The comedown for PayPal ’s once-highflying stock has been harsh, but a reset of expectations could cushion its landing.
PayPal said Wednesday that supply-chain disruptions hitting e-commerce sales, plus a normalization of the mix of spending in-store and virtually, are continuing to make it hard to forecast its business. So the company is making sharp cuts to its guidance for 2022. That includes net revenue growth being about 4 percentage points slower than previously forecast, now at about 11% to 13%. It is also withdrawing its medium-term guidance.