PayPal Holdings IncThe article states intensifying competition from Apple, Alphabet, and Stripe is squeezing margins, and PayPal's growth lags behind fintech rivals.

PayPal's growth narrative is mostly dead, and the stock no longer deserves a premium valuation, according to an analysis by The Motley Fool. The company delivered only 7% year-over-year revenue growth in the first quarter, far below emerging fintech rivals like SoFi Technologies at 41% and Robinhood Markets at 15%, while its three-year revenue compound annual growth rate has slipped to 7.2%. Daily active users rose just 1% year over year to 439 million, and management guided for a mid-single-digit decline in full-year 2026 GAAP EPS growth. The analysis argues that intensifying competition from Apple, Alphabet, and Stripe is squeezing margins, and the initiation of a quarterly dividend signals a mature company that should be valued more like a traditional bank than a high-growth fintech.
PayPal Holdings IncThe article states intensifying competition from Apple, Alphabet, and Stripe is squeezing margins, and PayPal's growth lags behind fintech rivals.
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