$PayPal(PYPL)$ is beaten badly in the past year due to high interest rates and reduced consumer spending.
However, things might be taking a good turn for PayPal with the recent agreement that KKR (private equity firm) had with PayPal to purchase a huge chunk of buy now pay later loans from PayPal.
With the proceeds, PayPal intends to allocate close to $1 billion for shares buyback this year. With the disposal of the loans, it also effectively reduces PayPal's exposure to credit risk and increases the company's free cash flow. This is definitely a good piece of news for investors.
I'm excited for the future of PayPal in 2023. What about you?
@TigerStars @MillionaireTiger @Daily_Discussion @CaptainTiger
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Comments
By selling a significant portion of their buy now pay later loans, PayPal is not only reducing their exposure to credit risk but also boosting their free cash flow. It's like they're shedding the extra weight and getting ready to flex their financial muscles. And let's not forget the cherry on top – a whopping $1 billion allocated for share buybacks. Talk about investing in themselves!
So, my friend, it looks like PayPal is gearing up for an exciting future in 2023. With these strategic moves, they're setting the stage for potential growth and enticing opportunities. As an investor, I can't help but feel a surge of excitement for what's to come.
The agreement with KKR is like a big fat 💰 cash injection for PayPal! Cha-ching
Let's celebrate the buyback party! PayPal is flexing its 💪🏼 and investing in itself
Oh, I am beyond excited! PayPal's future in 2023 is gonna be like fireworks on New Year's Eve!
PayPal got beaten up, but hey, KKR is riding in to save the day
With the loans outta the way, PayPal is like a weight lifted off my 💔 heart