PayPal Holdings PYPL introduced Grant Payments in collaboration with the National Philanthropic Trust (NPT) and Vanguard Charitable.
With the help of Grand Payments, donor-advised fund sponsors, community foundations and other grant makers can make fast online donations to charities in a safe and seamless manner.
Moreover, PayPal will let grant makers and charitable organizations access all grant details through the PayPal dashboard.
In partnership with NPT and Vanguard Charitable, PayPal will enable more than two lakh charities to receive grants electronically through Grand Payments.
On the back of this recent alliance, PYPL aims to help grant makers and non-profit organizations save time from the cumbersome donation process and effectively fulfill philanthropic missions.
This is expected to help PayPal gain momentum among grant makers and non-profit organizations, and aid the adoption rate of Grand Payments. This, in turn, is likely to drive PYPL’s top line in the days ahead.
PayPal generated $6.81 billion revenues in second-quarter 2022, which increased 9% on a year-over-year basis.
Moreover, the latest move is likely to aid PayPal in gaining a foothold in the online grant payment market.
PayPal Holdings, Inc. Price and Consensus
Growing PayPal Initiatives to Boost Prospects
The recent launch of Grant Payments bodes well for PayPal’s growing efforts toward bringing new products and services to better serve its customers.
Apart from Grant Payments, PayPal introduced its business credit card named PayPal Business Cashback Mastercard in June 2022. The credit card is backed by Mastercard and issued by WebBank. PayPal strives to cater to the daily financing needs of small businesses via this card.
PayPal also introduced a buy-now-pay-later solution called PayPal Pay Monthly, which allows customers to break the total costs of their purchased items into monthly payments.
Further, PYPL unveiled the Synchrony-issued PayPal Cashback credit card to deliver an enhanced shopping experience to customers. Shoppers can use this card to avail of an unlimited 3% cash back when paying with PayPal at checkout, and an unlimited 2% cash back on all other purchases, where Mastercard is accepted.
The aforesaid efforts will continue to help PayPal expand its presence in the booming digital payment market, where growth is attributed to the increasing adoption of the Internet and mobile phones in the developing nations, and the coronavirus-led rise in contactless payments.
Per a Vantage Market Research report, the underlined market is likely to hit $204.1 billion by 2028, witnessing a CAGR of 15.1% between 2022 and 2028.
Evidently, the growing prospects of PayPal in the digital payment space are likely to raise investor optimism on the stock in the days ahead.
Shares of PYPL have been down 48.7% in the year-to-date period compared with the Computer and Technology sector’s decline of 22.9%.
Zacks Rank & Stocks to Consider
Currently, PayPal carries a Zacks Rank #3 (Hold). Investors interested in the broader Zacks Computer & Technology sector can consider some better-ranked stocks like Arista Networks ANET, ASE Technology ASX and Monolithic Power Systems MPWR. While Arista Networks sports a Zacks Rank #1 (Strong Buy), ASE Technology and Monolithic Power Systems carry a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Arista Networks has lost 12% in the year-to-date period. The long-term earnings growth rate for ANET is currently projected at 18.6%.
ASE Technology has lost 22.4% in the year-to-date period. The long-term earnings growth rate for ASX is currently projected at 23.1%.
Monolithic Power Systems has returned 4.2% in the year-to-date period. The long-term earnings growth rate for MPWR is currently projected at 25%.
Just Released: Zacks Top 10 Stocks for 2022
In addition to the investment ideas discussed above, would you like to know about our 10 top picks for the entirety of 2022?
From inception in 2012 through 2021, the Zacks Top 10 Stocks portfolios gained an impressive +1,001.2% versus the S&P 500’s +348.7%. Now our Director of Research has combed through 4,000 companies covered by the Zacks Rank and has handpicked the best 10 tickers to buy and hold. Don’t miss your chance to get in…because the sooner you do, the more upside you stand to grab.See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Monolithic Power Systems, Inc. (MPWR): Free Stock Analysis Report
ASE Technology Holding Co., Ltd. (ASX): Free Stock Analysis Report
Arista Networks, Inc. (ANET): Free Stock Analysis Report
PayPal Holdings, Inc. (PYPL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.