Max Grigoryev
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Max Grigoryev in Fundamentality,

Paypal Beats The Estimates, But Is Everything So Good?

Analysts estimates

Revenue: $2.6B

EPS: $0.36c

My estimates:

Revenue: $2,680M-$2,723M


Actual numbers:

Net revenues are slightly below my estimates, but overall trend is positive. Unit economics is working here, I was too optimistic regarding their growth rates. However, the operating margin is narrowing, and it's an issue to solve this year. 

As I forecasted, they beat the estimates. Analysis showed that analysts estimates were really lowered and therefore the stock jumps 5%. I'm really concerned with their margins - business efficiency should be the main point business owners and management thinks about.