Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, July 14, 2017

Article Excerpt

PAYPAL HOLDINGS INC., $57.16, Nasdaq symbol PYPL, took its current form in July 2015 after former parent company eBay Inc. (Nasdaq symbol EBAY) spun it off as a separate company and handed out shares to its investors. PayPal processes online transactions, including purchases made through eBay’s auction websites. In the past few years, it has expanded into physical stores and mobile payments. The stock jumped 6% this week after APPLE INC., $149.04, Nasdaq symbol AAPL, agreed to let its customers pay for apps, music and other online downloads using their PayPal accounts. It’s likely that PayPal offered Apple a lower processing fee than it charges other online merchants. Even so, the deal should spur PayPal’s profits as many of Apple’s 728 million iPhone users will likely switch to PayPal from regular credit cards. For Apple, however, the new deal could diminish the appeal of its new Apple Pay electronic payment service. OUR RECOMMENDATION: PayPal is a buy, but Apple is still a hold. PayPal recent coverage…