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Will PayPal be stuck under $70 forever Here s why it fell today

Name: Will PayPal be stuck under $70 forever Here s why it fell today
Uploaded: 2025-09-04T22:44:59Z
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

9/4/2025, 10:44:59 PM

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Economic Summary

A change in tariff policy (removal of the de minimis threshold after Aug 29) imposes an estimated 2% US and ~3% global revenue headwind for PayPal (PYPL), a small but visible drag on growth assumptions.
The market is currently focused on top-line revenue growth; PayPal's mid-single-digit revenue guidance may underwhelm investors despite stronger free cash flow expectations.
PayPal's sizable buyback program (roughly $6B this year within a ~$17B authorization) materially reduces share count and supports the equity, representing a large implied repurchase relative to current market cap.
Operationally, PayPal expects Braintree-related headwinds to ease with reacceleration in Q4 and is pushing higher-margin value-added services, which could boost transaction margin dollars even if total payment volume lags.

Bullish

Large buyback program and strong free cash flow provide a valuation floor for the stock.
Braintree headwinds are expected to abate with full reacceleration in Q4.
Narrative shifts can drive outsized rallies as seen with SoFi.

Bearish

PayPal has repeatedly failed to sustain a breakout above $70, prompting retail capitulation and selling pressure.
Removal of the de minimis tariff threshold creates a ~2–3% revenue headwind for PayPal in affected corridors.
Market is prioritizing top-line revenue growth, which penalizes companies with mid-single-digit growth narratives.

Bullish tickers

PYPLSOFI

Bearish tickers

PYPL

2 price targets

7090

Bullish

Expect strong free cash flow, a large buyback program (~$6B this year, $17B authorized), margin improvement, and product ramps that can drive re-rating over time.

Bearish

Repeated inability to hold levels above $70, investor capitulation, Braintree-related growth headwinds, and a small tariff-driven revenue drag make near-term sentiment negative.

SOFI

Bullish

Reported a strong quarter and benefited from a narrative change that drove significant stock appreciation; demonstrates how sentiment shifts can unlock upside.

Bearish

Recent gains may reflect a narrative shift and momentum rather than a discrete change in fundamentals.

People mentioned

Jamie MillerDonald TrumpAlex Chriss