PayPal beats Q3 profit estimates and raises full-year guidance despite revenue miss
What happened
PayPal reported third-quarter 2026 results on Tuesday morning, October 27. Adjusted earnings of $1.45 per share rose from $1.34 a year ago and beat the roughly $1.31 consensus by about 11%, but net revenue grew only 2% to $8.58 billion, missing consensus of about $8.72-8.89 billion. Total payment volume rose 7% on a currency-neutral basis to $487.14 billion, slightly below expectations. The company raised full-year adjusted EPS guidance to $5.60, up from $5.38 previously and above the Street's $5.39. CEO Enrique Lores said the company is 'increasingly confident in our path to durable, profitable growth.' Shares nevertheless fell about 1.4% to $54.22 in premarket trading.
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Who’s affected
- PayPal (PYPL): adjusted EPS $1.45 beat estimates, but revenue and payment volume missed, and shares fell ~1.3-1.4% premarket
- Visa (V) and Mastercard (MA): fellow payment networks also lower in premarket trading Tuesday, though both report later in the week (Visa after Tuesday's close, Mastercard Thursday)
- Block (SQ) and Global Payments (GPN): payment peers down ~0.9% and ~2.3% premarket respectively, in sympathy