it sounds like the most exposure kkr has at any time is $6 billion, seems like pypl retains all the servicing for these loans and gets a fee for it. as far as using fcf to reduce debt, i dont agree, I think if pypl can use the money to grow 14% instead of 12% a year that is a much more favorable outcome for shareholders, I just pulled the 14% out of thin air , not saying that is going to happen, but I think pypl continues to have opportunities to expand their business, so they should do that . what is nice about paypal is that the share count has declined in each of the past three years so the share buy backs are real,
OT this talk of an AI bubble is beyond ridiculous, I heard the term used on Bloomberg about 20 times in 5 minutes. AI is and will revolutionize business education health,
it accesses info in seconds that could have taken me an hour to find, It edits and produces material that could have taken hours of rewrites, Of course with any technological innovation there will be lots of entrants and few survivors but that does not make it a bubble, I think open AI is pretty entrenched and expect them to be a survivor. That is one of the reasons I am holding onto my shares in Softbank and Suro,
Because of AI Paypal can monitor its accounts credit in real time and we are talking 400 million accounts here, My friend told me he had a check he wrote reutned unpaid because the signature did not match his signature on file sufficiently so banks are now using ai for signature verification on checks |
