Early into the trading day yesterday, Paypal stock took an upward trajectory, making it one of the top performers on the stock exchange, and changing recent history.
That jump came on the back of news that Paypal will be creating a merchant-focused investment strategy for 2026, a $6 billion share buyback program, and a partnership with Sabre and Mindtrip to build an AI-powered travel booking platform under new CEO Enrique Lores.
Paypal, founded in Palo Alto, California back in December of 1998, has grown into a fixture of the modern internet economy. Though Paypal has created a market for itself, making sure it always has a place, recent months have seen a sharp decline in the stock of the company.
A 30-35% Drop In Price Over The Last Year Is Hurting Paypal’s Stock
Yes, you read that correctly. Over the last twelve months, Paypal’s stock has tumbled between 30-35%.
The tremendous loss in value over the last year can be attributable to many factors, including that the company recently underwent a CEO change, with the official change coming on March 1st.
In February 2026 the Paypal stock has tumbled from around $50 per share to under $40 per share, with yesterday’s bump driving it back to the $44-$45 range.
This spectacular fall came because of a Q4 earnings report that underwhelmed, leading to questions about the long term security of Paypal.
Once left alone in their competitive space, Paypal now competes for business with major companies such as Apple with Applepay, Google with Google Pay, and even services like Venmo or Cashapp.
All of these newer, more innovative companies threaten Paypal’s longstanding dominance of financial transactions over the internet.
Should I Buy Paypal Stock?: What The Experts Are Saying
Experts say that the outlook on Paypal’s stock is far from good, with most recommending avoiding the stock altogether.
JP Morgan Chase said in a research note about the company,
“All told, given the disappointing results/guidance and unexpected management change, we’re not surprised to see shares down materially. The results add fuel to the bear thesis that PayPal will struggle to maintain share in the market.”
A Jefferies Analyst said the following about Paypal in another research note, writing,
“The results and guidance are much weaker than what were already low buy-side expectations”
Wells Fargo trimmed its price target to $48 from $67, maintaining an equal weight rating, pointing to ongoing execution concerns and subdued online checkout trends, suggesting investors may wait for clearer evidence of improved performance under the new CEO.
Who Is Enrique Lores? Meet Paypal’s Incoming CEO
Enrique Lores is the incoming President and CEO of Paypal, starting his official time in that position on March 1st, 2026.
Lores came from HP, where he oversaw the stock price rise from $10 to over $37 as CEO from 2019 until his departure on February 2nd, 2026. He spent his entire 30-year career with HP before deciding to join Paypal.
Born in Spain, Lores was educated as an industrial engineer. He has been on PayPal’s board for five years and was Board Chair for the 18 months before taking the CEO job.
Though it’s expected that Lores will be an innovative CEO, it remains to be seen if he will be able to revive Paypal from the depths it currently resides in.
