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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: petal who wrote (78852)	1/2/2026 2:26:12 PM
From: Sean Collett	Read Replies (1) \| Respond to of 79163

RE: PYPL I don't think I have seen it mentioned on the thread or from what you wrote but $PYPL submitted to Utah Department of Financial Institutions the FDIC to establish a Utah banking charter. Potentially if they get approved this would open them up to a whole new level of product offering. I was not a fan in the past but given this recent development I could see where there is some potential for them given the new product offerings they would have. If approved too any deposits at this Paypal bank would be covered by the FDIC limit too which does differentiate them from some of these others. Happy investing, Sean Edit: I added $PYPL to the portfolio today at $58.49/s after noodling on this one and the newer banking application. With Baird and Bofa downgrading and the stock at some lows it seems like a decent R/R given sentiment. Not a fan of the BNPL later business BUT the banking charter will give some options that I think will make them attractive that was not a factor in my initial analysis.

To: petal who wrote (78852)	1/2/2026 3:10:27 PM
From: Harshu Vyas	1 Recommendation Recommended By petal Read Replies (1) \| Respond to of 79163

Hey Petal, Tbh, I've never viewed PYPL as that good a business. I've looked at it a couple of times. My thoughts below (I could be wrong!): I appreciate management are buying back stock on a low-looking multiple but even that is the wrong move because the business seems to be deteriorating (see below). And I don't think there's any infra advantage. PYPL is simply an application layer on top of the V/MA/AXP infra imo. IMO, PYPL's success came from being the winner of the first movers NOT from having a perfect business model. New management have the "scale" but a reactive strategy. Lots of smaller cos will tear off limbs one by one. Apple/Google Pay at the checkout, Stripe for the merchants, Wise for cheap FX ... Re: growth. Is it by volume or pricing? I suspect it's volume driven growth in lower margin areas as shown by the decreasing take rate - Paypal Holdings Inc (PYPL) - Transaction Take Rate (Quarter… . Market probably sees this and views PYPL as a business "growing" into a "worse" business. FWIW, I'm old enough to remember when PYPL was compared to META in 2023. Now Google? It's just not that... good. Lol. Maybe cheap. And maybe a turnaround is possible. I just don't see how. No obvious solution to me. Good luck, but going for these businesses is a headache in itself. I could never own a PYPL-like business and I respect the fact you're going for it. Like insurance or banking or anything financial, it's just complex and not easy to hold.