PayPal beats earnings expectations, investors eye merger updates

PayPal dropped a solid set of Q2 2026 numbers on July 28, beat analyst estimates on both the top and bottom lines, raised its full-year guidance, and is simultaneously fielding a multi-billion-dollar takeover bid. The headline figures: non-GAAP earnings per share came in at $1.38, clearing the consensus estimate of $1.28 by a comfortable margin. Net revenue landed at $8.682 billion, up 5% year-over-year. Total payment volume climbed 10% to $486.4 billion for the quarter. The numbers behind the beat The company repurchased $1.5 billion in shares during the quarter. Raising full-year non-GAAP guidance on top of a solid quarter tends to have that effect on share prices regardless. The Stripe and Advent bid changes everything On July 14 and 15, 2026, Stripe and private equity firm Advent International jointly proposed a takeover of PayPal at $60.50 per share in cash, valuing the company at over $53 billion. PayPal’s shares surged nearly 17% on the news. PayPal has not formally responded to the bid. The company’s board is almost certainly weighing whether $60.50 per share represents fair value, whether a strategic sale to a direct competitor creates regulatory complications, and whether...