u/Pristine_Arm8260

The post presents a hypothetical scenario where Stripe, a major competitor, could acquire PayPal for a 30-100% premium over its recent average price of $47.49. The author implies that if a knowledgeable competitor like Stripe would theoretically pay a large premium (e.g., $62), it signals that PayPal's current market price is extremely undervalued. This perceived undervaluation creates a buying opportunity for investors before the market recognizes this value. The post suggests a LONG position on PayPal based on the rationale that the company is so cheap that even a competitor would see immense value in acquiring it at a significant premium to its current trading price. The entire premise is a rumor or speculation with no factual basis. An acquisition may never be considered or announced. PayPal's business could continue to face competitive pressure and growth challenges, causing the stock to remain stagnant or decline further, irrespective of any M&A fantasy.