Feb. 1 at 12:04 AM
$PYPL PayPal's Branded Checkout Growth to Slow Amid Share Loss, Morgan Stanley Says
11:19:39 AM ET, 01/28/2026 - MT Newswires
11:19 AM EST, 01/28/2026 (MT Newswires) -- PayPal (PYPL) is set to see slower Branded Checkout growth amid softer e-commerce trends and continued loss of market share to competitors, Morgan Stanley said in a note on Wednesday.
Progress on upgrading checkout integrations has been slower than expected, with only about 25% of merchants moving to the new experience after 15 months, and just half of those using the most optimized version, the firm said.
As a result, Branded Checkout growth is now expected to be 3.3% in 2026, down from 3.9%, the firm said, adding that it is also reducing its buyback forecast, expecting PayPal to repurchase
$4.5 billion of shares in 2026 instead of
$5.4 billion.
These changes lower the 2026 adjusted earnings per share forecast slightly to
$5.79, Morgan Stanley said.
Morgan Stanley adjusted its price target on PayPal to
$50 from
$51
