strong growth as a key asset. The author suggests holding shares pending further developments, though a declined offer could weigh on the stock.

Source

Yahoo FinanceWestern

Original headline: Why PayPal Shares Are Skyrocketing Higher This Week

Original language: EN-US

Part of this Story

Stripe and Advent International Bid $53 Billion for PayPal

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People and interests

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