PayPal Earnings: Results were a mixed bag this time!

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Paypal results

Revenue in line with estimates - PayPal reported revenue of $6.9 billion for Q4'21, in line with street estimates. In the year-ago period, the revenue reported was $6.1 billion. With the current number, the total revenue for 2021 stood at $25.4 billion, higher than the 2020 revenue of $21.5 billion.

Net Income - The net income reported by the payment-technology company for Q4 was $801 million or 68 cents a share. It is lower than $1.56 billion or $1.32 a share from a year-ago period. On an adjusted basis, PayPal earned $1.11 a share, up from $1.08 a share a year earlier, and the street estimate of $1.12 a share.

Payment volume and active accounts - PayPal saw $340 billion in fourth-quarter total payment volume, slightly below the Street estimate of $345 billion. The TPV metric captures the dollar value of transactions running through PayPal’s platform. The total number of active accounts by the end of 2021 was 426 million.

Outlook - PayPal forecast revenue to grow about 15% to 17% for the full year 2022, on a spot and foreign-currency-neutral basis. It expects to add 15 million to 20 million new accounts this year and walked back its goal of 750 million total accounts set by the company last year.

Target price - The 43 analysts offering 12-month price forecasts for PayPal Holdings Inc have a median target of $250, with a high estimate of $342 and a low estimate of $160.

The Paypal share price closed 2.24% higher on Tuesday at $175.80 per share.

Paypal Q4 Results: -

PayPal reported a mixed set of numbers for Q4'21. The guidance provided for the next quarter was below the analyst's expectation. It also reported weak full-year revenue growth guidance for 2022.