PayPal largest debit electronic payment system in the world, operating in 200 countries around the world to 180 million customers. Founded company in 1998 and in 2000 during the merger of two competitors Confinity and X.com (project Elon Musk, who later became chairman of the board of directors formed the union) called PayPal Inc.
With the help of PayPal and regular customers, and the whole company to effectively carry out calculations over the Internet and mobile devices. Each client is paying for the purchase and sending money via PayPal, the data do not reveal credit card or other personal information. In addition, for each payment of 180 days is valid Buyer Protection Program.
PayPal offers companies solutions for online payment acceptance, install extensions to a Web site or sending an invoice by e-mail.
PayPal has received a financial institution licensed in the United States, Australia, Europe, Russia and others.Company reliable financial intermediary, which has no equal in the marketplace.
Nevertheless it, the Agency for Banking Regulation and Supervision (BDDK) Turkey has refused to renew the license for PayPal, and in this regard, according to the representatives of PayPal closes the work in this country.Noting that Turkey's market is small, and it does not affect the reputation of PayPal, and competitors like Stripe, active in the Turkish direction after the departure of the giant. The PayPal also decided to stop supporting BlackBerry mobile platforms, Amazon and Windows Phone, which occupy less than 3% of the market by focusing resources on two main mobile operating systems - iOS and Android. Analysts believe the decision is competent course, because the support of three unpopular platform does not bear much economic sense, given the fact that Apple and Samsung are improving their own services (Apple Pay and Samsung Pay), PayPal future likely will face stiff competition from current partners. Although, PayPal company, still striving to become an integral part of the lives of customers, capabilities and activities of all the players is more like the banking sector, as a non-banking organization. According to the study of S & P Global Market Intelligence, the total balance of PayPal customers ($ 13 billion in the 1st quarter of 2016, $ 21 billion from Deutsche Bank) would allow the company to take the 21st place among the top 25 banks in America. Given the rapid pace of development of modern technologies, the growing diversity of PayPal services, such as instant translation of any user 24 hours a day, and the provision of loans and credit cards through partner banks, it carries a certain threat to the traditional financial institutions.
On 20 July 2015 the company is traded on the NASDAQ stock exchange separately from the Ebay parent, she was absorbed in 2002 for $ 1.5 billion. According to recent reports, the company's capitalization is $ 46.46 billion, 16,800 staff employees, with headquarters in California , CEO of Dan Shulman. Annual revenue PayPal in the past four years has grown by almost half to $ 5.662 billion to $ 9.248 billion, net profit for 2015 tripled compared to the 2014th to $ 1.228 billion. It is worth noting that after Ebay solutions business section of Ebay and PayPal, the second surpassed the first capitalization, and it continues to show steady growth in sales and net profit generated from the last two quarters of virtually identical results (revenues of $ 2.544 billion and $ 2.556 billion and net income of $ 365 and $ 367 million respectively).
Company revenue for the last quarter exceeded the forecast value of $ 44 million, as well as earnings per share of $ 0.37 versus $ 0.36. EPS next quarter is expected to be $ 0.36 per share, and on the basis of increase in the year - by 190.90%. On 20 July 2015 the company's shares are traded in the range of $ 42,42- $ 30,00. After rapid growth since the middle of February 2016 from $ 32.00 to $ 41.73, the stock price PayPal shaped lateral dynamics in the channel $ 37,20- $ 41,45, gradually reducing volatility. Powerful support level stands at $ 37.00, on the rebound from a purchase offer to start CFD PYPLV.US the purpose of $ 41.50.
Analytical reviews and comments reflect the personal opinion of the authors and are not a recommendation to trade. AMarkets shall not be liable for any damages in the case of review materials.
Author analysts Alexander Maksimov