PayPal Discussion

u/Columbus_Hill · Reddit — r/ValueInvesting · January 03, 2026 at 02:41 · ⬆ 4 pts  | View on Reddit ↗
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Original Reddit comment

Author argues PayPal's excessive stock-based compensation consumes buybacks, has no growth, and enriches management over shareholders.

PYPL — AVOID The author argues PayPal's excessive stock-based compensation eats up much of the buyback, the dividend is negligible, and there is no growth. Management, rather than shareholders, are the ones benefiting from the company's cash generation. This suggests investors should avoid the stock.

Excessive sbc eats up lots of the buyback. Puny dividend. No growth. Management, not shareholders are the ones getting rich off this.

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u/Columbus_Hill Reddit r/ValueInvesting
PayPal buybacks eroded by SBC, no growth, management benefits
The author argues PayPal's excessive stock-based compensation eats up much of the buyback, the dividend is negligible, and there is no growth. Management, rather than shareholders, are the ones benefiting from the company's cash generation. This suggests investors should avoid the stock.
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This Reddit post, published January 03, 2026, features u/Columbus_Hill discussing PYPL. 1 trade idea extracted by AI with direction and confidence scoring.

Speakers: u/Columbus_Hill  · Tickers: PYPL