Crossroads

Huge news for PayPal Stock! (Google Partnership + Ads!)

Name: Huge news for PayPal Stock! (Google Partnership + Ads!)
Uploaded: 2025-09-17T20:45:03Z
Description: Roy / Crossroads on X: @kross_roads The content on this channel is for educational purposes only and does not constitute financial advice. We do not provide recommendations to buy, sell, or hold any stocks, derivatives, or other investments. Viewers should consult a registered financial advisor bef

9/17/2025, 8:45:03 PM

View channel Watch on YouTube

Economic Summary

PayPal (PYPL) announced offsite ads launching in the UK and Germany; campaigns will be available to merchants now but may take months to ramp, implying gradual ad-revenue growth and uncertain near-term contribution.
A multi-year partnership between PayPal and Google (Alphabet, GOOGL) will integrate PayPal payment solutions across Google Cloud, Google Ads, and Google Play and jointly develop agentic commerce standards, potentially driving long-term payment volume and higher-margin services.
The collaboration focuses on agentic shopping and adoption of protocols like agent payments and model context, meaning PayPal could capture revenue from AI-driven commerce regardless of which agent platform (e.g., Google or Perplexity) gains dominance.
Market reaction: PYPL jumped ~3.5% on the announcements and broader rate-cut optimism, but the firm’s future revenue impact depends on enterprise adoption and ad campaign ramp, which management will likely clarify by Q4 guidance.

Bullish

Multi-year Google partnership embeds PayPal across Google Cloud, Ads, and Play, unlocking new distribution and revenue streams.
Collaboration on agentic commerce and agent payments protocols positions PayPal to benefit from emerging AI-driven shopping.
Offsite ads expansion into UK and Germany adds a potentially high-margin advertising revenue channel.
PayPal's scale — ~400 million users and ~35 million merchants — gives it strong placement regardless of which agentic standard wins.

Bearish

Offsite ads rollout in the UK and Germany may take months to ramp and might not generate meaningful near-term revenue.
PayPal has a history of selling off on news, suggesting positive announcements may not sustain a higher share price.
Large enterprises typically use orchestration across multiple payment providers, so PayPal won't capture all Google payments.
Long-term concerns about Google Ads revenue dynamics could limit benefits from integration with Google Ads.

Bullish tickers

PYPLGOOGLPERPLEXITYSHOP

Bearish tickers

PYPLGOOGLSHOP

PYPL

Bullish

Google multi-year partnership embeds PayPal across Cloud, Ads, and Play and positions PYPL to benefit from agentic commerce and its large user/merchant base.

Bearish

Uncertain ramp for offsite ads, history of selling off on news, and limited share of enterprise payments due to orchestration.

GOOGL

Bullish

Partnering with PayPal to develop AI shopping experiences and payment standards could strengthen Google's commerce ecosystem.

Bearish

Long-term concerns about Google Ads dynamics may temper upside from deeper payment integrations.

PERPLEXITY

Bullish

Mentioned as a comparable agentic partner; could capture AI shopping use cases alongside Google, benefiting integrated payment providers.

Bearish

Unclear commercial scale and no public ticker; role as an agentic commerce platform is still uncertain.

SHOP

Bullish

Existing partnerships in payment orchestration highlight market demand for multiple PSPs, indirectly validating PayPal's positioning.

Bearish

Shopify already participates in payment orchestration, which may limit exclusive wins for any single provider.

People mentioned

CrossroadsRoy