I Was Wrong On PYPL / It Is A 3X to 5X Value Stock To BUY NOW! (risk and reward investing)

Numerous say I am wrong on PYPL. Here is a risk and reward investing discussion!

Old PYPL video

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I Was Wrong On PYPL / It Is A 3X to 5X Value Stock To BUY NOW! (risk and reward investing)

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38 Comments

  1. Don’t worry about all the criticism Sven. You make great content. PayPal is in a transition year and they are changing their revenue mix that could possibly put margins under pressure over a long time. Being through many transition periods in my time in corporate there is no guarantee that they work out. For me this stock could 3x but management needs to prove themselves first over the next year.

    1. I agree, just underlying one thing: it could (easily) NOT work out and this could easily turn in a meat grinder for investors.

      The problem is that many (many) people simply invested based on price and the comeback stories you can find everywhere here in YouTube – as polarized content creators (whose incentive is to gather views, let’s keep this in mind) pushed one story or the other.

      Truth is what Sven said: nobody is saying that there’s risk in this investment and that likely there are better ways to deploy money on the market. No reason to take it personally, he is simply speaking truth. But again.. the problem are the people currently being invested, already taking a hit, who bought on partial analysis from non professional content creators masked as “value investors”.

    2. @@jnardiello You have to listen what management tells analysts. Chriss said, Q2 numbers are already ahead of expectations. 😉

    3. Chris is already a proven manager, he did an outstanding job at INTU, and he started just as well here in his first quarters. I like management and I think the ad business is usually low risk and high margins, this story seems to me like it’s in the correct direction and I’m willing to put a portion of my portfolio behind it at this valuation.

  2. I finally made it into a video!!! I’m famous, mom!

    But for real, I don’t understand why it’s so hard for people to realize that if you have a better investment at hand, why would you buy some risky stock? People are just dreaming of becomming a billionaire because some stock goes 10000x. It might happen but it probably won’t

  3. Such sensitive feelings. When people suggest Sven has nit thoriughly researched an issue (they are usually right mind u. He even admits it 💁) he takes it as a personal attack. Such a prima donna. Sheesh! Get over yourself already.

  4. But if you start buying when PYPL reaches 150$, what profit do you hope to make? This sounds like momentum investing, not value investing.

    1. It’s weird, I own PayPal but I couldn’t careless who likes or loaves it. I appreciate Sven’s analysis an perspective and I like to hear the bear cases for my stocks as it keeps me on my toes. Bottom line is I don’t get why people waste their energy trying to convince others that their wrong, if you’re right then your investment will reflect that at some point.

    1. Both video are good. As mentioned before your approach in this channel is really great. I have a long position on PayPal and my perspective will remain long but I loved your previous video, really a good analysis. Only time will show who was right😊

  5. Don’t want to comment on PYPL. I am waiting about updates about European companies you publicly endorsed as good businesses like 2yrs ago. Such as Acomo, Ahold or Rubis. Or ADM. Or anything to see if your process of picking deeply undervalued stocks and hoping they will return to valuation actually works. Or retro update on sale of positions you sold from your education portfolio as risky. Such as sale of AMZN completely ignoring your original thesis due to being scared of macro. Don’t get me wrong I was interested joining your research platform as one of my sources, but so far from your public reasearch I’ve only seen a very little evidence that your process actually works.

    1. I think Sven makes good points but to me he also seems to try too hard cause he wants to differentiate from the popular stocks. And in doing so, he is inconsistent in things like the management. For instance, how can you be more sure of the management qualifications of a business in a country like Indonesia versus the management of PYPL, there’s not much info on the first one, but we have plenty of info about Alex Chris and his performance on INTU over the years. I appreciate Sven and take notes on his arguments but I have my own thinking and everyone should do what they believe it’s best for them.

  6. Sven, some people can’t handle opinions that they don’t agree with. Stay the course, your ability to say the unpopular is what makes your channel one of the best

  7. I invested in PayPal. That’s the beautiful thing about investing, not everyone will think alike😊 Appreciate what you do!

    1. I don’t think Sven did a proper research, he just said they are losing market share which is not true. The whole digital payment is supposed to grow at 12% CARG and it is undeniable that a Forward PE of 12,6 is low. The company went down because they stop innovating and old management. Of course it can go lower, but it is all about risk reward… It is not a dying company if it is still growing its QoQ active accounts and increasing their revenue and net profit YoY… Just saying

  8. Sven is someone who knows what he’s talking about, with a PhD, years of experience, etc. Yet, people who can’t hold a candle to him and are completely unknown come here to attack the man. How is this possible? Sven can make mistakes like everyone else, especially in the world of buying and selling stocks. I prefer to listen to and believe what Sven says, as he studies the company and the market before speaking, rather than a complete unknown, without evidence and without studying the market, who thinks Sven is wrong.

    1. He was actually wrong often. On Intel, Bristol Byers, lithium stocks.. but yes, I get your point. He knows more than many others!

  9. Sven just know I might make jokester comments about you buying Nigerian nickel mines but you’re still my favorite channel

  10. Dr. Carlin’s dry humour is the best.
    I hope you have a nice summer & thank-you for your channel!

  11. This analysis and investment thesis is sound, thank you Sven. Paypal is a watch and see for me as well. They were the first of their kind, but really laid an egg in keeping share and continuing growth. It seems like everyone’s answer to growth is to add advertising.

  12. Thanks for the video Sven.
    With all the noticable interesting investments now days, will you consider making a video about portfolio management theory?

  13. As in poker, making the correct call (for stock: based on your own criteria) is more important than being right or wrong on any individual stock. Over time, making correct calls will result in success.

  14. I’m not a creator but I have to think keeping your nose out of the comment section is the best thing for your mental health.

    1. actually, if you are a creator it is best to listen, and do content for the truly valuable viewers!

  15. Sven, I watched both the videos. I like this video where you explain about your way of looking at Risk & Reward investing – this was helpful to me personally. And I also liked the way you handled the comments – looking at them through analysis perspective.

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