PayPal Rises on Fresh Takeover Speculation From West Coast Tech Giant
PYPL sits 44% above its 52-week low of $38.46.
Summary
PayPal shares rose 1.2% on renewed acquisition speculation after traders cited a Betaville report indicating an unnamed West Coast technology company may be evaluating an all-stock takeover. The PayPal board is said to prefer an all-cash deal. This follows the collapse of talks between a Stripe and Advent consortium, which had considered offering as much as $68 per share in cash but abandoned the pursuit last month after negotiations stalled over a $2 billion breakup fee. The new speculation suggests another potential suitor has emerged, which could reignite M&A interest in the fintech firm. Traders will watch for any confirmation or denial from PayPal or the unnamed company.
At the time of this announcement, PYPL was trading at $55.30 on NASDAQ in the Finance sector, with a market capitalization of approximately $47.3B. The 52-week trading range was $38.46 to $79.22. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.