u/Pristine_Arm8260 ·
Reddit — r/ValueInvesting
· February 24, 2026 at 21:29
· ⬆ 79 pts
· 💬 40 comments
| View on Reddit ↗
AI Summary
Summary
The post speculates on a potential acquisition of PayPal (PYPL) by its competitor, Stripe.
The author's thesis is that PayPal is significantly undervalued, to the point where a competitor like Stripe could offer a substantial premium (30-100%) and it would still be a cheap acquisition.
Quality assessment: This is pure speculation. The post contains no evidence, sources, or links to news suggesting that Stripe has any intention of buying PayPal. It is a hypothetical scenario used to frame a "PYPL is cheap" argument, making it noise rather than well-researched due diligence.
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.
This Reddit post, published February 24, 2026,
features u/Pristine_Arm8260
discussing PYPL.
1 trade idea extracted by AI with direction and confidence scoring.