PayPal Q4 Misses Expectations, Shares Plunge 19% as New CEO Named
PayPal reported Q4 revenue of $8.68 billion and EPS of $1.23, missing analyst forecasts and triggering a 19% intraday share drop. The company named Enrique Lores as CEO effective March 1 with CFO Jamie Miller as interim leader, and full-year EPS was cut to $5.38 from $5.83.
1. Q4 Financial Results
PayPal posted $8.68 billion in Q4 revenue and $1.23 EPS, falling short of consensus estimates and marking its steepest single-day decline in nearly four years.
2. Leadership Change
The board appointed HP’s Enrique Lores as CEO effective March 1, with CFO and COO Jamie Miller serving as interim CEO until Lores assumes the role.
3. Market Reaction and Analyst Outlook
Shares plunged 19% intraday following the earnings miss, and analysts cut 2026 EPS forecasts from $5.83 to $5.38, implying just 1.3% growth year over year.
4. Checkout Growth Slowdown
Growth in PayPal-branded online checkouts decelerated to 1% year over year from 6% a year earlier, reflecting global headwinds and weaker US retail spending.