What can PayPal sell for? Analysis

u/Pristine_Arm8260 · Reddit — r/ValueInvesting · February 26, 2026 at 02:32 · 💬 12 comments  | View on Reddit ↗
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Original Reddit post

Author argues PayPal's board and new CEO compensation structure create strong incentives for an M&A buyout at a premium to the ~$48 30-day average, implying upside to $62-$86+ per share.

PYPL — LONG The author argues PayPal's board would only approve a buyout at a premium to the ~$48 30-day average, implying a takeout range of $62.4 (30%), $72 (50%), or $86.4 (80%). New CEO Enrique Lores, previously a board member, signed an agreement on Feb 2nd at a $52 baseline and took most compensation in stock, with bonus tiers at $83.2 (60% above baseline), $100 (100%), and $125 (200%), giving him massive incentive to engineer a deal at $83+. The main stated risk is weak organic growth, as PayPal only grew active accounts 1%.

So if we somehow see PayPal get bought for $83+ we know why. The CEO had massive incentives to make that deal happen.

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u/Pristine_Arm8260 Reddit r/ValueInvesting
CEO pay incentives point to PayPal buyout premium
The author argues PayPal's board would only approve a buyout at a premium to the ~$48 30-day average, implying a takeout range of $62.4 (30%), $72 (50%), or $86.4 (80%). New CEO Enrique Lores, previously a board member, signed an agreement on Feb 2nd at a $52 baseline and took most compensation in stock, with bonus tiers at $83.2 (60% above baseline), $100 (100%), and $125 (200%), giving him massive incentive to engineer a deal at $83+. The main stated risk is weak organic growth, as PayPal only grew active accounts 1%.
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This Reddit post, published February 26, 2026, features u/Pristine_Arm8260 discussing PYPL. 1 trade idea extracted by AI with direction and confidence scoring.

Speakers: u/Pristine_Arm8260  · Tickers: PYPL