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PayPal Stock Jumps Again as Stripe Emerges in Takeover Speculation

PayPal Stock Jumps Again as Stripe Emerges in Takeover Speculation. Source: Flickr

PayPal (NASDAQ: PYPL) shares climbed for a second consecutive session on Tuesday as takeover speculation intensified, this time naming Stripe as a potential buyer. The renewed M&A buzz sent PayPal stock up another 6.7%, adding to Monday’s 5.8% surge after Bloomberg first reported that the digital payments giant had attracted acquisition interest amid its prolonged stock slump.

According to the latest report, fintech powerhouse Stripe is exploring a deal to acquire all or part of PayPal. Analysts suggest that PayPal’s Braintree unit could be the most attractive asset. Bernstein analyst Harshita Rawat estimates Braintree’s valuation between $10 billion and $15 billion, noting that JPMorgan Chase (NYSE: JPM) could also show interest in that segment. Beyond Braintree, PayPal owns Venmo—valued at around $5 billion—and its core PayPal platform, which Bernstein estimates at $20 billion to $25 billion. Potential buyers for various PayPal assets could include private equity firms, Revolut, and American Express (NYSE: AXP).

From a financial standpoint, a Stripe-PayPal deal appears feasible. Mizuho analyst Dan Dolev pointed out that Stripe’s reported $159 billion valuation significantly exceeds PayPal’s $43 billion market capitalization. Stripe currently processes roughly $1.4 trillion in total payment volume (TPV), and acquiring Braintree could add another $700 billion in TPV, strengthening its competitive edge against rivals like Adyen.

Analysts also see strategic benefits beyond scale. While Stripe dominates e-commerce and B2B payments, it lacks a strong consumer-facing brand. PayPal and Venmo offer global recognition and powerful peer-to-peer payment networks. A combined entity could also become a major player in stablecoins, positioning itself at the forefront of digital assets in global commerce.

Both PayPal and Stripe declined to comment on the acquisition rumors, but investor interest in PayPal stock remains elevated as takeover talks continue.

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