BTIG says shares of PayPal (PYPL) are down 10% following the Q4 due to high expectations rather than a structural issue in the company’s transformation journey to drive profitable growth. The 10% selloff “is a bit drastic” given the positive Q4 result, a fiscal 2025 guidance that is conservative, and the growth opportunities discussed for the year ahead, the analyst tells investors in a research note. BTIG believes investors have a lack of conviction in Branded checkout acceleration in fiscal 2025 and are concerned about the “drastic deceleration” in Unbranded payment volume growth, even though it was telegraphed from management. The firm keeps a Neutral rating on PayPal shares, which are down 12% to $79.19 in midday trading.
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